House Bill 426 amends Tennessee Code Annotated, Section 67-5-212, to introduce a new provision for institutional exemptions specifically for nonprofit religious institutions in counties with a metropolitan form of government and a population exceeding 500,000, as per the 2020 federal census or any subsequent census. The new subdivision (b)(3)(F) allows these institutions to claim an exemption for one or more parcels of land acquired for their exempt purposes. The effective date of the exemption can be retroactive for up to three years prior to the application date or the date the property began being used for exempt purposes, whichever is later. This provision applies to properties acquired before the act's effective date, ensuring they are not subject to taxation while owned by the exempt institution.

However, the bill clarifies that counties are not required to refund any taxes collected prior to the act's effective date. The act is set to take effect upon becoming law, emphasizing the public welfare.

Statutes affected:
Introduced: 67-5-212(b)(3), 67-5-212