Limits increases in the appraised value of a residence homestead for ad valorem tax purposes.

This bill amends the Tax Code to limit increases in the appraised value of a residence homestead for ad valorem tax purposes. The appraised value for the first tax year the owner qualifies for an exemption is the market value of the property. For subsequent years, the appraised value is limited to the lesser of the market value of the property for the most recent tax year or the appraised value of the property for the preceding tax year plus 10 percent. The limitation expires when neither the original owner nor their spouse qualifies for the exemption.

Limits increases in the appraised value of a residence homestead for ad valorem tax purposes.

This bill amends the Tax Code to limit increases in the appraised value of a residence homestead for ad valorem tax purposes. The appraised value for the first tax year the owner qualifies for an exemption is the market value of the property. For subsequent years, the appraised value is limited to the lesser of the market value of the property for the most recent tax year or the appraised value of the property for the preceding tax year plus 10 percent. The limitation expires when neither the original owner nor their spouse qualifies for the exemption.