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By: Villarreal H.B. No. 399
A BILL TO BE ENTITLED
AN ACT
relating to the disclosure report of sales price to local appraisal
district.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 12.001, Property Code, is amended by
adding Subsections (e)-(g) to read as follows:
(e) An instrument conveying real property may not be
recorded under Subsection (a) unless a certificate issued by the
chief appraiser of the appraisal district established for the
county in which the property is located stating that the sales price
disclosure report required by Subchapter D, Chapter 22, Tax Code,
has been filed with the chief appraiser is filed with the instrument
of conveyance.
(f) Subsection (e) does not apply to an instrument conveying
real property if the conveyance is made:
(1) pursuant to a court order or foreclosure sale;
(2) by a trustee in bankruptcy;
(3) by a mortgagor or a mortgagor's successor in
interest to a mortgagee or by a trustor or a trustor's successor in
interest to a beneficiary of a deed of trust;
(4) between spouses and results from:
(A) a decree of dissolution of marriage;
(B) a decree of legal separation; or
(C) a property settlement agreement incidental
to a decree described by Paragraph (A) or (B); or
(5) to or from any governmental entity.
(g) The chief appraiser of the appraisal district
established for the county in which the property is located and the
county clerk by written agreement may establish a procedure for the
electronic transfer to the county clerk of the certificate required
by Subsection (e). An instrument of conveyance may be recorded
under this section without an accompanying paper copy of the
certificate required by Subsection (e) if the certificate is
electronically transferred to the county clerk by the chief
appraiser under a procedure established under this subsection.
SECTION 2. The heading to Subchapter C, Chapter 22, Tax
Code, is amended to read as follows:
SUBCHAPTER C. [OTHER] REPORTS OF POLITICAL SUBDIVISION ACTIONS
SECTION 3. Chapter 22, Tax Code, is amended by adding
Subchapter D to read as follows:
SUBCHAPTER D. REPORT OF SALES PRICE
Sec. 22.61. SALES PRICE DISCLOSURE REPORT. (a) Except as
provided by Subsection (d), on the sale of real property the
purchaser of the property or a person acting on behalf of the
purchaser shall file a sales price disclosure report with the chief
appraiser of the appraisal district established for the county in
which the property is located.
(b) A sales price disclosure report may be filed by
facsimile.
(c) The sales price disclosure report may be filed with the
chief appraiser before the sale of the property closes. If any
information required by the sales price disclosure report changes
after the report is filed with the chief appraiser, the person who
prepared the original report shall prepare, sign, and file with the
chief appraiser a supplemental sales price disclosure report
updating the information that changed. The supplemental report
shall be filed not later than the third day after the date the sale
of the property closed.
(d) This section does not apply to a sale of real property if
the sale is made:
(1) pursuant to a court order or foreclosure sale;
(2) by a trustee in bankruptcy;
(3) by a mortgagor or a mortgagor's successor in
interest to a mortgagee or by a trustor or a trustor's successor in
interest to a beneficiary of a deed of trust;
(4) between spouses and results from:
(A) a decree of dissolution of marriage;
(B) a decree of legal separation; or
(C) a property settlement agreement incidental
to a decree described by Paragraph (A) or (B); or
(5) to or from any governmental entity.
Sec. 22.62. SIGNATURE REQUIRED. A sales price disclosure
report must be signed by the purchaser or by the person who prepares
the report.
Sec. 22.63. REPORT FORMS. (a) The comptroller shall
prescribe the form and content of a sales price disclosure report
filed under this subchapter. The comptroller shall ensure that
each form requires the person preparing the report to provide, at a
minimum:
(1) the seller's name and address;
(2) the purchaser's name and address;
(3) information necessary to identify the property and
to determine the property's location;
(4) the mailing address for tax notices concerning the
property;
(5) a description of the use of the property at the
time of sale;
(6) a statement of whether any personal property was
included in the sale and, if so, the estimated value of the personal
property;
(7) the method used to finance the sale;
(8) a statement of whether the property was offered
for sale to other potential purchasers;
(9) a statement of whether the purchaser holds title
to any adjoining property;
(10) the sales price of the property;
(11) the closing date of the sale; and
(12) the name and address of the person preparing the
report.
(b) A form may not require information not relevant to the
appraisal of property for tax purposes or to the assessment or
collection of property taxes.
(c) A person who prepares a sales price disclosure report
under this subchapter must:
(1) use the appropriate form prescribed by the
comptroller; and
(2) include all information required by the form.
Sec. 22.64. DELIVERY OF CERTIFICATE TO PURCHASER. (a)
Except as provided by Subsection (b), not later than the second day
after the date the sales price disclosure report is filed with the
chief appraiser, the chief appraiser shall provide to the purchaser
a certificate stating that the completed sales price disclosure
report has been filed.
(b) If the chief appraiser and the county clerk of the
county in which the property is located have entered into an
agreement under Section 12.001(g), Property Code, the chief
appraiser may electronically transfer the certificate to the county
clerk. A chief appraiser that elects to electronically transfer
the certificate shall:
(1) transfer the certificate not later than the second
day after the date the sales price disclosure report is filed; and
(2) notify the purchaser in writing that the
certificate has been filed with the county clerk.
Sec. 22.65. PUBLICIZING REQUIREMENTS. (a) The comptroller
shall publicize, in a manner reasonably designed to come to the
attention of title companies, attorneys, and property owners, the
requirements of this subchapter and of the availability of sales
price disclosure report forms.
(b) The Texas Real Estate Commission shall assist the
comptroller in publicizing the information required by Subsection
(a) to title companies and attorneys.
(c) A chief appraiser shall assist the comptroller in
publicizing the information required by Subsection (a) to property
owners in the county for which the appraisal district is
established.
Sec. 22.66. CONFIDENTIAL INFORMATION. (a) A sales price
disclosure report filed with a chief appraiser under this
subchapter is confidential and not open to public inspection. The
report and the information it contains about specific property or a
specific person may not be disclosed to another person other than an
employee of the appraisal office who appraises property except as
provided by Subsection (b).
(b) Information that is confidential under Subsection (a)
may be disclosed:
(1) in a judicial or administrative proceeding
pursuant to a lawful subpoena;
(2) to the person who filed the sales price disclosure
report, to the owner of the property described in the report, or to
a representative of the person who filed the report or the owner who
is authorized in writing to receive the information;
(3) to the comptroller and the comptroller's employees
authorized by the comptroller in writing to receive the information
or to an assessor or a chief appraiser if requested in writing;
(4) in a judicial or administrative proceeding
relating to property taxation:
(A) in which the person who filed the sales price
disclosure report is a party;
(B) in which the owner of the property described
in the report is a party;
(C) by the appraisal district for the purpose of
establishing the value of the property; or
(D) for the purpose of providing evidence of
comparable sales used to appraise another property;
(5) for statistical purposes if the information is
provided in a form that does not identify a specific property or a
specific property owner;
(6) if and to the extent the information is required to
be included in a public document or record that the appraisal office
is required to prepare or maintain; or
(7) to a taxing unit or its legal representative that
is engaged in the collection of delinquent taxes on the property
that is described in the report.
(c) A person, other than a person described by Subsection
(b)(2), who legally has access to a sales price disclosure report or
who legally obtains the information from a report made confidential
by this section commits an offense if the person knowingly:
(1) permits inspection of the confidential
information by a person not authorized by Subsection (b) to inspect
the information; or
(2) discloses the confidential information to a person
not authorized by Subsection (b) to receive the information.
(d) It is a defense to prosecution under Subsection (c) that
the person obtained the information from:
(1) a person described by Subsection (b)(2); or
(2) a record or document lawfully available to the
public.
(e) An offense under Subsection (c) is a Class B
misdemeanor.
Sec. 22.67. IMMUNITY FROM LIABILITY. A person who prepares
a sales price disclosure report in compliance with this subchapter
is not liable to any other person as a result of providing the
information required by this subchapter.
SECTION 4. This Act takes effect September 1, 2005.