| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the limitation on increases in the appraised value of a |
|
|
residence homestead for ad valorem taxation. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 23.23(a), Tax Code, is amended to read as |
|
|
follows: |
|
|
(a) Notwithstanding the requirements of Section 25.18 and |
|
|
regardless of whether the appraisal office has appraised the |
|
|
property and determined the market value of the property for the tax |
|
|
year, an appraisal office may increase the appraised value of a |
|
|
residence homestead for a tax year to an amount not to exceed the |
|
|
lesser of: |
|
|
(1) the market value of the property for the most |
|
|
recent tax year that the market value was determined by the |
|
|
appraisal office; or |
|
|
(2) the sum of: |
|
|
(A) five [10] percent of the appraised value of |
|
|
the property for the preceding tax year; |
|
|
(B) the appraised value of the property for the |
|
|
preceding tax year; and |
|
|
(C) the market value of all new improvements to |
|
|
the property. |
|
|
SECTION 2. This Act applies only to the appraisal for ad |
|
|
valorem taxation of residence homesteads for a tax year that begins |
|
|
on or after the effective date of this Act. |
|
|
SECTION 3. This Act takes effect January 1, 2026, but only |
|
|
if the constitutional amendment proposed by the 89th Legislature, |
|
|
Regular Session, 2025, to authorize the legislature to set a lower |
|
|
limit on the maximum appraised value of a residence homestead for ad |
|
|
valorem taxation is approved by the voters. If that amendment is |
|
|
not approved by the voters, this Act has no effect. |