89R5476 LHC-D
 
  By: Menéndez S.B. No. 2856
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the penalties and interest that may be incurred on
  delinquent ad valorem taxes imposed on a residence homestead.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 33.01, Tax Code, is amended by adding
  Subsections (g) and (h) to read as follows:
         (g)  Notwithstanding Subsections (a) and (c), a delinquent
  tax on property that qualifies for an exemption under Section 11.13
  that remains unpaid prior to July 1 of the year in which it becomes
  delinquent incurs a total amount of penalty and interest equal to
  seven percent of the amount of the tax. 
         (h)  Notwithstanding Subsections (a), (b), and (c), a tax on
  property that qualifies for an exemption under Section 11.13 that
  is delinquent on July 1 incurs a total amount of penalty and
  interest equal to 12 percent of the amount of the tax, regardless of
  the number of months the tax has been delinquent. 
         SECTION 2.  The changes in law made by this Act apply only to
  the penalty and interest incurred on a tax that becomes delinquent
  on or after the effective date of this Act. The penalty and
  interest incurred on a tax that became delinquent before the
  effective date of this Act are governed by the law in effect on the
  date the tax became delinquent, and the former law is continued in
  effect for that purpose.
         SECTION 3.  This Act takes effect September 1, 2025.