House Bill No. 254 amends the Texas Tax Code to clarify the eligibility criteria for individuals wishing to pay ad valorem taxes on their residence homestead in installments. The bill modifies the heading of Section 31.031 to specify "INSTALLMENT PAYMENTS OF RESIDENCE HOMESTEAD TAXES" and updates subsections (a-1) and (a-2) to remove references to individuals to whom the section applies, thereby broadening the eligibility. The revised language allows any individual who owns and occupies a residence homestead to pay their property taxes in four equal installments without incurring penalties or interest, provided the first installment is paid before the delinquency date and accompanied by a notice to the taxing unit.

Additionally, the bill repeals Section 31.031(a), which previously contained specific eligibility language, further simplifying the process. The new provisions establish clear deadlines for installment payments based on the delinquency date, ensuring that individuals have a structured timeline for fulfilling their tax obligations. This act will take effect on January 1, 2026, and applies only to ad valorem taxes imposed for tax years beginning on or after that date.

Statutes affected:
Introduced: Tax Code 31.031 (Tax Code 31)