Bill > HB219

This bill modifies the rules for how much the appraised value of a residential property can increase each year for tax purposes. Currently, the appraised value can increase up to 10 percent annually, but this bill would reduce that maximum increase to 2 percent. The change applies to residence homesteads (primary homes) and would limit appraisal increases to either the property's most recent market value or a calculation that includes a 2 percent increase from the previous year's appraised value, plus the market value of any new improvements. However, the bill is contingent on voters approving a constitutional amendment in 2025 that would give the legislature the authority to set this lower limit on property value increases. If the constitutional amendment is not approved, the bill will have no effect. If approved, the changes would take effect for tax years beginning on or after January 1, 2027, potentially providing significant property tax relief for homeowners by restricting how quickly their home's taxable value can rise.

Budget and Finance

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=892&Bill=HB219