By Cain                                               S.B. No. 1736
         77R4904 SMH-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the waiver of penalties and interest if an error of a
 1-3     taxing unit or appraisal district results in failure to pay an ad
 1-4     valorem tax.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1. Section 33.011(a), Tax Code, is amended to read as
 1-7     follows:
 1-8           (a)  The governing body of a taxing unit:
 1-9                 (1)  shall waive penalties and [may provide for the
1-10     waiver of] interest on a delinquent tax if an act or omission of an
1-11     officer, employee, or agent of the taxing unit or the appraisal
1-12     district in which the taxing unit participates caused or resulted
1-13     in the taxpayer's failure to pay the tax before delinquency and if
1-14     the tax is paid not later than the third anniversary of the date
1-15     [within 21 days after] the taxpayer knows or should know of the
1-16     delinquency; and
1-17                 (2)  may waive penalties and provide for the waiver of
1-18     interest on a delinquent tax if the property for which the tax is
1-19     owed is acquired by a religious organization that qualifies the
1-20     property for exemption under Section 11.20 before the first
1-21     anniversary of the date the religious organization acquires the
1-22     property.
1-23           SECTION 2. This Act takes effect September 1, 2001.