78R910 SMH-D
By: Averitt S.B. No. 225
A BILL TO BE ENTITLED
AN ACT
relating to the ad valorem taxation of tangible personal property
held or used for the production of income.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter B, Chapter 11, Tax Code, is amended by
adding Section 11.147 to read as follows:
Sec. 11.147. INCOME-PRODUCING TANGIBLE PERSONAL PROPERTY
RENDERED FOR TAXATION. A person is entitled to an exemption from
taxation by each taxing unit of $10,000 of the total appraised value
of all the tangible personal property the person owns:
(1) that is held or used for the production of income;
(2) that is taxable by the taxing unit; and
(3) with respect to which the person timely delivers a
rendition statement or property report as required by Chapter 22.
SECTION 2. Section 11.43(a), Tax Code, is amended to read as
follows:
(a) To receive an exemption, a person claiming the
exemption, other than an exemption authorized by Section 11.11,
11.12, 11.14, 11.145, 11.146, 11.147, 11.15, 11.16, 11.161, or
11.25 [of this code], must apply for the exemption. To apply for an
exemption, a person must file an exemption application form with
the chief appraiser for each appraisal district in which the
property subject to the claimed exemption has situs.
SECTION 3. Subchapter B, Chapter 22, Tax Code, is amended
by adding Section 22.231 to read as follows:
Sec. 22.231. REQUIREMENT TO DELIVER RENDITION STATEMENT OR
PROPERTY REPORT; INJUNCTION. (a) A requirement under this chapter
to deliver a rendition statement or property report to a chief
appraiser is mandatory.
(b) If a person required by this chapter to deliver a
rendition statement or property report to the chief appraiser fails
to deliver the statement or report in the time required by this
chapter, the chief appraiser may bring suit for an injunction
requiring the person to deliver the statement or report.
SECTION 4. Section 41.43, Tax Code, is amended by amending
Subsection (a) and adding Subsection (d) to read as follows:
(a) Except as provided by Subsection (d), in [In] a protest
authorized by Section 41.41(a)(1) [41.41(1)] or (2), the appraisal
district has the burden of establishing the value of the property by
a preponderance of the evidence presented at the hearing. If the
appraisal district fails to meet that standard, the protest shall
be determined in favor of the property owner.
(d) If before the date of the hearing the property owner
fails to deliver a rendition statement or property report for the
property that is the subject of the protest as required by Chapter
22:
(1) the property owner has the burden of establishing
the value of the property by a preponderance of the evidence
presented at the hearing; and
(2) if the property owner fails to meet the standard
provided by Subdivision (1), the protest shall be determined in
favor of the appraisal district.
SECTION 5. Section 42.29, Tax Code, is amended by adding
Subsection (c) to read as follows:
(c) Notwithstanding Subsection (a), a property owner may
not be awarded attorney's fees if the property owner fails to timely
deliver a rendition statement or property report for the property
that is the subject of the appeal as required by Chapter 22.
SECTION 6. (a) Except as provided by Subsection (b) of
this section, this Act takes effect January 1, 2004, and applies
only to ad valorem taxes imposed for a tax year beginning on or
after that date and the rendition of property for ad valorem tax
purposes for a tax year that begins on or after that date.
(b) Sections 1 and 2 of this Act take effect only if the
constitutional amendment proposed by the 78th Legislature, Regular
Session, 2003, to authorize ad valorem tax incentives to encourage
the voluntary rendition of commercial tangible personal property
for taxation is approved by the voters. If that amendment is not
approved by the voters, Sections 1 and 2 of this Act have no effect.