The proposed joint resolution seeks to amend the Texas Constitution to exempt all tangible personal property from ad valorem taxation, effective January 1, 2026. This amendment modifies Section 1 of Article VIII, stating that while all real property is subject to taxation unless exempted, tangible personal property will be exempt, with the exception of certain conditions outlined in a new subsection. Specifically, if an ad valorem tax on tangible personal property is pledged for debt repayment before January 1, 2026, tax authorities may continue to levy and collect that tax until the debt is discharged, ensuring that existing financial obligations are not impaired.

Additionally, the resolution includes provisions for the repeal of several sections of Article VIII that are no longer applicable due to this amendment. It also establishes a temporary provision that clarifies the effective date of the amendment and its applicability to taxes imposed after January 1, 2026. The proposed amendment will be presented to voters in a referendum scheduled for November 4, 2025, allowing the public to decide on the exemption of tangible personal property from ad valorem taxation.