Texas HB963 modifies the limitation on increases in the appraised value of a residence homestead for ad valorem tax purposes.

Texas HB963 amends the Tax Code to change how the appraised value of a residence homestead is determined for ad valorem tax purposes. The bill specifies that the appraised value for the first tax year the owner qualifies the property for an exemption is equal to the market value of the property. For subsequent tax years, the appraised value is adjusted based on the inflation rate. The bill also outlines conditions under which the limitation does not apply, such as purchases made pursuant to a court order or from a trustee in bankruptcy.

Texas HB963 modifies the limitation on increases in the appraised value of a residence homestead for ad valorem tax purposes.

Texas HB963 amends the Tax Code to change how the appraised value of a residence homestead is determined for ad valorem tax purposes. The bill specifies that the appraised value for the first tax year the owner qualifies the property for an exemption is equal to the market value of the property. For subsequent tax years, the appraised value is adjusted based on the inflation rate. The bill also outlines conditions under which the limitation does not apply, such as purchases made pursuant to a court order or from a trustee in bankruptcy.