TAX CODE
CHAPTER 26. ASSESSMENT
§ 26.01. SUBMISSION OF ROLLS TO TAXING UNITS. (a) By
July 25, the chief appraiser shall prepare and certify to the
assessor for each taxing unit participating in the district that
part of the appraisal roll for the district that lists the property
taxable by the unit. The part certified to the assessor is the
appraisal roll for the unit. The chief appraiser shall consult with
the assessor for each taxing unit and notify each unit in writing by
April 1 of the form in which the roll will be provided to each unit.
(b) When a chief appraiser submits an appraisal roll for
county taxes to a county assessor-collector, the chief appraiser
also shall certify the appraisal district appraisal roll to the
comptroller. However, the comptroller by rule may provide for
submission of only a summary of the appraisal roll. The chief
appraiser shall certify the district appraisal roll or the summary
of that roll in the form and manner prescribed by the comptroller's
rule.
(c) The chief appraiser shall prepare and certify to the
assessor for each taxing unit a listing of those properties which
are taxable by that unit but which are under protest and therefore
not included on the appraisal roll approved by the appraisal review
board and certified by the chief appraiser. This listing shall
include the appraised market value, productivity value (if
applicable), and taxable value as determined by the appraisal
district and shall also include the market value, taxable value,
and productivity value (if applicable) as claimed by the property
owner filing the protest if available. If the property owner does
not claim a value and the appraised value of the property in the
current year is equal to or less than its value in the preceding
year, the listing shall include a reasonable estimate of the market
value, taxable value, and productivity value (if applicable) that
would be assigned to the property if the taxpayer's claim is upheld.
If the property owner does not claim a value and the appraised value
of the property is higher than its appraised value in the preceding
year, the listing shall include the appraised market value,
productivity value (if applicable) and taxable value of the
property in the preceding year, except that if there is a reasonable
likelihood that the appraisal review board will approve a lower
appraised value for the property than its appraised value in the
preceding year, the chief appraiser shall make a reasonable
estimate of the taxable value that would be assigned to the property
if the property owner's claim is upheld. The taxing unit shall use
the lower value for calculations as prescribed in Sections 26.04
and 26.041 of this code.
(d) The chief appraiser shall prepare and certify to the
assessor for each taxing unit a list of those properties of which
the chief appraiser has knowledge that are reasonably likely to be
taxable by that unit but that are not included on the appraisal roll
certified to the assessor under Subsection (a) or included on the
listing certified to the assessor under Subsection (c). The chief
appraiser shall include on the list for each property the market
value, appraised value, and kind and amount of any partial
exemptions as determined by the appraisal district for the
preceding year and a reasonable estimate of the market value,
appraised value, and kind and amount of any partial exemptions for
the current year. Until the property is added to the appraisal
roll, the assessor for the taxing unit shall include each property
on the list in the calculations prescribed by Sections 26.04 and
26.041, and for that purpose shall use the lower market value,
appraised value, or taxable value, as appropriate, included on or
computed using the information included on the list for the
property.
(e) By June 7, the chief appraiser shall prepare and certify
to the assessor for each school district participating in the
appraisal district an estimate of the taxable value of school
district property. The chief appraiser shall assist each school
district in determining values of school district property for the
school district's budgetary purposes.
Acts 1979, 66th Leg., p. 2276, ch. 841, § 1, eff. Jan. 1, 1982.
Amended by Acts 1981, 67th Leg., 1st C.S., p. 162, ch. 13, § 114,
eff. Jan. 1, 1982; Acts 1983, 68th Leg., p. 4615, ch. 786, § 1,
eff. Aug. 29, 1983; Acts 1983, 68th Leg., p. 4826, ch. 851, § 17,
eff. Aug. 29, 1983; Acts 1983, 68th Leg., p. 4946, ch. 884, § 3,
eff. Jan. 1, 1984; Acts 1985, 69th Leg., ch. 312, § 6, eff. June
7, 1985; Acts 1987, 70th Leg., ch. 947, § 1, eff. Jan. 1, 1988;
Acts 1991, 72nd Leg., 2nd C.S., ch. 6, § 44, eff. Sept. 1, 1991;
Acts 1997, 75th Leg., ch. 1040, § 67, eff. Sept. 1, 1997; Acts
1999, 76th Leg., ch. 643, § 2, eff. Sept. 1, 2001; Acts 2001,
77th Leg., ch. 898, § 2, eff. Sept. 1, 2001; Acts 2001, 77th
Leg., ch. 1087, § 1, eff. Jan. 1, 2002.
§ 26.012. DEFINITIONS. In this chapter:
(1) "Additional sales and use tax" means an additional
sales and use tax imposed by:
(A) a city under Section 321.101(b);
(B) a county under Chapter 323; or
(C) a hospital district, other than a hospital
district created on or after September 1, 2001, that:
(i) imposes the sales and use tax under
Subchapter I, Chapter 286, Health and Safety Code; or
(ii) imposes the sales and use tax under
Subchapter L, Chapter 285, Health and Safety Code.
(2) "Collection rate" means the amount, expressed as a
percentage, calculated by:
(A) adding together estimates of the following
amounts:
(i) the total amount of taxes to be levied
in the current year and collected before July 1 of the next year,
including any penalties and interest on those taxes that will be
collected during that period;
(ii) any additional taxes imposed under
Chapter 23 collected between July 1 of the current year and June 30
of the following year; and
(iii) the total amount of delinquent taxes
levied in any preceding year that will be collected between July 1
of the current year and June 30 of the following year, including any
penalties and interest on those taxes that will be collected during
that period; and
(B) dividing the amount calculated under
Paragraph (A) by the total amount of taxes that will be levied in
the current year.
(3) "Current debt" means debt service for the current
year.
(4) "Current debt rate" means a rate expressed in
dollars per $100 of taxable value and calculated according to the
following formula:
CURRENT DEBT RATE = (CURRENT DEBT SERVICE - EXCESS COLLECTIONS) +
(CURRENT TOTAL VALUE X COLLECTION RATE)
CURRENT JUNIOR COLLEGE LEVY
CURRENT TOTAL VALUE
(5) "Current junior college levy" means the amount of
taxes the governing body proposes to dedicate in the current year to
a junior college district under Section 45.105(e), Education Code.
(6) "Current total value" means the total taxable
value of property listed on the appraisal roll for the current year,
including all appraisal roll supplements and corrections as of the
date of the calculation, less the taxable value of property
exempted for the current tax year for the first time under Section
11.31, except that:
(A) the current total value for a school district
excludes:
(i) the total value of homesteads that
qualify for a tax limitation as provided by Section 11.26; and
(ii) new property value of property that is
subject to an agreement entered into under Chapter 313; and
(B) the current total value for a county,
municipality, or junior college district excludes the total value
of homesteads that qualify for a tax limitation provided by Section
11.261.
(7) "Debt" means a bond, warrant, certificate of
obligation, or other evidence of indebtedness owed by a taxing unit
that is payable solely from property taxes in installments over a
period of more than one year, not budgeted for payment from
maintenance and operations funds, and secured by a pledge of
property taxes, or a payment made under contract to secure
indebtedness of a similar nature issued by another political
subdivision on behalf of the taxing unit.
(8) "Debt service" means the total amount expended or
to be expended by a taxing unit from property tax revenues to pay
principal of and interest on debts or other payments required by
contract to secure the debts and, if the unit is created under
Section 52, Article III, or Section 59, Article XVI, Texas
Constitution, payments on debts that the unit anticipates incurring
in the next calendar year.
(9) "Effective maintenance and operations rate" means
a rate expressed in dollars per $100 of taxable value and calculated
according to the following formula:
EFFECTIVE MAINTENANCE AND OPERATIONS RATE =
LAST YEAR'S - LAST YEAR'S - LAST YEAR'S JUNIOR
LEVY DEBT LEVY COLLEGE LEVY
(CURRENT TOTAL VALUE - NEW PROPERTY VALUE)
(10) "Excess collections" means the amount, if any, by
which debt taxes collected in the preceding year exceeded the
amount anticipated in the preceding year's calculation of the
rollback rate, as certified by the collector under Section 26.04(b)
of this code.
(11) "Last year's debt levy" means the total of:
(A) the amount of taxes that would be generated
by multiplying the total taxable value of property on the appraisal
roll for the preceding year, including all appraisal roll
supplements and corrections, other than corrections made pursuant
to Section 25.25(d) of this code, as of the date of calculation, by
the debt rate adopted by the governing body in the preceding year
under Section 26.05(a)(1) of this code; and
(B) the amount of debt taxes refunded by the
taxing unit in the preceding year for tax years before that year.
(12) "Last year's junior college levy" means the
amount of taxes dedicated by the governing body in the preceding
year for use of a junior college district under Section 45.105(e),
Education Code.
(13) "Last year's levy" means the total of:
(A) the amount of taxes that would be generated
by multiplying the total tax rate adopted by the governing body in
the preceding year by the total taxable value of property on the
appraisal roll for the preceding year, including:
(i) taxable value that was reduced in an
appeal under Chapter 42; and
(ii) all appraisal roll supplements and
corrections other than corrections made pursuant to Section
25.25(d), as of the date of the calculation, except that last year's
taxable value for a school district excludes the total value of
homesteads that qualified for a tax limitation as provided by
Section 11.26 and last year's taxable value for a county,
municipality, or junior college district excludes the total value
of homesteads that qualified for a tax limitation as provided by
Section 11.261; and
(B) the amount of taxes refunded by the taxing
unit in the preceding year for tax years before that year.
(14) "Last year's total value" means the total taxable
value of property listed on the appraisal roll for the preceding
year, including all appraisal roll supplements and corrections,
other than corrections made pursuant to Section 25.25(d), as of the
date of the calculation, except that:
(A) last year's taxable value for a school
district excludes the total value of homesteads that qualified for
a tax limitation as provided by Section 11.26; and
(B) last year's taxable value for a county,
municipality, or junior college district excludes the total value
of homesteads that qualified for a tax limitation as provided by
Section 11.261.
(15) "Lost property levy" means the amount of taxes
levied in the preceding year on property value that was taxable in
the preceding year but is not taxable in the current year because
the property is exempt in the current year under a provision of this
code other than Section 11.251, the property has qualified for
special appraisal under Chapter 23 of this code in the current year,
or the property is located in territory that has ceased to be a part
of the unit since the preceding year.
(16) "Maintenance and operations" means any lawful
purpose other than debt service for which a taxing unit may spend
property tax revenues.
(17) "New property value" means:
(A) the total taxable value of property added to
the appraisal roll in the current year by annexation and
improvements listed on the appraisal roll that were made after
January 1 of the preceding tax year, including personal property
located in new improvements that was brought into the unit after
January 1 of the preceding tax year;
(B) property value that is included in the
current total value for the tax year succeeding a tax year in which
any portion of the value of the property was excluded from the total
value because of the application of a tax abatement agreement to all
or a portion of the property, less the value of the property that
was included in the total value for the preceding tax year; and
(C) for purposes of an entity created under
Section 52, Article III, or Section 59, Article XVI, Texas
Constitution, property value that is included in the current total
value for the tax year succeeding a tax year in which the following
occurs:
(i) the subdivision of land by plat;
(ii) the installation of water, sewer, or
drainage lines; or
(iii) the paving of undeveloped land.
Added by Acts 1987, 70th Leg., ch. 947, § 2, eff. Jan. 1, 1988.
Amended by Acts 1989, 71st Leg., ch. 2, § 14.27(d)(1), 14.28(1),
eff. Aug. 28, 1989; Acts 1989, 71st Leg., ch. 66, § 4, eff. Aug.
28, 1989; Acts 1989, 71st Leg., ch. 534, § 3; Acts 1993, 73rd
Leg., ch. 285, § 3, eff. Aug. 30, 1993; Acts 1993, 73rd Leg., ch.
696, § 1, eff. Jan. 1, 1994; Acts 1993, 73rd Leg., ch. 696, §
1, eff. Jan. 1, 1994; Acts 1995, 74th Leg., ch. 506, § 1 to 3,
eff. Aug. 28, 1995; Acts 1997, 75th Leg., ch. 165, § 6.77,
29.01, 29.02, eff. Sept. 1, 1997; Acts 1997, 75th Leg., ch. 1070,
§ 53, eff. Sept. 1, 1997; Acts 2001, 77th Leg., ch. 1290, §
15, eff. Sept. 1, 2001; Acts 2001, 77th Leg., ch. 1505, § 3, eff.
Jan. 1, 2002; Acts 2003, 78th Leg., ch. 396, § 3, eff. Jan. 1,
2004.
§ 26.02. ASSESSMENT RATIOS PROHIBITED. The assessment
of property for taxation on the basis of a percentage of its
appraised value is prohibited. All property shall be assessed on
the basis of 100 percent of its appraised value.
Acts 1979, 66th Leg., p. 2277, ch. 841, § 1, eff. Jan. 1, 1981.
Amended by Acts 1983, 68th Leg., p. 4827, ch. 851, § 18, eff.
Aug. 29, 1983.
§ 26.03. TREATMENT OF CAPTURED APPRAISED VALUE AND TAX
INCREMENT. (a) In this section, "captured appraised value,"
"reinvestment zone," "tax increment," and "tax increment fund" have
the meanings assigned by Chapter 311.
(b) This section does not apply to a school district.
(c) The portion of the captured appraised value of real
property taxable by a taxing unit that corresponds to the portion of
the tax increment of the unit from that property that the unit has
agreed to pay into the tax increment fund for a reinvestment zone
and that is not included in the calculation of "new property value"
as defined by Section 26.012 is excluded from the value of property
taxable by the unit in any tax rate calculation under this chapter.
(d) The portion of the tax increment of a taxing unit that
the unit has agreed to pay into the tax increment fund for a
reinvestment zone is excluded from the amount of taxes imposed or
collected by the unit in any tax rate calculation under this
chapter, except that the portion of the tax increment is not
excluded if in the same tax rate calculation there is no portion of
captured appraised value excluded from the value of property
taxable by the unit under Subsection (c) for the same reinvestment
zone.
Added by Acts 2001, 77th Leg., ch. 503, § 1, eff. Sept. 1, 2001.
Amended by Acts 2003, 78th Leg., ch. 150, § 1, eff. Jan. 1, 2004;
Acts 2003, 78th Leg., ch. 426, § 1, eff. Jan. 1, 2004.
§ 26.04. SUBMISSION OF ROLL TO GOVERNING BODY;
EFFECTIVE AND ROLLBACK TAX RATES. (a) On receipt of the appraisal
roll, the assessor for a taxing unit shall determine the total
appraised value, the total assessed value, and the total taxable
value of property taxable by the unit. He shall also determine,
using information provided by the appraisal office, the appraised,
assessed, and taxable value of new property.
(b) The assessor shall submit the appraisal roll for the
unit showing the total appraised, assessed, and taxable values of
all property and the total taxable value of new property to the
governing body of the unit by August 1 or as soon thereafter as
practicable. By August 1 or as soon thereafter as practicable, the
taxing unit's collector shall certify an estimate of the collection
rate for the current year to the governing body. If the collector
certified an anticipated collection rate in the preceding year and
the actual collection rate in that year exceeded the anticipated
rate, the collector shall also certify the amount of debt taxes
collected in excess of the anticipated amount in the preceding
year.
(c) An officer or employee designated by the governing body
shall calculate the effective tax rate and the rollback tax rate for
the unit, where:
(1) "Effective tax rate" means a rate expressed in
dollars per $100 of taxable value calculated according to the
following formula:
EFFECTIVE TAX RATE = (LAST YEAR'S LEVY - LOST PROPERTY LEVY)
(CURRENT TOTAL VALUE - NEW PROPERTY VALUE)
; and
(2) "Rollback tax rate" means a rate expressed in
dollars per $100 of taxable value calculated according to the
following formula:
ROLLBACK TAX RATE = (EFFECTIVE MAINTENANCE AND OPERATIONS RATE
x 1.08) + CURRENT DEBT RATE
(d) The effective tax rate for a county is the sum of the
effective tax rates calculated for each type of tax the county
levies and the rollback tax rate for a county is the sum of the
rollback tax rates calculated for each type of tax the county
levies.
(e) By August 7 or as soon thereafter as practicable, the
designated officer or employee shall submit the rates to the
governing body. He shall deliver by mail to each property owner in
the unit or publish in a newspaper in the form prescribed by the
comptroller:
(1) the effective tax rate, the rollback tax rate, and
an explanation of how they were calculated;
(2) the estimated amount of interest and sinking fund
balances and the estimated amount of maintenance and operation or
general fund balances remaining at the end of the current fiscal
year that are not encumbered with or by corresponding existing debt
obligation;
(3) a schedule of the unit's debt obligations showing:
(A) the amount of principal and interest that
will be paid to service the unit's debts in the next year from
property tax revenue, including payments of lawfully incurred
contractual obligations providing security for the payment of the
principal of and interest on bonds and other evidences of
indebtedness issued on behalf of the unit by another political
subdivision and, if the unit is created under Section 52, Article
III, or Section 59, Article XVI, Texas Constitution, payments on
debts that the unit anticipates to incur in the next calendar year;
(B) the amount by which taxes imposed for debt
are to be increased because of the unit's anticipated collection
rate; and
(C) the total of the amounts listed in Paragraphs
(A)-(B), less any amount collected in excess of the previous year's
anticipated collections certified as provided in Subsection (b);
(4) the amount of additional sales and use tax revenue
anticipated in calculations under Section 26.041;
(5) a statement that the adoption of a tax rate equal
to the effective tax rate would result in an increase or decrease,
as applicable, in the amount of taxes imposed by the unit as
compared to last year's levy, and the amount of the increase or
decrease;
(6) in the year that a taxing unit calculates an
adjustment under Subsection (i) or (j), a schedule that includes
the following elements:
(A) the name of the unit discontinuing the
department, function, or activity;
(B) the amount of property tax revenue spent by
the unit listed under Paragraph (A) to operate the discontinued
department, function, or activity in the 12 months preceding the
month in which the calculations required by this chapter are made;
and
(C) the name of the unit that operates a distinct
department, function, or activity in all or a majority of the
territory of a taxing unit that has discontinued operating the
distinct department, function, or activity; and
(7) in the year following the year in which a taxing
unit raised its rollback rate as required by Subsection (j), a
schedule that includes the following elements:
(A) the amount of property tax revenue spent by
the unit to operate the department, function, or activity for which
the taxing unit raised the rollback rate as required by Subsection
(j) for the 12 months preceding the month in which the calculations
required by this chapter are made; and
(B) the amount published by the unit in the
preceding tax year under Subdivision (6)(B).
(e-1) The notice requirements imposed by Subsections
(e)(1)-(6) do not apply to a school district.
(f) If as a result of consolidation of taxing units a taxing
unit includes territory that was in two or more taxing units in the
preceding year, the amount of taxes imposed in each in the preceding
year is combined for purposes of calculating the effective and
rollback tax rates under this section.
(g) A person who owns taxable property is entitled to an
injunction prohibiting the taxing unit in which the property is
taxable from adopting a tax rate if the assessor or designated
officer or employee of the unit, as applicable, has not complied
with the computation or publication requirements of this section
and the failure to comply was not in good faith.
(h) For purposes of this section, the anticipated
collection rate of a taxing unit is the percentage relationship
that the total amount of estimated tax collections for the current
year bears to the total amount of taxes imposed for the current
year. The total amount of estimated tax collections for the current
year is the sum of the collector's estimate of:
(1) the total amount of property taxes imposed in the
current year that will be collected before July 1 of the following
year, including any penalties and interest on those taxes that will
be collected during that period; and
(2) the total amount of delinquent property taxes
imposed in previous years that will be collected on or after July 1
of the current year and before July 1 of the following year,
including any penalties and interest on those taxes that will be
collected during that period.
(i) This subsection applies to a taxing unit that has agreed
by written contract to transfer a distinct department, function, or
activity to another taxing unit and discontinues operating that
distinct department, function, or activity if the operation of that
department, function, or activity in all or a majority of the
territory of the taxing unit is continued by another existing
taxing unit or by a new taxing unit. The rollback tax rate of a
taxing unit to which this subsection applies in the first tax year
in which a budget is adopted that does not allocate revenue to the
discontinued department, function, or activity is calculated as
otherwise provided by this section, except that last year's levy
used to calculate the effective maintenance and operations rate of
the unit is reduced by the amount of maintenance and operations tax
revenue spent by the taxing unit to operate the department,
function, or activity for the 12 months preceding the month in which
the calculations required by this chapter are made and in which the
unit operated the discontinued department, function, or activity.
If the unit did not operate that department, function, or activity
for the full 12 months preceding the month in which the calculations
required by this chapter are made, the unit shall reduce last year's
levy used for calculating the effective maintenance and operations
rate of the unit by the amount of the revenue spent in the last full
fiscal year in which the unit operated the discontinued department,
function, or activity.
(j) This subsection applies to a taxing unit that had agreed
by written contract to accept the transfer of a distinct
department, function, or activity from another taxing unit and
operates a distinct department, function, or activity if the
operation of a substantially similar department, function, or
activity in all or a majority of the territory of the taxing unit
has been discontinued by another taxing unit, including a dissolved
taxing unit. The rollback tax rate of a taxing unit to which this
subsection applies in the first tax year after the other taxing unit
discontinued the substantially similar department, function, or
activity in which a budget is adopted that allocates revenue to the
department, function, or activity is calculated as otherwise
provided by this section, except that last year's levy used to
calculate the effective maintenance and operations rate of the unit
is increased by the amount of maintenance and operations tax
revenue spent by the taxing unit that discontinued operating the
substantially similar department, function, or activity to operate
that department, function, or activity for the 12 months preceding
the month in which the calculations required by this chapter are
made and in which the unit operated the discontinued department,
function, or activity. If the unit did not operate the discontinued
department, function, or activity for the full 12 months preceding
the month in which the calculations required by this chapter are
made, the unit may increase last year's levy used to calculate the
effective maintenance and operations rate by an amount not to
exceed the amount of property tax revenue spent by the
discontinuing unit to operate the discontinued department,
function, or activity in the last full fiscal year in which the
discontinuing unit operated the department, function, or activity.
(k) to (q) Expired.
Acts 1979, 66th Leg., p. 2277, ch. 841, § 1, eff. Jan. 1, 1982.
Amended by Acts 1981, 67th Leg., 1st C.S., p. 163, ch. 13, § 116,
eff. Jan. 1, 1982; Acts 1983, 68th Leg., p. 2165, ch. 400, § 1,
eff. June 17, 1983; Acts 1983, 68th Leg., p. 5376, ch. 987, § 3,
eff. June 19, 1983; Acts 1983, 68th Leg., p. 5402, ch. 1001, § 1,
eff. Jan. 1, 1984; Acts 1985, 69th Leg., ch. 657, § 1, 2, eff.
June 14, 1985; Acts 1985, 69th Leg., 1st C.S., ch. 1, § 2, eff.
Sept. 1, 1985; Acts 1986, 69th Leg., 3rd C.S., ch. 10, art. 1, §
36, eff. Jan. 1, 1987; Acts 1987, 70th Leg., ch. 699, § 1, eff.
June 19, 1987; Acts 1987, 70th Leg., ch. 849, § 2, eff. Aug. 31,
1987; Acts 1987, 70th Leg., ch. 947, § 3, eff. Jan. 1, 1988;
Acts 1987, 70th Leg., ch. 988, § 1, eff. June 18, 1987; Acts
1991, 72nd Leg., ch. 14, § 284 (18), eff. Sept. 1, 1991; Acts
1991, 72nd Leg., 2nd C.S., ch. 6, § 45, eff. Sept. 1, 1991; Acts
1993, 73rd Leg., ch. 81, § 2, eff. May 4, 1993; Acts 1993, 73rd
Leg., ch. 611, § 1, 2, eff. Aug. 30, 1993; Acts 1997, 75th Leg.,
ch. 165, § 29.01, 29.03, eff. Sept. 1, 1997; Acts 1997, 75th
Leg., ch. 1070, § 54, eff. Sept. 1, 1997; Acts 1999, 76th Leg.,
ch. 398, § 2, eff. Aug. 30, 1999; Acts 1999, 76th Leg., ch. 1358,
§ 1, eff. Jan. 1, 2000; Acts 1999, 76th Leg., ch. 1561, § 1,
eff. Aug. 30, 1999.
§ 26.041. TAX RATE OF UNIT IMPOSING ADDITIONAL SALES AND
USE TAX. (a) In the first year in which an additional sales and
use tax is required to be collected, the effective tax rate and
rollback tax rate for the unit are calculated according to the
following formulas:
EFFECTIVE TAX RATE = (LAST YEAR'S LEVY - LOST PROPERTY LEVY –
(CURRENT TOTAL VALUE - NEW PROPERTY VALUE)
SALES TAX GAIN RATE
and
ROLLBACK RATE = (EFFECTIVE MAINTENANCE AND OPERATIONS RATE x
1.08) + CURRENT DEBT RATE - SALES TAX GAIN
RATE
where "sales tax gain rate" means a number expressed in dollars per
$100 of taxable value, calculated by dividing the revenue that will
be generated by the additional sales and use tax in the following
year as calculated under Subsection (d) of this section by the
current total value.
(b) Except as provided by Subsections (a) and (c) of this
section, in a year in which a taxing unit imposes an additional
sales and use tax the rollback tax rate for the unit is calculated
according to the following formula, regardless of whether the unit
levied a property tax in the preceding year:
ROLLBACK RATE =
(LAST YEAR'S MAINTENANCE AND OPERATIONS EXPENSE x 1.08) +
(TOTAL CURRENT VALUE - NEW PROPERTY VALUE)
(CURRENT DEBT RATE - SALES TAX REVENUE RATE)
where "last year's maintenance and operations expense" means the
amount spent for maintenance and operations from property tax and
additional sales and use tax revenues in the preceding year, and
"sales tax revenue rate" means a number expressed in dollars per
$100 of taxable value, calculated by dividing the revenue that will
be generated by the additional sales and use tax in the current year
as calculated under Subsection (d) of this section by the current
total value.
(c) In a year in which a taxing unit that has been imposing
an additional sales and use tax ceases to impose an additional sales
and use tax the effective tax rate and rollback tax rate for the
unit are calculated according to the following formulas:
EFFECTIVE TAX RATE =
(LAST YEAR'S LEVY - LOST PROPERTY LEVY) +
(CURRENT TOTAL VALUE - NEW PROPERTY VALUE)
SALES TAX LOSS RATE
and
ROLLBACK TAX RATE =
(LAST YEAR'S MAINTENANCE AND OPERATIONS EXPENSE x 1.08) +
(TOTAL CURRENT VALUE - NEW PROPERTY VALUE)
CURRENT DEBT RATE
where "sales tax loss rate" means a number expressed in dollars per
$100 of taxable value, calculated by dividing the amount of sales
and use tax revenue generated in the last four quarters for which
the information is available by the current total value and "last
year's maintenance and operations expense" means the amount spent
for maintenance and operations from property tax and additional
sales and use tax revenues in the preceding year.
(d) In order to determine the amount of additional sales and
use tax revenue for purposes of this section, the designated
officer or employee shall use the sales and use tax revenue for the
last preceding four quarters for which the information is available
as the basis for projecting the additional sales and use tax revenue
for the current tax year. If the rate of the additional sales and
use tax is increased or reduced, the projection to be used for the
first tax year after the effective date of the sales and use tax
change shall be adjusted to exclude any revenue gained or lost
because of the sales and use tax rate change. If the unit did not
impose an additional sales and use tax for the last preceding four
quarters, the designated officer or employee shall request the
comptroller of public accounts to provide to the officer or
employee a report showing the estimated amount of taxable sales and
uses within the unit for the previous four quarters as compiled by
the comptroller, and the comptroller shall comply with the request.
The officer or employee shall prepare the estimate of the
additional sales and use tax revenue for the first year of the
imposition of the tax by multiplying the amount reported by the
comptroller by the appropriate additional sales and use tax rate
and by multiplying that product by .95.
(e) If a city that imposes an additional sales and use tax
receives payments under the terms of a contract executed before
January 1, 1986, in which the city agrees not to annex certain
property or a certain area and the owners or lessees of the property
or of property in the area agree to pay at least annually to the city
an amount determined by reference to all or a percentage of the
property tax rate of the city and all or a part of the value of the
property subject to the agreement or included in the area subject to
the agreement, the governing body, by order adopted by a majority
vote of the governing body, may direct the designated officer or
employee to add to the effective and rollback tax rates the amount
that, when applied to the total taxable value submitted to the
governing body, would produce an amount of taxes equal to the
difference between the total amount of payments for the tax year
under contracts described by this subsection under the rollback tax
rate calculated under this section and the total amount of payments
for the tax year that would have been obligated to the city if the
city had not adopted an additional sales and use tax.
(f) An estimate made by the comptroller under Subsection (d)
of this section need not be adjusted to take into account any
projection of additional revenue attributable to increases in the
total value of items taxable under the state sales and use tax
because of amendments of Chapter 151, Tax Code.
(g) If the rate of the additional sales and use tax is
increased, the designated officer or employee shall make two
projections, in the manner provided by Subsection (d) of this
section, of the revenue generated by the additional sales and use
tax in the following year. The first projection must take into
account the increase and the second projection must not take into
account the increase. The officer or employee shall then subtract
the amount of the result of the second projection from the amount of
the result of the first projection to determine the revenue
generated as a result of the increase in the additional sales and
use tax. In the first year in which an additional sales and use tax
is increased, the effective tax rate for the unit is the effective
tax rate before the increase minus a number the numerator of which
is the revenue generated as a result of the increase in the
additional sales and use tax, as determined under this subsection,
and the denominator of which is the current total value minus the
new property value.
(h) If the rate of the additional sales and use tax is
decreased, the designated officer or employee shall make two
projections, in the manner provided by Subsection (d) of this
section, of the revenue generated by the additional sales and use
tax in the following year. The first projection must take into
account the decrease and the second projection must not take into
account the decrease. The officer or employee shall then subtract
the amount of the result of the first projection from the amount of
the result of the second projection to determine the revenue lost as
a result of the decrease in the additional sales and use tax. In the
first year in which an additional sales and use tax is decreased,
the effective tax rate for the unit is the effective tax rate before
the decrease plus a number the numerator of which is the revenue
lost as a result of the decrease in the additional sales and use
tax, as determined under this subsection, and the denominator of
which is the current total value minus the new property value.
(i) Any amount derived from the sales and use tax that is or
will be distributed by a county to the recipient of an economic
development grant made under Chapter 381, Local Government Code, is
not considered to be sales and use tax revenue for purposes of this
section.
(j) Any amount derived from the sales and use tax that is
retained by the comptroller under Section 4 or 5, Chapter 1507, Acts
of the 76th Legislature, Regular Session, 1999 (Article 5190.14,
Vernon's Texas Civil Statutes), is not considered to be sales and
use tax revenue for purposes of this section.
Added by Acts 1986, 69th Leg., 3rd C.S., ch. 10, art. 1, § 17,
eff. Jan. 1, 1987. Amended by Acts 1987, 70th Leg., ch. 11, § 11,
eff. April 2, 1987; Acts 1987, 70th Leg., ch. 947, § 4, eff. Jan.
1, 1988; Acts 1989, 71st Leg., ch. 256, § 3, eff. Sept. 1, 1989;
Acts 1991, 72nd Leg., ch. 184, § 8, eff. May 24, 1991; Acts 1995,
74th Leg., ch. 1012, § 1, eff. Sept. 1, 1995; Acts 1997, 75th
Leg., ch. 165, § 29.04, eff. Sept. 1, 1997; Acts 2003, 78th
Leg., ch. 814, § 5.08, eff. Sept. 1, 2003.
§ 26.043. EFFECTIVE TAX RATE IN CITY IMPOSING MASS
TRANSIT SALES AND USE TAX. (a) In the tax year in which a city has
set an election on the question of whether to impose a local sales
and use tax under Subchapter H, Chapter 453, Transportation Code,
the officer or employee designated to make the calculations
provided by Section 26.04 may not make those calculations until the
outcome of the election is determined. If the election is
determined in favor of the imposition of the tax, the
representative shall subtract from the city's rollback and
effective tax rates the amount that, if applied to the city's
current total value, would impose an amount equal to the amount of
property taxes budgeted in the current tax year to pay for expenses
related to mass transit services.
(b) In a tax year to which this section applies, a reference
in this chapter to the city's effective or rollback tax rate refers
to that rate as adjusted under this section.
(c) For the purposes of this section, "mass transit
services" does not include the construction, reconstruction, or
general maintenance of municipal streets.
Added by Acts 1986, 69th Leg., 3rd C.S., ch. 10, art. 1, § 35,
eff. Jan. 1, 1987. Amended by Acts 1987, 70th Leg., ch. 947, § 6,
eff. Jan. 1, 1988; Acts 1991, 72nd Leg., ch. 736, § 1, eff. June
15, 1991; Acts 1997, 75th Leg., ch. 165, § 29.05, eff. Sept. 1,
1997.
§ 26.044. EFFECTIVE TAX RATE TO PAY FOR STATE CRIMINAL
JUSTICE MANDATE. (a) The first time that a county adopts a tax
rate after September 1, 1991, in which the state criminal justice
mandate applies to the county, the effective maintenance and
operation rate for the county is increased by the rate calculated
according to the following formula:
(State Criminal Justice Mandate)
(Current Total Value - New Property Value)
(b) In the second and subsequent years that a county adopts
a tax rate, if the amount spent by the county for the state criminal
justice mandate increased over the previous year, the effective
maintenance and operation rate for the county is increased by the
rate calculated according to the following formula:
(This Year's State Criminal Justice Mandate - Previous Year's State
Criminal Justice Mandate)
(Current Total Value - New Property Value)
(c) The county shall include a notice of the increase in the
effective maintenance and operation rate provided by this section,
including a description and amount of the state criminal justice
mandate, in the information published under Section 26.04(e) and
Section 26.06(b) of this code.
(d) In this section, "state criminal justice mandate" means
the amount spent by the county in the previous 12 months providing
for the maintenance and operation cost of keeping inmates in
county-paid facilities after they have been sentenced to the
institutional division of the Texas Department of Criminal Justice
as certified by the county auditor based on information provided by
the county sheriff, minus the amount received from state revenue
for reimbursement of such costs.
Added by Acts 1991, 72nd Leg., 2nd C.S., ch. 10, § 11.10, eff.
Aug. 29, 1991.
§ 26.0441. TAX RATE ADJUSTMENT FOR INDIGENT HEALTH
CARE. (a) In the first tax year in which a taxing unit adopts a
tax rate after January 1, 2000, and in which the enhanced minimum
eligibility standards for indigent health care established under
Section 61.006, Health and Safety Code, apply to the taxing unit,
the effective maintenance and operations rate for the taxing unit
is increased by the rate computed according to the following
formula:
Enhanced Indigent Health Care Expenditures
Amount of Increase = __________________________________________
(Current Total Value - New Property Value)
(b) In each subsequent tax year, if the taxing unit's
enhanced indigent health care expenses exceed the amount of those
expenses for the preceding year, the effective maintenance and
operations rate for the taxing unit is increased by the rate
computed according to the following formula:
(Current Tax Year's Enhanced Indigent Health
Care Expenditures - Preceding Tax Year's
Indigent Health Care Expenditures)
Amount of Increase = __________________________________________
(Current Total Value - New Property Value)
(c) The taxing unit shall include a notice of the increase
in its effective maintenance and operations rate provided by this
section, including a brief description and the amount of the
enhanced indigent health care expenditures, in the information
published under Section 26.04(e) and, if applicable, Section
26.06(b).
(d) In this section, "enhanced indigent health care
expenditures" for a tax year means the amount spent by the taxing
unit for the maintenance and operation costs of providing indigent
health care at the increased minimum eligibility standards
established under Section 61.006, Health and Safety Code, effective
on or after January 1, 2000, in the period beginning on July 1 of the
year preceding the tax year for which the tax is adopted and ending
on June 30 of the tax year for which the tax is adopted, less the
amount of state assistance received by the taxing unit in
accordance with Chapter 61, Health and Safety Code, that is
attributable to those costs.
Added by Acts 1999, 76th Leg., ch. 1377, § 1.27, eff. Sept. 1,
1999.
§ 26.045. ROLLBACK RELIEF FOR POLLUTION CONTROL
REQUIREMENTS. (a) The rollback tax rate for a political
subdivision of this state is increased by the rate that, if applied
to the total current value, would impose an amount of taxes equal to
the amount the political subdivision will spend out of its
maintenance and operation funds under Section 26.012(16), Tax Code,
to pay for a facility, device, or method for the control of air,
water, or land pollution that is necessary to meet the requirements
of a permit issued by the Texas Natural Resource Conservation
Commission.
(b) In this section, "facility, device, or method for
control of air, water, or land pollution" means any land,
structure, building, installation, excavation, machinery,
equipment, or device, and any attachment or addition to or
reconstruction, replacement, or improvement of that property, that
is used, constructed, acquired, or installed wholly or partly to
meet or exceed rules or regulations adopted by any environmental
protection agency of the United States or this state for the
prevention, monitoring, control, or reduction of air, water, or
land pollution.
(c) To receive an adjustment to the rollback tax rate under
this section, a political subdivision shall present information to
the executive director of the Texas Natural Resource Conservation
Commission in a permit application or in a request for any exemption
from a permit that would otherwise be required detailing:
(1) the anticipated environmental benefits from the
installation of the facility, device, or method for the control of
air, water, or land pollution;
(2) the estimated cost of the pollution control
facility, device, or method; and
(3) the purpose of the installation of the facility,
device, or method, and the proportion of the installation that is
pollution control property.
(d) Following submission of the information required by
Subsection (c), the executive director of the Texas Natural
Resource Conservation Commission shall determine if the facility,
device, or method is used wholly or partly as a facility, device, or
method for the control of air, water, or land pollution. If the
executive director determines that the facility, device, or method
is used wholly or partly to control pollution, the director shall
issue a letter to the political subdivision stating that
determination and the portion of the cost of the installation that
is pollution control property.
(e) The Texas Natural Resource Conservation Commission may
charge a political subdivision seeking a determination that
property is pollution control property an additional fee not to
exceed its administrative costs for processing the information,
making the determination, and issuing the letter required by this
section. The commission may adopt rules to implement this section.
(f) A political subdivision of the state seeking an
adjustment in its rollback tax rate under this section shall
provide to its tax assessor a copy of the letter issued by the
executive director of the Texas Natural Resource Conservation
Commission under Subsection (d). The tax assessor shall accept the
copy of the letter from the executive director as conclusive
evidence that the facility, device, or method is used wholly or
partly as pollution control property and shall adjust the rollback
tax rate for the political subdivision as provided for by
Subsection (a).
Added by Acts 1993, 73rd Leg., ch. 285, § 4, eff. Aug. 30, 1993.
§ 26.05. TAX RATE. (a) The governing body of each
taxing unit, before the later of September 30 or the 60th day after
the date the certified appraisal roll is received by the taxing
unit, shall adopt a tax rate for the current tax year and shall
notify the assessor for the unit of the rate adopted. The tax rate
consists of two components, each of which must be approved
separately. The components are:
(1) the rate that, if applied to the total taxable
value, will impose the total amount published under Section
26.04(e)(3)(C), less any amount of additional sales and use tax
revenue that will be used to pay debt service; and
(2) the rate that, if applied to the total taxable
value, will impose the amount of taxes needed to fund maintenance
and operation expenditures of the unit for the next year.
(b) A taxing unit may not impose property taxes in any year
until the governing body has adopted a tax rate for that year, and
the annual tax rate must be set by ordinance, resolution, or order,
depending on the method prescribed by law for adoption of a law by
the governing body. The vote on the ordinance, resolution, or order
setting the tax rate must be separate from the vote adopting the
budget.
(c) If the governing body of a taxing unit does not adopt a
tax rate before the date required by Subsection (a), the tax rate
for the taxing unit for that tax year is the lower of the effective
tax rate calculated for that tax year or the tax rate adopted by the
taxing unit for the preceding tax year. A tax rate established by
this subsection is treated as an adopted tax rate. Before the fifth
day after the establishment of a tax rate by this subsection, the
governing body of the taxing unit must ratify the applicable tax
rate in the manner required by Subsection (b).
(d) The governing body of a taxing district other than a
school district may not adopt a tax rate that exceeds the lower of
the rollback tax rate or 103 percent of the effective tax rate
calculated as provided by this chapter until the governing body has
held a public hearing on the proposed tax rate and has otherwise
complied with Section 26.06 and Section 26.065. The governing body
of a taxing unit shall reduce a tax rate set by law or by vote of the
electorate to the lower of the rollback tax rate or 103 percent of
the effective tax rate and may not adopt a higher rate unless it
first complies with Section 26.06.
(e) A person who owns taxable property is entitled to an
injunction restraining the collection of taxes by a taxing unit in
which the property is taxable if the taxing unit has not complied
with the requirements of this section and the failure to comply was
not in good faith. An action to enjoin the collection of taxes must
be filed prior to the date a taxing unit delivers substantially all
of its tax bills.
(f) Except as required by the law under which an obligation
was created, the governing body may not apply any tax revenues
generated by the rate described in Subsection (a)(1) of this
section for any purpose other than the retirement of debt.
Acts 1979, 66th Leg., p. 2268, ch. 841, § 1, eff. Jan. 1, 1982.
Amended by Acts 1981, 67th Leg., 1st C.S., p. 164, ch. 13, § 117,
eff. Jan. 1, 1982; Acts 1985, 69th Leg., ch. 657, § 3, eff. June
14, 1985; Acts 1987, 70th Leg., ch. 699, § 2, eff. June 19, 1987;
Acts 1987, 70th Leg., ch. 947, § 7, eff. Jan. 1, 1988; Acts 1987,
70th Leg., ch. 988, § 2, eff. June 18, 1987; Acts 1991, 72nd
Leg., ch. 404, § 1, eff. Jan. 1, 1992; Acts 1997, 75th Leg., ch.
165, § 29.06, eff. Sept. 1, 1997; Acts 1997, 75th Leg., ch.
1039, § 27, eff. Jan. 1, 1998; Acts 1999, 76th Leg., ch. 398,
§ 3, eff. Aug. 30, 1999; Acts 1999, 76th Leg., ch. 423, § 1,
eff. Jan. 1, 2000; Acts 1999, 76th Leg., ch. 1358, § 2, eff. Jan.
1, 2000.
§ 26.051. EVIDENCE OF UNRECORDED TAX RATE
ADOPTION. (a) If a taxing unit does not make a proper record of
the adoption of a tax rate for a year but the tax rate can be
determined by examining the tax rolls for that year, the governing
body of the taxing unit may take testimony or make other inquiry to
determine whether a tax rate was properly adopted for that year. If
the governing body determines that a tax rate was properly adopted,
it may order that its official records for that year be amended nunc
pro tunc to reflect the adoption of the rate.
(b) An amendment of the official records made under
Subsection (a) of this section is prima facie evidence that the tax
rate entered into the records was properly and regularly adopted
for that year.
Added by Acts 1989, 71st Leg., ch. 2, § 14.01(a), eff. Aug. 28,
1989.
§ 26.052. SIMPLIFIED TAX RATE NOTICE FOR TAXING UNITS
WITH LOW TAX LEVIES. (a) This section applies only to a taxing
unit for which the total tax rate proposed for the current tax year:
(1) is 50 cents or less per $100 of taxable value; and
(2) would impose taxes of $500,000 or less when
applied to the current total value for the taxing unit.
(b) A taxing unit to which this section applies is exempt
from the notice and publication requirements of Section 26.04(e)
and is not subject to an injunction under Section 26.04(g) for
failure to comply with those requirements.
(c) A taxing unit to which this section applies may provide
public notice of its proposed tax rate in either of the following
methods not later than the seventh day before the date on which the
tax rate is adopted:
(1) mailing a notice of the proposed tax rate to each
owner of taxable property in the taxing unit; or
(2) publishing notice of the proposed tax rate in the
legal notices section of a newspaper having general circulation in
the taxing unit.
(d) A taxing unit that provides public notice of a proposed
tax rate under Subsection (c) is exempt from Sections 26.05(d) and
26.06 and is not subject to an injunction under Section 26.05(e) for
failure to comply with Section 26.05(d). A taxing unit that
provides public notice of a proposed tax rate under Subsection (c)
may not adopt a tax rate that exceeds the rate set out in the notice
unless the taxing unit provides additional public notice under
Subsection (c) of the higher rate or complies with Sections
26.05(d) and 26.06, as applicable, in adopting the higher rate.
(e) Public notice provided under Subsection (c) must
specify:
(1) the tax rate that the governing body proposes to
adopt;
(2) the date, time, and location of the meeting of the
governing body of the taxing unit at which the governing body will
consider adopting the proposed tax rate; and
(3) if the proposed tax rate for the taxing unit
exceeds the unit's effective tax rate calculated as provided by
Section 26.04, a statement substantially identical to the
following: "The proposed tax rate would increase total taxes in
(name of taxing unit) by (percentage by which the proposed tax rate
exceeds the effective tax rate)."
Added by Acts 1999, 76th Leg., ch. 255, § 1, eff. May 28, 1999.
§ 26.06. NOTICE, HEARING, AND VOTE ON TAX
INCREASE. (a) A public hearing required by Section 26.05 may not
be held before the seventh day after the date the notice of the
public hearing on the proposed tax increase is given. The hearing
must be on a weekday that is not a public holiday. The hearing must
be held inside the boundaries of the unit in a publicly owned
building or, if a suitable publicly owned building is not
available, in a suitable building to which the public normally has
access. At the hearing, the governing body must afford adequate
opportunity for proponents and opponents of the tax increase to
present their views.
(b) The notice of a public hearing may not be smaller than
one-quarter page of a standard-size or a tabloid-size newspaper,
and the headline on the notice must be in 18-point or larger type.
The notice must:
(1) contain a statement in the following form:
"NOTICE OF PUBLIC HEARING ON TAX INCREASE
"The (name of the taxing unit) will hold a public hearing on a
proposal to increase total tax revenues from properties on the tax
roll in the preceding year by (percentage by which proposed tax rate
exceeds lower of rollback tax rate or effective tax rate calculated
under this chapter ) percent. Your individual taxes may increase at
a greater or lesser rate, or even decrease, depending on the change
in the taxable value of your property in relation to the change in
taxable value of all other property and the tax rate that is
adopted.
"The public hearing will be held on (date and time) at
(meeting place).
"(Names of all members of the governing body, showing how
each voted on the proposal to consider the tax increase or, if one
or more were absent, indicating the absences.)"; and
(2) contain the following information:
(A) the unit's adopted tax rate for the preceding
year and the proposed tax rate, expressed as an amount per $100;
(B) the difference, expressed as an amount per
$100 and as a percent increase or decrease, as applicable, in the
proposed tax rate compared to the adopted tax rate for the preceding
year;
(C) the average appraised value of a residence
homestead in the taxing unit in the preceding year and in the
current year; the unit's homestead exemption, other than an
exemption available only to disabled persons or persons 65 years of
age or older, applicable to that appraised value in each of those
years; and the average taxable value of a residence homestead in
the unit in each of those years, disregarding any homestead
exemption available only to disabled persons or persons 65 years of
age or older;
(D) the amount of tax that would have been
imposed by the unit in the preceding year on a residence homestead
appraised at the average appraised value of a residence homestead
in that year, disregarding any homestead exemption available only
to disabled persons or persons 65 years of age or older;
(E) the amount of tax that would be imposed by the
unit in the current year on a residence homestead appraised at the
average appraised value of a residence homestead in the current
year, disregarding any homestead exemption available only to
disabled persons or persons 65 years of age or older, if the
proposed tax rate is adopted; and
(F) the difference between the amounts of tax
calculated under Paragraphs (D) and (E), expressed in dollars and
cents and described as the annual increase or decrease, as
applicable, in the tax to be imposed by the unit on the average
residence homestead in the unit in the current year if the proposed
tax rate is adopted.
(c) The notice may be delivered by mail to each property
owner in the unit, or it may be published in a newspaper. If the
notice is published in a newspaper, it may not be in the part of the
paper in which legal notices and classified advertisements appear.
(d) At the public hearing the governing body shall announce
the date, time, and place of the meeting at which it will vote on the
proposed tax rate. After the hearing the governing body shall give
notice of the meeting at which it will vote on the proposed tax rate
and the notice shall be in the same form as prescribed by
Subsections (b) and (c), except that it must state the following:
"NOTICE OF VOTE ON TAX RATE
"The (name of the taxing unit) conducted a public hearing on a
proposal to increase the total tax revenues of the (name of the
taxing unit) from properties on the tax roll in the preceding year
by (percentage by which proposed tax rate exceeds lower of rollback
tax rate or effective tax rate calculated under this chapter )
percent on (date and time public hearing was conducted).
"The (governing body of the taxing unit) is scheduled to vote
on the tax rate that will result in that tax increase at a public
meeting to be held on (date and time) at (meeting place)."
(e) The meeting to vote on the tax increase may not be
earlier than the third day or later than the 14th day after the date
of the public hearing. The meeting must be held inside the
boundaries of the taxing unit in a publicly owned building or, if a
suitable publicly owned building is not available, in a suitable
building to which the public normally has access. If the governing
body does not adopt a tax rate that exceeds the lower of the
rollback tax rate or 103 percent of the effective tax rate by the
14th day, it must give a new notice under Subsection (d) before it
may adopt a rate that exceeds the lower of the rollback tax rate or
103 percent of the effective tax rate.
(f) The comptroller by rule shall prescribe the language and
format to be used in the part of the notice required by Subsection
(b)(2). A notice under Subsection (b) is not valid if it does not
substantially conform to the language and format prescribed by the
comptroller under this subsection.
(g) This section does not apply to a school district. A
school district shall provide notice of a public hearing on a tax
increase as required by Section 44.004, Education Code.
Acts 1979, 66th Leg., p. 2278, ch. 841, § 1, eff. Jan. 1, 1982.
Amended by Acts 1981, 67th Leg., 1st C.S., p. 164, ch. 13, § 118,
eff. Jan. 1, 1982; Acts 1983, 68th Leg., p. 5464, ch. 1029, § 1,
eff. Sept. 1, 1983; Acts 1985, 69th Leg., ch. 657, § 4, eff. June
14, 1985; Acts 1985, 69th Leg., 1st C.S., ch. 1, § 3, eff. Sept.
1, 1986; Acts 1987, 70th Leg., ch. 456, § 1, eff. Aug. 31, 1987;
Acts 1987, 70th Leg., ch. 947, § 8, eff. Jan. 1, 1988; Acts 1989,
71st Leg., ch. 940, § 1, eff. Sept. 1, 1989; Acts 1991, 72nd
Leg., 2nd C.S., ch. 6, § 46, eff. Sept. 1, 1991; Acts 1997, 75th
Leg., ch. 165, § 29.07, eff. Sept. 1, 1997; Acts 1997, 75th
Leg., ch. 1039, § 28, 29, eff. Jan. 1, 1998; Acts 1999, 76th
Leg., ch. 398, § 4, eff. Aug. 30, 1999; Acts 1999, 76th Leg., ch.
1358, § 3, eff. Jan. 1, 2000.
§ 26.065. SUPPLEMENTAL NOTICE OF HEARING ON TAX RATE
INCREASE. (a) In addition to the notice required under Section
26.06, the governing body of a taxing unit required to hold a public
hearing by Section 26.05(d) shall give notice of the hearing in the
manner provided by this section.
(b) If the taxing unit owns, operates, or controls an
Internet website, the unit shall post notice of the public hearing
on the website continuously for at least seven days immediately
before the public hearing on the proposed tax rate increase and at
least seven days immediately before the date of the vote proposing
the increase in the tax rate.
(c) If the taxing unit has free access to a television
channel, the taxing unit shall request that the station carry a
60-second notice of the public hearing at least five times a day
between the hours of 7 a.m. and 9 p.m. for at least seven days
immediately before the public hearing on the proposed tax rate
increase and at least seven days immediately before the date of the
vote proposing the increase in the tax rate.
(d) The notice of the public hearing required by Subsection
(b) must contain a statement that is substantially the same as the
statement required by Section 26.06(b)(1) and must contain
information that is substantially the same as the information
required by Section 26.06(b)(2).
(e) This section does not apply to a taxing unit if the
taxing unit:
(1) is unable to comply with the requirements of this
section because of the failure of an electronic or mechanical
device, including a computer or server; or
(2) is unable to comply with the requirements of this
section due to other circumstances beyond its control.
(f) A person who owns taxable property is not entitled to an
injunction restraining the collection of taxes by a taxing unit in
which the property is taxable if the taxing unit has, in good faith,
attempted to comply with the requirements of this section.
Added by Acts 1999, 76th Leg., ch. 1358, § 5, eff. Jan. 1, 2001.
§ 26.07. ELECTION TO REPEAL INCREASE. (a) If the
governing body of a taxing unit other than a school district adopts
a tax rate that exceeds the rollback tax rate calculated as provided
by this chapter, the qualified voters of the taxing unit by petition
may require that an election be held to determine whether or not to
reduce the tax rate adopted for the current year to the rollback tax
rate calculated as provided by this chapter.
(b) A petition is valid only if:
(1) it states that it is intended to require an
election in the taxing unit on the question of reducing the tax rate
for the current year;
(2) it is signed by a number of registered voters of
the taxing unit equal to at least 10 percent of the number of
registered voters of the taxing unit according to the most recent
official list of registered voters; and
(3) it is submitted to the governing body on or before
the 90th day after the date on which the governing body adopted the
tax rate for the current year.
(c) Not later than the 20th day after the day a petition is
submitted, the governing body shall determine whether or not the
petition is valid and pass a resolution stating its finding. If the
governing body fails to act within the time allowed, the petition is
treated as if it had been found valid.
(d) If the governing body finds that the petition is valid
(or fails to act within the time allowed), it shall order that an
election be held in the taxing unit on a date not less than 30 or
more than 90 days after the last day on which it could have acted to
approve or disapprove the petition. A state law requiring local
elections to be held on a specified date does not apply to the
election unless a specified date falls within the time permitted by
this section. At the election, the ballots shall be prepared to
permit voting for or against the proposition: "Reducing the tax
rate in (name of taxing unit) for the current year from (the rate
adopted) to (the rollback tax rate calculated as provided by this
chapter)."
(e) If a majority of the qualified voters voting on the
question in the election favor the proposition, the tax rate for the
taxing unit for the current year is the rollback tax rate calculated
as provided by this chapter; otherwise, the tax rate for the
current year is the one adopted by the governing body.
(f) If the tax rate is reduced by an election called under
this section after tax bills for the unit are mailed, the assessor
for the unit shall prepare and mail corrected tax bills. He shall
include with the bill a brief explanation of the reason for and
effect of the corrected bill. The date on which the taxes become
delinquent for the year is extended by a number of days equal to the
number of days between the date the first tax bills were sent and
the date the corrected tax bills were sent.
(g) If a property owner pays taxes calculated using the
higher tax rate when the rate is reduced by an election called under
this section, the taxing unit shall refund the difference between
the amount of taxes paid and the amount due under the reduced rate
if the difference between the amount of taxes paid and the amount
due under the reduced rate is $1 or more. If the difference between
the amount of taxes paid and the amount due under the reduced rate
is less than $1, the taxing unit shall refund the difference on
request of the taxpayer. An application for a refund of less than
$1 must be made within 90 days after the date the refund becomes due
or the taxpayer forfeits the right to the refund.
(h) to (j) Expired.
Acts 1979, 66th Leg., p. 2279, ch. 841, § 1, eff. Jan. 1, 1982.
Amended by Acts 1981, 67th Leg., 1st C.S., p. 165, ch. 13, § 119,
eff. Jan. 1, 1982; Acts 1985, 69th Leg., 1st C.S., ch. 1, § 2(a),
eff. Sept. 1, 1985; Acts 1987, 70th Leg., ch. 457, § 13, eff.
Sept. 1, 1987; Acts 1987, 70th Leg., ch. 947, § 9, eff. Jan. 1,
1988; Acts 1993, 73rd Leg., ch. 292, § 1, eff. Sept. 1, 1993;
Acts 1993, 73rd Leg., ch. 728, § 84, eff. Sept. 1, 1993; Acts
1997, 75th Leg., ch. 165, § 29.08, eff. Sept. 1, 1997.
§ 26.08. ELECTION TO RATIFY SCHOOL TAXES. (a) If the
governing body of a school district adopts a tax rate that exceeds
the district's rollback tax rate, the registered voters of the
district at an election held for that purpose must determine
whether to approve the adopted tax rate. When increased expenditure
of money by a school district is necessary to respond to a disaster,
including a tornado, hurricane, flood, or other calamity, but not
including a drought, that has impacted a school district and the
governor has requested federal disaster assistance for the area in
which the school district is located, an election is not required
under this section to approve the tax rate adopted by the governing
body for the year following the year in which the disaster occurs.
(b) The governing body shall order that the election be held
in the school district on a date not less than 30 or more than 90
days after the day on which it adopted the tax rate. Section
41.001, Election Code, does not apply to the election unless a date
specified by that section falls within the time permitted by this
section. At the election, the ballots shall be prepared to permit
voting for or against the proposition: "Approving the ad valorem
tax rate of $_____ per $100 valuation in (name of school district)
for the current year, a rate that is $_____ higher per $100
valuation than the school district rollback tax rate." The ballot
proposition must include the adopted tax rate and the difference
between that rate and the rollback tax rate in the appropriate
places.
(c) If a majority of the votes cast in the election favor the
proposition, the tax rate for the current year is the rate that was
adopted by the governing body.
(d) If the proposition is not approved as provided by
Subsection (c), the governing body may not adopt a tax rate for the
school district for the current year that exceeds the school
district's rollback tax rate.
(e) For purposes of this section, local tax funds dedicated
to a junior college district under Section 45.105(e), Education
Code, shall be eliminated from the calculation of the tax rate
adopted by the governing body of the school district. However, the
funds dedicated to the junior college district are subject to
Section 26.085.
(f) Repealed by Acts 1999, 76th Leg., ch. 396, § 3.01(c),
eff. Sept. 1, 1999.
(g) In a school district that received distributions from an
equalization tax imposed under former Chapter 18, Education Code,
the effective rate of that tax as of the date of the county unit
system's abolition is added to the district's rollback tax rate.
(h) For purposes of this section, increases in taxable
values and tax levies occurring within a reinvestment zone under
Chapter 311 (Tax Increment Financing Act), in which the district is
a participant, shall be eliminated from the calculation of the tax
rate adopted by the governing body of the school district.
(i) For purposes of this section, the rollback tax rate of a
school district is the sum of:
(1) the tax rate that, applied to the current total
value for the district, would impose taxes in an amount that, when
added to state funds that would be distributed to the district under
Chapter 42, Education Code, for the school year beginning in the
current tax year using that tax rate, would provide the same amount
of state funds distributed under Chapter 42 and maintenance and
operations taxes of the district per student in weighted average
daily attendance for that school year that would have been
available to the district in the preceding year if the funding
elements for Chapters 41 and 42, Education Code, for the current
year had been in effect for the preceding year;
(2) the rate of $0.06 per $100 of taxable value; and
(3) the district's current debt rate.
(j) For purposes of Subsection (i), the amount of state
funds that would have been available to a school district in the
preceding year is computed using the maximum tax rate for the
current year under Section 42.253(e), Education Code.
Text of subsec. (k) effective until January 1, 2009
(k) For purposes of this section, for the 2003, 2004, 2005,
2006, 2007, or 2008 tax year, for a school district that is entitled
to state funds under Section 4(a-1), (a-2), (a-3), (a-4), (a-5), or
(a-6), Article 3.50-9, Insurance Code, the rollback tax rate of the
district is the sum of:
(1) the tax rate that, applied to the current total
value for the district, would impose taxes in an amount that, when
added to state funds that would be distributed to the district under
Chapter 42, Education Code, for the school year beginning in the
current tax year using that tax rate, would provide the same amount
of state funds distributed under Chapter 42 and maintenance and
operations taxes of the district per student in weighted average
daily attendance for that school year that would have been
available to the district in the preceding year if the funding
elements for Chapters 41 and 42, Education Code, for the current
year had been in effect for the preceding year;
(2) the tax rate that, applied to the current total
value for the district, would impose taxes in the amount that, when
added to state funds that would be distributed to the district under
Chapter 42, Education Code, for the school year beginning in the
current tax year using that tax rate, permits the district to comply
with Section 3, Article 3.50-9, Insurance Code;
(3) the rate of $0.06 per $100 of taxable value; and
(4) the district's current debt rate.
Text of subsec. (l) effective until January 1, 2009
(l) For purposes of Subsection (k), the amount of state
funds that would have been available to a school district in the
preceding year is computed using the maximum tax rate for the
current year under Section 42.253(e), Education Code.
Text of subsec. (m) effective until January 1, 2009
(m) Subsections (k) and (l) and this subsection expire
January 1, 2009.
Acts 1979, 66th Leg., p. 2280, ch. 841, § 1, eff. Jan. 1, 1982.
Amended by Acts 1981, 67th Leg., 1st C.S., p. 166, ch. 13, § 120,
eff. Jan. 1, 1982; Acts 1983, 68th Leg., p. 5377, ch. 987, § 4,
eff. June 19, 1983; Acts 1984, 68th Leg., 2nd C.S., ch. 28, art. II,
§ 14, eff. Sept. 1, 1984; Acts 1987, 70th Leg., ch. 947, § 10,
eff. Jan. 1, 1988; Acts 1989, 71st Leg., ch. 816, § 22, eff.
Sept. 1, 1989; Acts 1991, 72nd Leg., ch. 20, § 20, 26, eff. Aug.
26, 1991; Acts 1993, 73rd Leg., ch. 347, § 2.04, eff. May 31,
1993; Acts 1993, 73rd Leg., ch. 728, § 85, eff. Sept. 1, 1993;
Acts 1995, 74th Leg., ch. 260, § 47, eff. May 30, 1995; Acts
1995, 74th Leg., ch. 506, § 4, eff. Aug. 28, 1995; Acts 1995,
74th Leg., ch. 828, § 4(a), eff. Sept. 1, 1995; Acts 1997, 75th
Leg., ch. 592, § 2.03, eff. Sept. 1, 1997; Acts 1999, 76th Leg.,
ch. 396, § 1.40, 3.01(c), eff. Sept. 1, 1999; Acts 2001, 77th
Leg., ch. 1187, § 2.11, eff. Sept. 1, 2001.
§ 26.081. PETITION SIGNATURES. (a) A voter's
signature on a petition filed in connection with an election under
this chapter is not required to appear exactly as the voter's name
appears on the most recent official list of registered voters for
the signature to be valid.
(b) If the governing body reviewing the petition is unable
to verify the validity of a particular voter's signature, and the
petition does not contain any reasonable means by which they might
otherwise do so, such as the voter's registration number, home
address, or telephone number, the governing body may then require
the organizer of the petition to provide such information for that
particular voter if the organizer wishes for the signature to be
counted.
Added by Acts 1989, 71st Leg., ch. 319, § 1, eff. Sept. 1, 1989.
§ 26.085. ELECTION TO LIMIT DEDICATION OF SCHOOL FUNDS
TO JUNIOR COLLEGE. (a) If the percentage of the total tax levy of
a school district dedicated by the governing body of the school
district to a junior college district under Section 45.105(e),
Education Code, exceeds the percentage of the total tax levy of the
school district for the preceding year dedicated to the junior
college district under that section, the qualified voters of the
school district by petition may require that an election be held to
determine whether to limit the percentage of the total tax levy
dedicated to the junior college district to the same percentage as
the percentage of the preceding year's total tax levy dedicated to
the junior college district.
(b) A petition is valid only if:
(1) it states that it is intended to require an
election on the question of limiting the amount of school district
tax funds to be dedicated to the junior college district for the
current year;
(2) it is signed by a number of registered voters of
the school district equal to at least 10 percent of the number of
registered voters of the school district according to the most
recent official list of registered voters; and
(3) it is submitted to the governing body on or before
the 90th day after the date on which the governing body made the
dedication to the junior college district.
(c) Not later than the 20th day after the day a petition is
submitted, the governing body shall determine whether the petition
is valid and pass a resolution stating its finding. If the
governing body fails to act within the time allowed, the petition is
treated as if it had been found valid.
(d) If the governing body finds that the petition is valid
(or fails to act within the time allowed), it shall order that an
election be held in the school district on a date not less than 30 or
more than 90 days after the last day on which it could have acted to
approve or disapprove the petition. A state law requiring local
elections to be held on a specified date does not apply to the
election unless a specified date falls within the time permitted by
this section. At the election, the ballots shall be prepared to
permit voting for or against the proposition: "Limiting the
portion of the (name of school district) tax levy dedicated to the
(name of junior college district) for the current year to the same
portion that was dedicated last year."
(e) If a majority of the qualified voters voting on the
question in the election favor the proposition, the percentage of
the total tax levy of the school district for the year to which the
election applies dedicated to the junior college district is
reduced to the same percentage of the total tax levy that was
dedicated to the junior college district by the school district in
the preceding year. If the proposition is approved by a majority of
the qualified voters voting in an election to limit the dedication
to the junior college district in a year following a year in which
there was no dedication of local tax funds to the junior college
district under Section 45.105(e), Education Code, the school
district may not dedicate any local tax funds to the junior college
district in the year to which the election applies. If the
proposition is not approved by a majority of the qualified voters
voting in the election, the percentage of the total tax levy
dedicated to the junior college district is the percentage adopted
by the governing body.
Added by Acts 1983, 68th Leg., p. 5374, ch. 987, § 2, eff. June
19, 1983. Amended by Acts 1993, 73rd Leg., ch. 728, § 86, eff.
Sept. 1, 1993; Acts 1997, 75th Leg., ch. 165, § 6.78, eff. Sept.
1, 1997.
§ 26.09. CALCULATION OF TAX. (a) On receipt of notice
of the tax rate for the current tax year, the assessor for a taxing
unit other than a county shall calculate the tax imposed on each
property included on the appraisal roll for the unit.
(b) The county assessor-collector shall add the properties
and their values certified to him as provided by Chapter 24 of this
code to the appraisal roll for county tax purposes. The county
assessor-collector shall use the appraisal roll certified to him as
provided by Section 26.01 with the added properties and values to
calculate county taxes.
(c) The tax is calculated by:
(1) subtracting from the appraised value of a property
as shown on the appraisal roll for the unit the amount of any
partial exemption allowed the property owner that applies to
appraised value to determine net appraised value;
(2) multiplying the net appraised value by the
assessment ratio to determine assessed value;
(3) subtracting from the assessed value the amount of
any partial exemption allowed the property owner to determine
taxable value; and
(4) multiplying the taxable value by the tax rate.
(d) If a property is subject to taxation for a prior year in
which it escaped taxation, the assessor shall calculate the tax for
each year separately. In calculating the tax, he shall use the
assessment ratio and tax rate in effect in the unit for the year for
which back taxes are being imposed. To the amount of back taxes
due, he shall add interest calculated at the rate provided by
Subsection (c) of Section 33.01 of this code from the date the tax
would have become delinquent had the tax been imposed in the proper
tax year.
(e) The assessor shall enter the amount of tax determined as
provided by this section in the appraisal roll and submit it to the
governing body of the unit for approval. The appraisal roll with
amounts of tax entered as approved by the governing body
constitutes the unit's tax roll.
Acts 1979, 66th Leg., p. 2281, ch. 841, § 1, eff. Jan. 1, 1982.
Amended by Acts 1981, 67th Leg., 1st C.S. p. 166, ch. 13, § 121,
eff. Jan. 1, 1982; Acts 1983, 68th Leg., p. 4827, ch. 851, § 19,
eff. Aug. 29, 1983.
§ 26.10. PRORATING TAXES--LOSS OF EXEMPTION. (a) If
the appraisal roll shows that a property is eligible for taxation
for only part of a year because an exemption, other than a residence
homestead exemption, applicable on January 1 of that year
terminated during the year, the tax due against the property is
calculated by multiplying the tax due for the entire year as
determined as provided by Section 26.09 of this code by a fraction,
the denominator of which is 365 and the numerator of which is the
number of days the exemption is not applicable.
(b) If the appraisal roll shows that a residence homestead
exemption for an individual 65 years of age or older or a residence
homestead exemption for a disabled individual applicable to a
property on January 1 of a year terminated during the year and if
the owner qualifies a different property for one of those residence
homestead exemptions during the same year, the tax due against the
former residence homestead is calculated by:
(1) subtracting:
(A) the amount of the taxes that otherwise would
be imposed on the former residence homestead for the entire year had
the individual qualified for the residence homestead exemption for
the entire year; from
(B) the amount of the taxes that otherwise would
be imposed on the former residence homestead for the entire year had
the individual not qualified for the residence homestead exemption
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 that elapsed after the
date the exemption terminated; and
(3) adding the product determined under Subdivision
(2) and the amount described by Subdivision (1)(A).
Acts 1979, 66th Leg., p. 2282, ch. 841, § 1, eff. Jan. 1, 1982.
Amended by Acts 1983, 68th Leg., p. 5002, ch. 896, § 1, eff. Jan.
1, 1984; Acts 1997, 75th Leg., ch. 1039, § 30, eff. Jan. 1, 1998;
Acts 1997, 75th Leg., ch. 1059, § 5, eff. Jan. 1, 1998; Acts
1999, 76th Leg., ch. 62, § 16.06, eff. Sept. 1, 1999; Acts 2001,
77th Leg., ch. 1061, § 1, eff. Jan. 1, 2002; Acts 2003, 78th
Leg., ch. 411, § 5, eff. Jan. 1, 2004.
§ 26.11. PRORATING TAXES--ACQUISITION BY
GOVERNMENT. (a) If the federal government, the state, or a
political subdivision of the state acquires the right to possession
of taxable property under a court order issued in condemnation
proceedings or acquires title to taxable property, the amount of
the tax due on the property is calculated by multiplying the amount
of taxes imposed on the property for the entire year as determined
as provided by Section 26.09 of this code by a fraction, the
denominator of which is 365 and the numerator of which is the number
of days that elapsed prior to the date of the conveyance or the date
of the order granting the right of possession.
(b) If the amount of taxes to be imposed on the property for
the year of transfer has not been determined at the time of
transfer, the assessor for each taxing unit in which the property is
taxable may use the taxes imposed on the property for the preceding
tax year as the basis for determining the amount of taxes to be
imposed for the current tax year.
(c) If the amount of prorated taxes determined to be due as
provided by this section is tendered to the collector for the unit,
he shall accept the tender. The payment absolves the transferor of
liability for taxes by the unit on the property for the year of the
transfer.
Acts 1979, 66th Leg., p. 2282, ch. 841, § 1, eff. Jan. 1, 1982.
§ 26.111. PRORATING TAXES--ACQUISITION BY CHARITABLE
ORGANIZATION. (a) If an organization acquires taxable property
that qualifies for and is granted an exemption under Section
11.181(a) or 11.182(a) for the year in which the property was
acquired, the amount of tax due on the property for that year is
calculated by multiplying the amount of taxes imposed on the
property for the entire year as provided by Section 26.09 by a
fraction, the denominator of which is 365 and the numerator of which
is the number of days in that year before the date the charitable
organization acquired the property.
(b) If the exemption terminates during the year of
acquisition, the tax due is calculated by multiplying the taxes
imposed for the entire year as provided by Section 26.09 by a
fraction, the denominator of which is 365 and the numerator of which
is the number of days the property does not qualify for the
exemption.
Acts 1993, 73rd Leg., ch. 345, § 4, eff. Jan. 1, 1994. Amended by
Acts 1997, 75th Leg., ch. 715, § 4, eff. Jan. 1, 1998.
§ 26.112. CALCULATION OF TAXES ON RESIDENCE HOMESTEAD OF
ELDERLY OR DISABLED PERSON. (a) Except as provided by Section
26.10(b), if at any time during a tax year property is owned by an
individual who qualifies for an exemption under Section 11.13(c) or
(d), the amount of the tax due on the property for the tax year is
calculated as if the person qualified for the exemption on January 1
and continued to qualify for the exemption for the remainder of the
tax year.
(b) If a person qualifies for an exemption under Section
11.13(c) or (d) 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 paid
the tax the amount by which the payment exceeded the tax due.
Added by Acts 1997, 75th Leg., ch. 1039, § 31, eff. Jan. 1, 1998;
Acts 1997, 75th Leg., ch. 1059, § 6, eff. June 19, 1997. Amended
by Acts 1999, 76th Leg., ch. 1481, § 8, eff. Jan. 1, 2000; Acts
2001, 77th Leg., ch. 1061, § 2, eff. Jan. 1, 2002; Acts 2003,
78th Leg., ch. 411, § 6, eff. Jan. 1, 2004.
§ 26.113. PRORATING TAXES--ACQUISITION BY NONPROFIT
ORGANIZATION. (a) If a person acquires taxable property that
qualifies for and is granted an exemption covered by Section
11.42(d) for a portion of the year in which the property was
acquired, the amount of tax due on the property for that year is
computed by multiplying the amount of taxes imposed on the property
for the entire year as provided by Section 26.09 by a fraction, the
denominator of which is 365 and the numerator of which is the number
of days in that year before the date the property qualified for the
exemption.
(b) If the exemption terminates during the year of
acquisition, the tax due is computed by multiplying the taxes
imposed for the entire year as provided by Section 26.09 by a
fraction, the denominator of which is 365 and the numerator of which
is the number of days the property does not qualify for the
exemption.
Added by Acts 1997, 75th Leg., ch. 1039, § 31, eff. Jan. 1, 1998;
Acts 1997, 75th Leg., ch. 1155, § 3, eff. Jan. 1, 1998. Amended
by Acts 1999, 76th Leg., ch. 1481, § 9, eff. Jan. 1, 2000.
§ 26.12. UNITS CREATED DURING TAX YEAR. (a) If a
taxing unit is created after January 1 and before July 1, the chief
appraiser shall prepare and deliver an appraisal roll for the unit
as provided by Section 26.01 of this code as if the unit had existed
on January 1.
(b) If the taxing unit created after January 1 and before
July 1 imposes taxes for the year, it shall do so as provided by this
chapter as if it had existed on January 1.
(c) If a taxing unit is created too late for observance of
the deadline provided by Section 26.01 of this code for
certification of the appraisal roll to the assessor for the unit,
the chief appraiser shall submit the appraisal roll as provided by
Section 26.01 as soon as practicable.
(d) Except as provided by Subsection (e), a taxing unit
created after June 30 may not impose property taxes in the year in
which the unit is created.
(e) Repealed by Acts 1993, 73rd Leg., ch. 347, § 4.13(2),
eff. May 31, 1993.
Acts 1979, 66th Leg., p. 2282, ch. 841, § 1, eff. Jan. 1, 1982.
Amended by Acts 1987, 70th Leg., ch. 39, § 1, eff. Jan. 1, 1988;
Acts 1989, 71st Leg., ch. 796, § 29, eff. Sept. 1, 1989; Acts
1991, 72nd Leg., ch. 20, § 21, eff. Aug. 26, 1991; Acts 1993,
73rd Leg., ch. 347, § 4.13(2), eff. May 31, 1993.
§ 26.13. TAXING UNIT CONSOLIDATION DURING TAX
YEAR. (a) If two or more taxing units consolidate into a single
taxing unit after January 1, the governing body of the consolidated
unit may elect to impose taxes for the current tax year either as if
the unit as consolidated had existed on January 1 or as if the
consolidation had not occurred.
(b) The chief appraiser shall prepare and deliver an
appraisal roll for the unit or units in accordance with the election
made by the governing body.
(c) Whatever the election, the assessor and collector for
the unit, as consolidated shall assess and collect taxes on
property that is taxable by the unit as consolidated.
Acts 1979, 66th Leg., p. 2283, ch. 841, § 1, eff. Jan. 1, 1982.
§ 26.135. TAX DATES FOR CERTAIN SCHOOL
DISTRICTS. (a) A school district that before January 1, 1989, has
for at least 10 years followed a practice of adopting its tax rate
at a different date than as provided by this chapter and of billing
for and collecting its taxes at different dates than as provided by
Chapters 31 and 33 may continue to follow that practice.
(b) This section does not affect the dates provided by this
title for other purposes, including those relating to the appraisal
and taxability of property, the attachment of tax liens and
personal liability for taxes, and administrative and judicial
review under Chapters 41 and 42.
Added by Acts 1989, 71st Leg., ch. 813, § 6.11, eff. Sept. 1,
1989.
§ 26.14. ANNEXATION OF PROPERTY DURING TAX
YEAR. (a) Except as provided by Subsection (b) of this section, a
taxing unit may not impose a tax on property annexed by the unit
after January 1.
(b) If a taxing unit annexes territory during a tax year
that was located in another taxing unit of like kind on January 1,
each unit shall impose taxes on property located within its
boundaries on the date the appraisal review board approves the
appraisal roll for the district. The chief appraiser shall prepare
and deliver an appraisal roll for each unit in accordance with the
requirements of this subsection.
(c) For purposes of this section, "taxing units of like
kind" are taxing units that are authorized by the laws by or
pursuant to which they are created to perform essentially the same
services.
Acts 1979, 66th Leg., p. 2283, ch. 841, § 1, eff. Jan. 1, 1982.
§ 26.15. CORRECTION OF TAX ROLL. (a) Except as
provided by Chapters 41 and 42 of this code and in this section, the
tax roll for a taxing unit may not be changed after it is completed.
(b) The assessor for a unit shall enter on the tax roll the
changes made in the appraisal roll as provided by Section 25.25 of
this code.
(c) At any time, the governing body of a taxing unit, on
motion of the assessor for the unit or of a property owner, shall
direct by written order changes in the tax roll to correct errors in
the mathematical computation of a tax. The assessor shall enter the
corrections ordered by the governing body.
(d) Except as provided by Subsection (e) of this section, if
a correction in the tax roll that changes the tax liability of a
property owner is made after the tax bill is mailed, the assessor
shall prepare and mail a corrected tax bill in the manner provided
by Chapter 31 of this code for tax bills generally. He shall
include with the bill a brief explanation of the reason for and
effect of the corrected bill.
(e) If a correction that increases the tax liability of a
property owner is made after the tax is paid, the assessor shall
prepare and mail a supplemental tax bill in the manner provided by
Chapter 31 of this code for tax bills generally. He shall include
with the supplemental bill a brief explanation of the reason for and
effect of the supplemental bill. The additional tax is due on
receipt of the supplemental bill and becomes delinquent if not paid
before the delinquency date prescribed by Chapter 31 of this code or
before the first day of the next month after the date of the mailing
that will provide at least 21 days for payment of the tax, whichever
is later.
(f) If a correction decreases the tax liability of a
property owner after the owner has paid the tax, the taxing unit
shall refund to the property owner the difference between the tax
paid and the tax legally due, except as provided by Section
25.25(n).
(g) A taxing unit that determines a taxpayer is delinquent
in ad valorem tax payments on property other than the property for
which liability for a refund arises may apply the amount of an
overpayment to the payment of the delinquent taxes if the taxpayer
was the sole owner of the property:
(1) for which the refund is sought on January 1 of the
tax year in which those taxes were assessed; and
(2) on which the taxes are delinquent on January 1 of
the tax year for which those taxes were assessed.
Acts 1979, 66th Leg., p. 2283, ch. 841, § 1, eff. Jan. 1, 1982.
Amended by Acts 1991, 72nd Leg., ch. 418, § 1, eff. Aug. 26,
1991; Acts 1993, 73rd Leg., ch. 198, § 2, eff. Sept. 1, 1993;
Acts 2001, 77th Leg., ch. 1430, § 7, eff. Sept. 1, 2001.
