| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the effect of certain residential structures on a |
|
|
residence homestead exemption for ad valorem tax purposes. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 11.13(k), Tax Code, is amended to read as |
|
|
follows: |
|
|
(k) A qualified residential structure does not lose its |
|
|
character as a residence homestead if a portion of the structure, or |
|
|
a separate structure located on the same land as and having common |
|
|
ownership with the structure that is occupied as the individual's |
|
|
principal residence, is rented to another or is used primarily for |
|
|
other purposes that are incompatible with the owner's residential |
|
|
use of the structure. Except as provided by this subsection |
|
|
[However], the amount of any residence homestead exemption does not |
|
|
apply to the value of any [that] portion of the qualified |
|
|
residential structure that is used primarily for purposes that are |
|
|
incompatible with the owner's residential use. For purposes of |
|
|
this section, a portion of the structure that is occupied as the |
|
|
individual's principal residence, or a separate structure located |
|
|
on the same land as and having common ownership with the structure |
|
|
that is occupied as the individual's principal residence, that is |
|
|
used for a single-family short-term or long-term residential |
|
|
purpose, regardless of whether it generates rental income for the |
|
|
owner, is considered part of the residence homestead if: |
|
|
(1) there is only one such additional dwelling unit |
|
|
located on the property that constitutes the owner's residence |
|
|
homestead; |
|
|
(2) the municipality or county in which the property |
|
|
is located has adopted a program to encourage the construction or |
|
|
addition of such additional dwelling units; and |
|
|
(3) the additional dwelling unit was constructed or |
|
|
added in compliance with the program to encourage the use of such |
|
|
dwelling units. |
|
|
SECTION 2. This Act applies only to an ad valorem tax year |
|
|
that begins on or after the effective date of this Act. |
|
|
SECTION 3. This Act takes effect January 1, 2020. |