The bill amends the Texas Tax Code to provide an exemption from ad valorem taxation for certain properties owned by charitable organizations that offer housing and related services to individuals aged 62 and older. Specifically, it adds provisions that define "charitable housing and services" and outlines the criteria under which these organizations can qualify for the exemption. The bill stipulates that these organizations must provide housing without regard to the residents' ability to pay or, alternatively, provide charitable housing and services amounting to at least four percent of their net resident revenue.

Additionally, the bill modifies existing definitions and requirements related to charitable organizations, including the types of services they can offer to qualify for tax exemptions. It clarifies that "charity care" and related terms will be determined similarly for retirement communities and nursing homes as they are for hospitals. The changes will take effect on January 1, 2026, and will apply only to ad valorem tax years beginning on or after that date.

Statutes affected:
Introduced: Tax Code 11.18 (Tax Code 11)