Bill > HB2656

This bill proposes to: 1. Increase the amount of the exemption of residence homesteads from ad valorem (property) taxation by a school district from $40,000 to $65,000. 2. Adjust the amount of the limitation on school district ad valorem taxes imposed on the residence homesteads of the elderly or disabled to reflect the increase in the exemption amount. This provision ensures that the tax burden on the elderly or disabled does not increase due to the higher exemption. 3. Protect school districts against the resulting loss in local revenue by providing them with additional state aid to offset any reduction in tax revenue. The bill would take effect on January 1, 2024, but only if the associated constitutional amendment is approved by Texas voters. The changes to the homestead exemption and tax limitation would apply to ad valorem tax years beginning on or after January 1, 2024.

Budget and Finance

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=88R&Bill=HB2656