Bill Text: TX HB2133 | 2025-2026 | 89th Legislature | Introduced
Bill Title: Relating to a one-time credit against the ad valorem taxes imposed by a taxing unit on the first property that a person purchases and qualifies as the person's residence homestead and to the effect of the credit on the determination of the taxable value of a school district.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2025-01-28 - Filed [HB2133 Detail]
Download: Texas-2025-HB2133-Introduced.html
| 89R4787 LHC-F | ||
| By: Bhojani | H.B. No. 2133 | |
|
|
||
|
|
||
| relating to a one-time credit against the ad valorem taxes imposed | ||
| by a taxing unit on the first property that a person purchases and | ||
| qualifies as the person's residence homestead and to the effect of | ||
| the credit on the determination of the taxable value of a school | ||
| district. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Chapter 31, Tax Code, is amended by adding | ||
| Section 31.039 to read as follows: | ||
| Sec. 31.039. TAX CREDIT FOR FIRST RESIDENCE HOMESTEAD. (a) | ||
| In this section, "residence homestead" has the meaning assigned by | ||
| Section 11.13. | ||
| (b) A person is entitled to a credit against the taxes | ||
| imposed by a taxing unit on the residence homestead of the person in | ||
| the first tax year following the year in which the person purchased | ||
| the property if the person has not previously qualified a property | ||
| as the person's residence homestead. | ||
| (c) The amount of the credit is equal to the lesser of: | ||
| (1) the amount computed by multiplying $3,000 by a | ||
| fraction, the numerator of which is the amount of taxes imposed on | ||
| the residence homestead by the taxing unit and the denominator of | ||
| which is the total amount of taxes imposed on the residence | ||
| homestead by all of the taxing units that impose taxes on the | ||
| residence homestead; or | ||
| (2) one-half of the amount of taxes imposed on the | ||
| residence homestead by the taxing unit. | ||
| (d) To receive a credit under this section, a person must | ||
| file an application with the chief appraiser of the appraisal | ||
| district in which the property is located. The application must | ||
| include an affidavit affirming that the applicant is qualified for | ||
| the credit. The application must be filed not later than the | ||
| deadline for filing an application for a residence homestead | ||
| exemption on the property for the tax year, including any provision | ||
| authorizing the filing of a late application. | ||
| (e) The chief appraiser shall approve or deny an application | ||
| under this section for each taxing unit for which the appraisal | ||
| district appraises the property. A determination of the chief | ||
| appraiser is subject to protest and appeal in the same manner as a | ||
| determination to approve or deny an application for a residence | ||
| homestead exemption. | ||
| (f) The chief appraiser shall forward a copy of the | ||
| application to the assessor for each taxing unit that imposes taxes | ||
| on the residence homestead and certify to the assessor whether the | ||
| chief appraiser has approved or denied the application. | ||
| (g) The comptroller shall adopt rules for the | ||
| administration of this section, including rules prescribing the | ||
| documentation required to establish qualification for the credit. | ||
| (h) A person who has previously received a credit under this | ||
| section may not receive a credit under this section in a subsequent | ||
| tax year. | ||
| SECTION 2. Section 403.302, Government Code, is amended by | ||
| adding Subsection (d-2) to read as follows: | ||
| (d-2) For purposes of Subsection (d), taxable value does not | ||
| include an amount equal to the taxable value required to generate | ||
| revenue, when taxed at the school district's tax rate in the year | ||
| that is the subject of the study, in an amount that is equal to the | ||
| total amount of the credits provided by the district under Section | ||
| 31.039, Tax Code, in that year. | ||
| SECTION 3. This Act applies only to ad valorem taxes imposed | ||
| for a tax year beginning on or after the effective date of this Act. | ||
| SECTION 4. 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 provide for | ||
| a one-time credit against the ad valorem taxes imposed by a | ||
| political subdivision on the first property that a person purchases | ||
| and qualifies as the person's residence homestead and to provide | ||
| for the reimbursement of political subdivisions for the revenue | ||
| loss incurred as a result of the credit is approved by the voters. | ||
| If that amendment is not approved by the voters, this Act has no | ||
| effect. | ||
