85R942 CJC-F
 
  By: Metcalf H.B. No. 540
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the award of attorney's fees in a judicial appeal of
  certain ad valorem tax determinations.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 42.29, Tax Code, is amended to read as
  follows:
         Sec. 42.29.  ATTORNEY'S FEES. (a) A property owner who
  prevails in an appeal to the court under Section 42.25 or 42.26, in
  an appeal to the court of a determination of an appraisal review
  board on a motion filed under Section 25.25, or in an appeal to the
  court of a determination of an appraisal review board of a protest
  of the denial in whole or in part of an exemption under Section
  11.17, 11.22, 11.23, 11.231, or 11.24 may be awarded reasonable
  attorney's fees.  Except as provided by Subsection (c) and subject
  to Subsection (b), the [The] amount of the award may not exceed the
  greater of:
               (1)  $15,000; or
               (2)  20 percent of the total amount by which the
  property owner's tax liability is reduced as a result of the appeal.
         (b)  Except as provided by [Notwithstanding] Subsection (c)
  [(a)], the amount of an award of attorney's fees may not exceed the
  lesser of the following amounts if that amount is less than the
  amount determined under Subsection (a):
               (1)  $100,000; or
               (2)  the total amount by which the property owner's tax
  liability is reduced as a result of the appeal.
         (c)  The amount of an award of attorney's fees is not subject
  to a limitation imposed by this section if:
               (1)  the appeal is under Section 42.25 or 42.26;
               (2)  the property owner claims the property as the
  owner's residence homestead; and
               (3)  in each of the two preceding tax years:
                     (A)  the property owner prevailed in an appeal
  under either of those sections regarding the same property; and
                     (B)  the amount of an award of attorney's fees to
  the property owner was subject to a limitation imposed by this
  section.
         SECTION 2.  The change in law made by this Act applies only
  to an appeal under Chapter 42, Tax Code, that is filed on or after
  the effective date of this Act. An appeal under Chapter 42, Tax
  Code, that is filed before the effective date of this Act is
  governed by the law in effect on the date the appeal is filed, and
  the former law is continued in effect for that purpose.
         SECTION 3.  This Act takes effect September 1, 2017.