79S30499 JD-D
By: Bohac H.B. No. 133
A BILL TO BE ENTITLED
AN ACT
relating to limiting the maximum average annual increase in the
appraised value of residence homesteads for purposes of ad valorem
taxation by a school district to five percent.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 23.23(a), Tax Code, is amended to read as
follows:
(a) The appraised value of a residence homestead for a tax
year may not exceed the lesser of:
(1) the market value of the property; or
(2) the sum of:
(A) for purposes of taxation by a school district
other than a junior college district, five percent of the appraised
value of the property for the last year in which the property was
appraised for taxation, and for purposes of taxation by any other
taxing unit, 10 percent of the appraised value of the property for
the last year in which the property was appraised for taxation,
times the number of years since the property was last appraised;
(B) the appraised value of the property for the
last year in which the property was appraised; and
(C) the market value of all new improvements to
the property.
SECTION 2. This Act applies only to the appraisal of a
residence homestead for ad valorem tax purposes for a tax year that
begins on or after January 1, 2007.
SECTION 3. This Act takes effect January 1, 2007, but only
if the constitutional amendment proposed by the 79th Legislature,
3rd Called Session, 2006, authorizing the legislature to establish
for purposes of ad valorem taxation by a school district a limit on
the annual increase in the appraised value of residence homesteads
of five percent or more is approved by the voters. If that
amendment is not approved by the voters, this Act has no effect.