Texas HB3557 excludes the value of incomplete structures intended for human occupancy from real property market value for ad valorem tax purposes.

Texas HB3557 amends the Tax Code to exclude the value of any incomplete structure intended for human occupancy from the market value of real property for ad valorem tax purposes. This exclusion applies to structures that are separate from other structures on the property and are incomplete as of January 1 of the tax year. A structure is considered complete when a certificate of occupancy is issued or when it is no longer under active construction. This change affects property appraisals for tax years beginning on or after January 1, 2026.

Texas HB3557 excludes the value of incomplete structures intended for human occupancy from real property market value for ad valorem tax purposes.

Texas HB3557 amends the Tax Code to exclude the value of any incomplete structure intended for human occupancy from the market value of real property for ad valorem tax purposes. This exclusion applies to structures that are separate from other structures on the property and are incomplete as of January 1 of the tax year. A structure is considered complete when a certificate of occupancy is issued or when it is no longer under active construction. This change affects property appraisals for tax years beginning on or after January 1, 2026.