| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the exemption from ad valorem taxation of farm |
|
|
products. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Sections 11.16(a) and (c), Tax Code, are amended |
|
|
to read as follows: |
|
|
(a) A producer is entitled to an exemption from taxation of |
|
|
the farm products that the producer [he] produces and owns. A |
|
|
nursery product, as defined by Section 71.041, Agriculture Code, is |
|
|
a farm product for purposes of this section if it is in a growing |
|
|
state. An egg, as defined by Section 132.001, Agriculture Code, is |
|
|
a farm product for purposes of this section, regardless of whether |
|
|
the egg is packaged. |
|
|
(c) For purposes of this exemption, the following |
|
|
definitions apply: |
|
|
(1) "Farm products" include livestock, poultry, and |
|
|
timber. |
|
|
(2) "In the hands of the producer," for livestock, |
|
|
[and] poultry, and eggs, means under the ownership of the person who |
|
|
is financially providing for the physical requirements of such |
|
|
livestock, [and] poultry, and eggs on January 1 of the tax year and, |
|
|
for timber, means standing timber or timber that has been harvested |
|
|
and, on January 1 of the tax year, is located on the real property on |
|
|
which it was produced and is under the ownership of the person who |
|
|
owned the timber when it was standing. |
|
|
SECTION 2. This Act applies only to ad valorem taxes imposed |
|
|
for a tax year that begins on or after the effective date of this |
|
|
Act. |
|
|
SECTION 3. This Act takes effect January 1, 2016. |