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  S.B. No. 8
 
 
 
 
AN ACT
  relating to the authority of a person who acquires a residence
  homestead to receive an ad valorem tax exemption for the homestead
  in the year in which the property is acquired and to the protection
  of school districts against the resulting loss in revenue.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 11.42, Tax Code, is amended by adding
  Subsection (f) to read as follows:
         (f)  A person who acquires property after January 1 of a tax
  year may receive an exemption authorized by Section 11.13, other
  than an exemption authorized by Section 11.13(c) or (d), for the
  applicable portion of that tax year immediately on qualification
  for the exemption if the preceding owner did not receive the same
  exemption for that tax year.
         SECTION 2.  Section 11.43(d), Tax Code, is amended to read as
  follows:
         (d)  To receive an exemption the eligibility for which is
  determined by the claimant's qualifications on January 1 of the tax
  year, a person required to claim an exemption must file a completed
  exemption application form before May 1 and must furnish the
  information required by the form. A person who after January 1 of a
  tax year acquires property that qualifies for an exemption covered
  by Section 11.42(d) or (f) must apply for the exemption for the
  applicable portion of that tax year before the first anniversary of
  the date the person acquires the property. For good cause shown the
  chief appraiser may extend the deadline for filing an exemption
  application by written order for a single period not to exceed 60
  days.
         SECTION 3.  Section 23.23, Tax Code, is amended by adding
  Subsection (c-1) to read as follows:
         (c-1)  For purposes of Subsection (c), an owner who receives
  an exemption as provided by Section 11.42(f) is considered to have
  qualified the property for the exemption as of January 1 of the tax
  year following the tax year in which the owner acquired the
  property.
         SECTION 4.  Chapter 26, Tax Code, is amended by adding
  Section 26.1115 to read as follows:
         Sec. 26.1115.  CALCULATION OF TAXES ON RESIDENCE HOMESTEAD
  GENERALLY. (a) If an individual receives one or more exemptions
  under Section 11.13 for a portion of a tax year as provided by
  Section 11.42(f), except as provided by Subsection (b) of this
  section, the amount of tax due on the property for that year is
  calculated by:
               (1)  subtracting:
                     (A)  the amount of the taxes that otherwise would
  be imposed on the property for the entire year had the individual
  qualified for the exemptions for the entire year; from
                     (B)  the amount of the taxes that otherwise would
  be imposed on the property for the entire year had the individual
  not qualified for the exemptions during the year;
               (2)  multiplying the remainder determined under
  Subdivision (1) by a fraction, the denominator of which is 365 and
  the numerator of which is the number of days in that year that
  elapsed before the date the individual first qualified the property
  for the exemptions; and
               (3)  adding the product determined under Subdivision
  (2) and the amount described by Subdivision (1)(A).
         (b)  If an individual receives one or more exemptions to
  which Subsection (a) of this section applies for a portion of a tax
  year as provided by Section 11.42(f) and the exemptions terminate
  during the year in which the individual acquired the property, the
  amount of tax due on the property for that year is calculated by:
               (1)  subtracting:
                     (A)  the amount of the taxes that otherwise would
  be imposed on the property for the entire year had the individual
  qualified for the exemptions for the entire year; from
                     (B)  the amount of the taxes that otherwise would
  be imposed on the property for the entire year had the individual
  not qualified for the exemptions during the year;
               (2)  multiplying the remainder determined under
  Subdivision (1) by a fraction, the denominator of which is 365 and
  the numerator of which is the sum of:
                     (A)  the number of days in that year that elapsed
  before the date the individual first qualified the property for the
  exemptions; and
                     (B)  the number of days in that year that elapsed
  after the date the exemptions terminated; and
               (3)  adding the product determined under Subdivision
  (2) and the amount described by Subdivision (1)(A).
         (c)  If an individual qualifies to receive an exemption as
  described by Subsection (a) with respect to a property after the
  amount of tax due on the property is calculated and if the effect of
  the qualification is to reduce the amount of 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 individual
  in whose name the property is listed on the tax roll or to the
  individual's authorized agent. If the tax on the property has been
  paid, the collector for the taxing unit shall refund to the
  individual who paid the tax the amount by which the payment exceeded
  the tax due.
         SECTION 5.  Section 39.082, Education Code, is amended by
  adding Subsection (c-1) to read as follows:
         (c-1)  The system may not include an indicator under
  Subsection (b) or any other performance measure that penalizes a
  school district for failure to collect the amount of taxes equal to
  the total amount of tax refunds provided under Section 26.1115(c),
  Tax Code.
         SECTION 6.  Section 48.202, Education Code, is amended by
  adding Subsection (e-1) to read as follows:
         (e-1)  For purposes of this section, the total amount of
  maintenance and operations taxes collected by a school district
  includes the amount of taxes refunded under Section 26.1115(c), Tax
  Code.
         SECTION 7.  Subchapter F, Chapter 48, Education Code, is
  amended by adding Section 48.2541 to read as follows:
         Sec. 48.2541.  ADDITIONAL STATE AID FOR CERTAIN AD VALOREM
  TAX REFUNDS. For each school year, a school district, including a
  school district that is otherwise ineligible for state aid under
  this chapter, is entitled to state aid in an amount equal to the
  amount of all tax refunds provided under Section 26.1115(c), Tax
  Code.
         SECTION 8.  This Act applies only to a residence homestead
  acquired on or after the effective date of this Act.
         SECTION 9.  This Act takes effect January 1, 2022.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 8 passed the Senate on     
  August 9, 2021, by the following vote:  Yeas 29, Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 8 passed the House on     
  August 27, 2021, by the following vote:  Yeas 121, Nays 0, one
  present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor