88R12365 MLH-F
	By: Davis	H.B. No. 2597

	A BILL TO BE ENTITLED
	AN ACT
	relating to the limitation on increases in the appraised value of a
	residence homestead for ad valorem tax purposes.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Section 23.23(a), Tax Code, is amended to read as
	follows:
	(a)  Notwithstanding the requirements of Section 25.18 and
	regardless of whether the appraisal office has appraised the
	property and determined the market value of the property for the tax
	year, an appraisal office may increase the appraised value of a
	residence homestead for a tax year to an amount not to exceed the
	lesser of:
	(1)  the market value of the property for the most
	recent tax year that the market value was determined by the
	appraisal office; or
	(2)  the sum of:
	(A)  10 percent of the appraised value of the
	property for the preceding tax year; and
	(B)  the appraised value of the property for the
	preceding tax year[; and
	[(C)  the market value of all new improvements to
	the property].
	SECTION 2.  Sections 23.23(e), (f), and (g), Tax Code, are
	repealed.
	SECTION 3.  This Act applies only to the appraisal for ad
	valorem tax purposes of residence homesteads for a tax year that
	begins on or after the effective date of this Act.
	SECTION 4.  This Act takes effect January 1, 2024.

Statutes affected:
Introduced: Tax Code 23.23 (Tax Code 23)