Bill > HB1622

This bill permanently extends a tax policy known as the "circuit breaker limitation" which restricts increases in appraised values for commercial and non-residential real property to no more than 20% per year, removing previous language that would have ended this limitation in 2027. The bill amends the Tax Code to eliminate time-specific references and sunset provisions that would have terminated the 20% cap on property value increases. Specifically, the bill removes language indicating the limitation was temporary for tax years 2024-2026 and deletes provisions that would have caused the limitation to expire on December 31, 2026. However, the bill's implementation is contingent on voters approving a corresponding constitutional amendment during the 2025 legislative session that authorizes the legislature to make this limitation permanent. If voters do not approve the amendment, the bill will have no effect. The legislation applies to property appraisals for tax years beginning on or after its effective date, which is set for January 1, 2026, and also repeals several related sections of previous legislation that would have modified tax code provisions in 2027.

Budget and Finance

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB1622