Bill Text: TX HB359 | 2017 | 85th Legislature 1st Special Session | Introduced
Bill Title: Relating to the limitation on increases in the appraised value of a residence homestead for ad valorem tax purposes.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2017-07-31 - Referred to Ways & Means [HB359 Detail]
Download: Texas-2017-HB359-Introduced.html
| 85S10065 TJB-D | ||
| By: Villalba | H.B. No. 359 | |
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| relating to the limitation on increases in the appraised value of a | ||
| residence homestead for ad valorem tax purposes. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Section 23.23, Tax Code, is amended by amending | ||
| Subsections (a) and (b) and adding Subsection (a-1) 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 | ||
| least [ |
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| (1) the market value of the property for the most | ||
| recent tax year that the market value was determined by the | ||
| appraisal office; [ |
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| (2) the sum of: | ||
| (A) 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; or | ||
| (3) the sum of: | ||
| (A) 25 percent of the lowest appraised value of | ||
| the property for any of the 10 tax years preceding the current tax | ||
| year in which the limitation provided by this subsection was in | ||
| effect; | ||
| (B) the appraised value of the property for the | ||
| tax year used to make the computation under Paragraph (A); and | ||
| (C) the sum of the market value of all new | ||
| improvements to the property made after January 1 of the tax year | ||
| used to make the computation under Paragraph (A), based on the | ||
| market value of each new improvement in the tax year in which the | ||
| value of the improvement was included in the appraised value of the | ||
| property. | ||
| (a-1) This subsection applies only to the 2018, 2019, 2020, | ||
| 2021, 2022, 2023, 2024, 2025, 2026, and 2027 tax years. | ||
| Notwithstanding Subsection (a)(3), an appraisal office shall | ||
| compute the limitation on increases in the appraised value of a | ||
| residence homestead for a tax year under that subdivision based on | ||
| the lowest appraised value of the property for any of the tax years | ||
| beginning with the 2017 tax year in which the limitation provided by | ||
| Subsection (a) was in effect. This subsection expires December 31, | ||
| 2027. | ||
| (b) When appraising a residence homestead, the chief | ||
| appraiser shall: | ||
| (1) appraise the property at its market value; and | ||
| (2) include in the appraisal records [ |
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| value of the property, [ |
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| (a)(2), and the amount computed under Subsection (a)(3). | ||
| SECTION 2. This Act applies only to the appraisal for ad | ||
| valorem tax purposes 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, 2018, but only | ||
| if the constitutional amendment proposed by the 85th Legislature, | ||
| 1st Called Session, 2017, to authorize the legislature to establish | ||
| an additional limitation on the maximum appraised value of a | ||
| residence homestead for ad valorem tax purposes of 125 percent or a | ||
| greater percentage of the lowest appraised value of the residence | ||
| homestead for any of the preceding 10 tax years is approved by the | ||
| voters. If that amendment is not approved by the voters, this Act | ||
| has no effect. | ||
