Bill Text: TX HB511 | 2025-2026 | 89th Legislature | Introduced

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Bill Title: Relating to an exemption from ad valorem taxation of the total appraised value of the residence homestead of an unpaid caregiver of an individual who is eligible to receive long-term services and supports under the Medicaid program while the individual is on a waiting list for the services and supports.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-11-12 - Filed [HB511 Detail]

Download: Texas-2025-HB511-Introduced.html

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By: Bernal H.B. No. 511

A BILL TO BE ENTITLED
AN ACT
relating to an exemption from ad valorem taxation of the total
appraised value of the residence homestead of an unpaid caregiver
of an individual who is eligible to receive long-term services and
supports under the Medicaid program while the individual is on a
waiting list for the services and supports.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter B, Chapter 11, Tax Code, is amended by
adding Section 11.136 to read as follows:
Sec. 11.136. RESIDENCE HOMESTEAD OF UNPAID CAREGIVER. (a)
In this section:
(1) "Qualifying caregiver" means a person who:
(A) is the parent, grandparent, or other legal
guardian of a qualifying individual; and
(B) provides care to the qualifying individual
without cost to the individual.
(2) "Qualifying individual" means a person who:
(A) is eligible to receive long-term services and
supports under the Medicaid program; and
(B) resides with a qualifying caregiver.
(3) "Residence homestead" has the meaning assigned by
Section 11.13.
(4) "Section 1915(c) waiver program" has the meaning
assigned by Section 531.001, Government Code.
(b) A qualifying caregiver is entitled to an exemption from
taxation of the total appraised value of the qualifying caregiver's
residence homestead for the period prescribed by Subsection (c).
(c) A qualifying caregiver is eligible to receive an
exemption under this section only for the period during which the
qualifying individual for whom the qualifying caregiver provides
care is on an interest list for long-term services and supports
under the Medicaid program, including services and supports
provided under a Section 1915(c) waiver program, the STAR Kids
managed care program, or the STAR+PLUS home and community-based
services and supports program.
SECTION 2. Section 11.42(e), Tax Code, is amended to read as
follows:
(e) A person who qualifies for an exemption under Section
11.131, 11.136, or 11.35 after January 1 of a tax year may receive
the exemption for the applicable portion of that tax year
immediately on qualification for the exemption.
SECTION 3. Section 11.43(c), Tax Code, is amended to read as
follows:
(c) An exemption provided by Section 11.13, 11.131, 11.132,
11.133, 11.134, 11.136, 11.17, 11.18, 11.182, 11.1827, 11.183,
11.19, 11.20, 11.21, 11.22, 11.23(a), (h), (j), (j-1), or (m),
11.231, 11.254, 11.27, 11.271, 11.29, 11.30, 11.31, 11.315, or
11.35, once allowed, need not be claimed in subsequent years, and
except as otherwise provided by Subsection (e), the exemption
applies to the property until it changes ownership or the person's
qualification for the exemption changes. However, except as
provided by Subsection (r), the chief appraiser may require a
person allowed one of the exemptions in a prior year to file a new
application to confirm the person's current qualification for the
exemption by delivering a written notice that a new application is
required, accompanied by an appropriate application form, to the
person previously allowed the exemption. If the person previously
allowed the exemption is 65 years of age or older, the chief
appraiser may not cancel the exemption due to the person's failure
to file the new application unless the chief appraiser complies
with the requirements of Subsection (q), if applicable.
SECTION 4. Section 26.10(c), Tax Code, is amended to read as
follows:
(c) If the appraisal roll shows that a residence homestead
exemption under Section 11.131 or 11.136 applicable to a property
on January 1 of a year terminated during the year, the tax due
against the residence homestead is calculated by multiplying the
amount of the taxes that otherwise would be imposed on the residence
homestead for the entire year had the individual not qualified for
the residence homestead exemption [under Section 11.131] during the
year by a fraction, the denominator of which is 365 and the
numerator of which is the number of days that elapsed after the date
the exemption terminated.
SECTION 5. Section 26.1125, Tax Code, is amended to read as
follows:
Sec. 26.1125. CALCULATION OF TAXES ON RESIDENCE HOMESTEAD
OF 100 PERCENT OR TOTALLY DISABLED VETERAN OR UNPAID CAREGIVER. (a)
If a person qualifies for an exemption under Section 11.131 or
11.136 after the beginning of a tax year, the amount of the taxes on
the residence homestead of the person for the tax year is calculated
by multiplying the amount of the taxes that otherwise would be
imposed on the residence homestead for the entire year had the
person not qualified for the applicable exemption [under Section
11.131] by a fraction, the denominator of which is 365 and the
numerator of which is the number of days that elapsed before the
date the person qualified for the applicable exemption [under
Section 11.131].
(b) If a person qualifies for an exemption under Section
11.131 or 11.136 with respect to the property after the amount of
the tax due on the property is calculated and the effect of the
qualification is to reduce the amount of the tax due on the
property, the assessor for each taxing unit shall recalculate the
amount of the tax due on the property and correct the tax roll. If
the tax bill has been mailed and the tax on the property has not been
paid, the assessor shall mail a corrected tax bill to the person in
whose name the property is listed on the tax roll or to the person's
authorized agent. If the tax on the property has been paid, the tax
collector for the taxing unit shall refund to the person who was the
owner of the property on the date the tax was paid the amount by
which the payment exceeded the tax due.
SECTION 6. Section 403.302(d-1), Government Code, is
amended to read as follows:
(d-1) For purposes of Subsection (d), a residence homestead
that receives an exemption under Section 11.131, 11.133, [or]
11.134, or 11.136, Tax Code, in the year that is the subject of the
study is not considered to be taxable property.
SECTION 7. Section 11.136, Tax Code, as added by this Act,
applies only to ad valorem taxes imposed for a tax year beginning on
or after the effective date of this Act.
SECTION 8. This Act takes effect January 1, 2026, but only
if the constitutional amendment proposed by the 89th Legislature,
Regular Session, 2025, authorizing the legislature to exempt from
ad valorem taxation the total assessed value of the residence
homestead of an unpaid caregiver of an individual who is eligible to
receive long-term services and supports under the Medicaid program
while the individual is on a waiting list for the services and
supports is approved by the voters. If that constitutional
amendment is not approved by the voters, this Act has no effect.