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A BILL TO BE ENTITLED
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AN ACT
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relating to the taxation of political subdivisions of the state. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 11.1825, Tax Code, is amended by adding |
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Subsection (z) to read as follows: |
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(z)(1) A community housing development organization |
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entitled to an exemption from taxation under this section is also |
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entitled to an exemption from taxation of the buildings and other |
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real and tangible personal property that are owned by the |
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organization, and except as provided by Subsection (z)(2) are used |
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exclusively by the organization in the administration of its |
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acquisition, building, repair, sale, or rental of property, or by |
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political subdivisions of the state that: |
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(a) are eligible for an exemption from taxation under |
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Chapter 11 of this code, and |
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(b) are exempt from federal income taxes or have their |
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revenue exempted from federal income taxes under Section 115 of the |
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Internal Revenue Code. |
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(2) Use of property exempt by reason of this subsection by |
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persons not qualifying under (z)(1) above does not result in the |
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loss of an exemption authorized by this Subsection (z) if such use |
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is incidental to or furthers the exempt purposes of the owner or an |
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organization qualified under (1)(a) and (b) above. |
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SECTION 2. This Act takes effect September 1, 2011. |