79R11006 MFC-D


By:  Rodriguez                                                    H.B. No. 89 

Substitute the following for H.B. No. 89:                                     

By:  Puente                                                   C.S.H.B. No. 89 



A BILL TO BE ENTITLED

AN ACT

relating to the authority of a person to charge a fee for assisting 
another person in applying for a residence homestead tax exemption; 
imposing a civil penalty.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subchapter C, Chapter 11, Tax Code, is amended by 
adding Section 11.49 to read as follows:
	Sec. 11.49.  FEE FOR ASSISTANCE WITH RESIDENCE HOMESTEAD 
APPLICATION.  (a)  A person who assists another person by preparing 
or filing on behalf of the other person an application for an 
exemption under Section 11.13 for a parcel of real property after 
the first anniversary of the date of the sale or transfer of the 
property to the other person:
		(1)  may not charge a fee of more than $55 for that 
service; and     
		(2)  must timely file the application with the chief 
appraiser for each appraisal district in which the property is 
located.
	(b)  A fee under Subsection (a) must be paid directly by the 
person who receives the service.  A person providing a service 
described by Subsection (a) may not accept any part of a refund of 
taxes on any property in payment for those services.
	(c)  A person who assists another person by preparing or 
filing on behalf of the other person an application for an exemption 
under Section 11.13 for a parcel of real property may not charge a 
fee for the service if the application:
		(1)  is for an exemption that has already been granted 
to the purchaser or owner; or
		(2)  is submitted on or before the first anniversary of 
the date of the sale or transfer of the property to the purchaser or 
owner.
	(d)  A person who violates this section is liable to the 
purchaser or owner, as applicable, for:
		(1)  actual damages;                                                   
		(2)  a civil penalty in the amount of $1,000; and                      
		(3)  reasonable court costs and attorney's fees.                       
	SECTION 2.  Section 41.0051, Property Code, is amended by 
amending Subsections (a) and (c) and adding Subsections (b-1) and 
(d) to read as follows:
	(a)  A person may not deliver a written advertisement 
offering, for a fee, to designate property as a homestead as 
provided by Section 41.005 unless there is a disclaimer on the 
advertisement that is conspicuous and printed in 14-point boldface 
type or 14-point uppercase typewritten letters that makes the 
following statement or a substantially similar statement:
	THIS DOCUMENT IS AN ADVERTISEMENT OF SERVICES.  IT IS 
NOT AN OFFICIAL DOCUMENT OF THE STATE OF TEXAS OR OF 
ANY COUNTY OR TAXING UNIT OF THE STATE OF TEXAS.  A 
PERSON WHO CURRENTLY RECEIVES A RESIDENCE HOMESTEAD 
EXEMPTION FROM AD VALOREM TAXATION FOR A PARCEL OF REAL 
PROPERTY IS CONSIDERED TO HAVE DESIGNATED THE PROPERTY 
AS THE PERSON'S HOMESTEAD FOR PURPOSES OF TEXAS 
PROPERTY LAW AND NEED NOT FILE A HOMESTEAD DESIGNATION 
IN THE COUNTY DEED RECORDS.
	(b-1)  A person may not charge a fee to assist another person 
by preparing or filing on behalf of the other person an application 
to designate property as a homestead under Section 41.005 unless:
		(1)  the person:                                                       
			(A)  provides the other person with written 
materials that include the disclosure required by Subsection (a); 
and
			(B)  complies with Section 11.49, Tax Code; and                       
		(2)  the application is for an exemption authorized by 
Section 11.13, Tax Code.
	(c)  A person's failure to provide a disclaimer on an 
advertisement as required by Subsection (a), [or] to provide the 
disclosure required by Subsection (b), or to comply with the 
requirements of Subsection (b-1) is considered a false, misleading, 
or deceptive act or practice for purposes of  Section 17.46(a), 
Business & Commerce Code, and is subject to action by the consumer 
protection division of the attorney general's office as provided by 
Section 17.46(a), Business & Commerce Code.
	(d)  In addition to any other remedy provided by law, a 
person who violates this section is liable to the purchaser or 
owner, as applicable, for:
		(1)  actual damages;                                                   
		(2)  a civil penalty in the amount of $1,000; and                      
		(3)  reasonable court costs and attorney's fees.                       
	SECTION 3.  This Act takes effect September 1, 2005.