| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the reduction of the amount of a limitation on the total |
|
|
amount of ad valorem taxes that may be imposed by a school district |
|
|
on the residence homestead of an individual who is elderly or |
|
|
disabled to reflect any reduction from the preceding tax year in the |
|
|
district's maximum compressed rate. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 11.26, Tax Code, is amended by adding |
|
|
Subsections (a-4), (a-5), (a-6), (a-7), (a-8), and (a-9) to read as |
|
|
follows: |
|
|
(a-4) In this section, "maximum compressed rate" means the |
|
|
maximum compressed rate of a school district as calculated under |
|
|
Section 48.2551, Education Code. |
|
|
(a-5) Notwithstanding the other provisions of this section, |
|
|
if in the 2022 tax year an individual qualifies for a limitation on |
|
|
tax increases provided by this section on the individual's |
|
|
residence homestead and the first tax year the individual or the |
|
|
individual's spouse qualified for an exemption under Section |
|
|
11.13(c) for the same homestead was a tax year before the 2019 tax |
|
|
year, the amount of the limitation provided by this section on the |
|
|
homestead in the 2022 tax year is equal to the amount computed by: |
|
|
(1) multiplying the taxable value of the homestead in |
|
|
the 2018 tax year by a tax rate equal to the difference between the |
|
|
school district's tier one maintenance and operations rate for the |
|
|
2018 tax year and the district's maximum compressed rate for the |
|
|
2019 tax year; |
|
|
(2) subtracting the greater of zero or the amount |
|
|
computed under Subdivision (1) from the amount of tax the district |
|
|
imposed on the homestead in the 2018 tax year; |
|
|
(3) adding any tax imposed in the 2019 tax year |
|
|
attributable to improvements made in the 2018 tax year as provided |
|
|
by Subsection (b) to the amount computed under Subdivision (2); |
|
|
(4) multiplying the taxable value of the homestead in |
|
|
the 2019 tax year by a tax rate equal to the difference between the |
|
|
district's maximum compressed rate for the 2019 tax year and the |
|
|
district's maximum compressed rate for the 2020 tax year; |
|
|
(5) subtracting the amount computed under Subdivision |
|
|
(4) from the amount computed under Subdivision (3); |
|
|
(6) adding any tax imposed in the 2020 tax year |
|
|
attributable to improvements made in the 2019 tax year as provided |
|
|
by Subsection (b) to the amount computed under Subdivision (5); |
|
|
(7) multiplying the taxable value of the homestead in |
|
|
the 2020 tax year by a tax rate equal to the difference between the |
|
|
district's maximum compressed rate for the 2020 tax year and the |
|
|
district's maximum compressed rate for the 2021 tax year; |
|
|
(8) subtracting the amount computed under Subdivision |
|
|
(7) from the amount computed under Subdivision (6); |
|
|
(9) adding any tax imposed in the 2021 tax year |
|
|
attributable to improvements made in the 2020 tax year as provided |
|
|
by Subsection (b) to the amount computed under Subdivision (8); |
|
|
(10) multiplying the taxable value of the homestead in |
|
|
the 2021 tax year by a tax rate equal to the difference between the |
|
|
district's maximum compressed rate for the 2021 tax year and the |
|
|
district's maximum compressed rate for the 2022 tax year; |
|
|
(11) subtracting the amount computed under |
|
|
Subdivision (10) from the amount computed under Subdivision (9); |
|
|
and |
|
|
(12) adding any tax imposed in the 2022 tax year |
|
|
attributable to improvements made in the 2021 tax year as provided |
|
|
by Subsection (b) to the amount computed under Subdivision (11). |
|
|
(a-6) Notwithstanding the other provisions of this section, |
|
|
if in the 2022 tax year an individual qualifies for a limitation on |
|
|
tax increases provided by this section on the individual's |
|
|
residence homestead and the first tax year the individual or the |
|
|
individual's spouse qualified for an exemption under Section |
|
|
11.13(c) for the same homestead was the 2019 tax year, the amount of |
|
|
the limitation provided by this section on the homestead in the 2022 |
|
|
tax year is equal to the amount computed by: |
|
|
(1) multiplying the taxable value of the homestead in |
|
|
the 2019 tax year by a tax rate equal to the difference between the |
|
|
school district's maximum compressed rate for the 2019 tax year and |
|
|
the district's maximum compressed rate for the 2020 tax year; |
|
|
(2) subtracting the amount computed under Subdivision |
|
|
(1) from the amount of tax the district imposed on the homestead in |
|
|
the 2019 tax year; |
|
|
(3) adding any tax imposed in the 2020 tax year |
|
|
attributable to improvements made in the 2019 tax year as provided |
|
|
by Subsection (b) to the amount computed under Subdivision (2); |
|
|
(4) multiplying the taxable value of the homestead in |
|
|
the 2020 tax year by a tax rate equal to the difference between the |
|
|
district's maximum compressed rate for the 2020 tax year and the |
|
|
district's maximum compressed rate for the 2021 tax year; |
|
|
(5) subtracting the amount computed under Subdivision |
|
|
(4) from the amount computed under Subdivision (3); |
|
|
(6) adding any tax imposed in the 2021 tax year |
|
|
attributable to improvements made in the 2020 tax year as provided |
|
|
by Subsection (b) to the amount computed under Subdivision (5); |
|
|
(7) multiplying the taxable value of the homestead in |
|
|
the 2021 tax year by a tax rate equal to the difference between the |
|
|
district's maximum compressed rate for the 2021 tax year and the |
|
|
district's maximum compressed rate for the 2022 tax year; |
|
|
(8) subtracting the amount computed under Subdivision |
|
|
(7) from the amount computed under Subdivision (6); and |
|
|
(9) adding any tax imposed in the 2022 tax year |
|
|
attributable to improvements made in the 2021 tax year as provided |
|
|
by Subsection (b) to the amount computed under Subdivision (8). |
|
|
(a-7) Notwithstanding the other provisions of this section, |
|
|
if in the 2022 tax year an individual qualifies for a limitation on |
|
|
tax increases provided by this section on the individual's |
|
|
residence homestead and the first tax year the individual or the |
|
|
individual's spouse qualified for an exemption under Section |
|
|
11.13(c) for the same homestead was the 2020 tax year, the amount of |
|
|
the limitation provided by this section on the homestead in the 2022 |
|
|
tax year is equal to the amount computed by: |
|
|
(1) multiplying the taxable value of the homestead in |
|
|
the 2020 tax year by a tax rate equal to the difference between the |
|
|
school district's maximum compressed rate for the 2020 tax year and |
|
|
the district's maximum compressed rate for the 2021 tax year; |
|
|
(2) subtracting the amount computed under Subdivision |
|
|
(1) from the amount of tax the district imposed on the homestead in |
|
|
the 2020 tax year; |
|
|
(3) adding any tax imposed in the 2021 tax year |
|
|
attributable to improvements made in the 2020 tax year as provided |
|
|
by Subsection (b) to the amount computed under Subdivision (2); |
|
|
(4) multiplying the taxable value of the homestead in |
|
|
the 2021 tax year by a tax rate equal to the difference between the |
|
|
district's maximum compressed rate for the 2021 tax year and the |
|
|
district's maximum compressed rate for the 2022 tax year; |
|
|
(5) subtracting the amount computed under Subdivision |
|
|
(4) from the amount computed under Subdivision (3); and |
|
|
(6) adding any tax imposed in the 2022 tax year |
|
|
attributable to improvements made in the 2021 tax year as provided |
|
|
by Subsection (b) to the amount computed under Subdivision (5). |
|
|
(a-8) Notwithstanding the other provisions of this section, |
|
|
if in the 2022 tax year an individual qualifies for a limitation on |
|
|
tax increases provided by this section on the individual's |
|
|
residence homestead and the first tax year the individual or the |
|
|
individual's spouse qualified for an exemption under Section |
|
|
11.13(c) for the same homestead was the 2021 tax year, the amount of |
|
|
the limitation provided by this section on the homestead in the 2022 |
|
|
tax year is equal to the amount computed by: |
|
|
(1) multiplying the taxable value of the homestead in |
|
|
the 2021 tax year by a tax rate equal to the difference between the |
|
|
school district's maximum compressed rate for the 2021 tax year and |
|
|
the district's maximum compressed rate for the 2022 tax year; |
|
|
(2) subtracting the amount computed under Subdivision |
|
|
(1) from the amount of tax the district imposed on the homestead in |
|
|
the 2021 tax year; and |
|
|
(3) adding any tax imposed in the 2022 tax year |
|
|
attributable to improvements made in the 2021 tax year as provided |
|
|
by Subsection (b) to the amount computed under Subdivision (2). |
|
|
(a-9) Notwithstanding the other provisions of this section, |
|
|
if in the 2023 or a subsequent tax year an individual qualifies for |
|
|
a limitation on tax increases provided by this section on the |
|
|
individual's residence homestead, the amount of the limitation |
|
|
provided by this section on the homestead is equal to the amount |
|
|
computed by: |
|
|
(1) multiplying the taxable value of the homestead in |
|
|
the preceding tax year by a tax rate equal to the difference between |
|
|
the school district's maximum compressed rate for the preceding tax |
|
|
year and the district's maximum compressed rate for the current tax |
|
|
year; |
|
|
(2) subtracting the amount computed under Subdivision |
|
|
(1) from the amount of tax the district imposed on the homestead in |
|
|
the preceding tax year; and |
|
|
(3) adding any tax imposed in the current tax year |
|
|
attributable to improvements made in the preceding tax year as |
|
|
provided by Subsection (b) to the amount computed under Subdivision |
|
|
(2). |
|
|
SECTION 2. This Act applies only to ad valorem taxes imposed |
|
|
for a tax year beginning on or after the effective date of this Act. |
|
|
SECTION 3. This Act takes effect January 1, 2022, but only |
|
|
if the constitutional amendment proposed by the 87th Legislature, |
|
|
1st Called Session, 2021, authorizing the legislature to provide |
|
|
for the reduction of the amount of a limitation on the total amount |
|
|
of ad valorem taxes that may be imposed for general elementary and |
|
|
secondary public school purposes on the residence homestead of a |
|
|
person who is elderly or disabled to reflect any statutory |
|
|
reduction from the preceding tax year in the maximum compressed |
|
|
rate of the maintenance and operations taxes imposed for those |
|
|
purposes on the homestead is approved by the voters. If that |
|
|
amendment is not approved by the voters, this Act has no effect. |