LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              March 16, 2001
  
  
          TO:  Honorable Rene Oliveira, Chair, House Committee on Ways &
               Means
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB1879  by Chavez (Relating to the exemption from ad
               valorem taxation for disabled veterans and the surviving
               spouses and children of disabled veterans and members of
               the armed forces who die on active duty.), As Introduced
  
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*  No significant fiscal implication to the State is anticipated.        *
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The bill would amend Chapter 11 of the Tax Code to allow for immediate
qualification and receipt of the disabled veteran's exemption for the
applicable portion of a tax year.  The bill would allow persons
qualifying for the exemption to file a late exemption application similar
to the current law that allows late homestead exemption applications.
Under current law, late applications do not entitle persons to prorate
exemptions; the exemption would become effective the following year.

Note:  For the 1999 tax year, school districts reported that 129,468
disabled veteran's exemptions were granted, with an average value of
$8,206 per veteran.

It is anticipated that the number of disabled veterans filing late each
year would not be significant when compared to the current number of
exemptions; therefore, it is not anticipated the fiscal impact on the
state and units of local government would be significant.
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.
  
  
Source Agencies:   304   Comptroller of Public Accounts
LBB Staff:         JK, SD, WP, BR