By:  Taylor                                                       H.B. No. 2763



A BILL TO BE ENTITLED

AN ACT

relating to the split payment of ad valorem taxes on residential 
homesteads.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Chapter 31 of the Tax Code is amended by adding 
Section 31.03(d) and (e) as follows:
	(d)  The governing body of a taxing unit that collects its 
own taxes may provide, in the manner provided by law for official 
action by the body, that a person who pays one half of the unit's 
taxes on the taxpayer's residential homestead as defined in Section 
11.13, may pay the remaining one–half of the taxes without penalty 
or interest before July 1 of the following year.
	(e)  The split payment option for residential homesteads set 
forth in the preceding section (d) applies to taxes for all units 
for which the adopting taxing unit collects taxes.
	SECTION 2.  This Act takes effect immediately if it receives 
a vote of two-thirds of all the members elected to each house, as 
provided by Section 39, Article III, Texas Constitution.  If this 
Act does not receive the vote necessary for immediate effect, this 
Act takes effect September 1, 2005.