Honorable Jane Nelson, Chair, Senate Committee on Finance
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
SB624 by Hinojosa (relating to installment payments of ad valorem taxes.), Committee Report 1st House, Substituted
No fiscal implication to the State is anticipated.
The bill would repeal Sections 31.031(d) and 31.032(e) of the Tax Code, relating to installment payments of certain homestead taxes and of taxes on property in a disaster area, to strike the requirement if the delinquency date for certain homesteads or property in a disaster area is postponed that to May 1 or a later date, the collector must extend each installment payment deadline by the number of months of postponement. The bill would amend Sections 31.031 and 31.032 of the Tax Code to provide, if the delinquency date is a date other than February 1, the due dates of the installment payments is tied to the delinquency date. If the delinquency date is February 1, then the installment payment due dates would be those dates currently specified in statute.
The bill would amend Section 33.02 of the Tax Code, relating to installment payments of delinquent taxes, to provide that the current requirement that a collector grant a residence homestead owner's request to enter into an installment agreement for delinquent homestead taxes applies to a residence homestead for which the owner was granted an exemption under Section 11.13 of the Tax Code. The bill would apply the current requirement that installment payments for delinquent taxes extend for at least 12 months to only these residence homestead owners. The bill provides that installment payments for delinquent taxes be made in monthly installments, rather than in equal monthly installments.
The bill would not affect taxable property values, tax rates, collection rates, or any other variable which might affect the revenues of units of local governments or the state.
The bill would take effect September 1, 2015.
Local Government Impact
No fiscal implication to units of local government is anticipated.