The bill amends the Texas Tax Code to provide an exemption from ad valorem taxation for property owned by charitable organizations that offer financial support for medical care at certain institutions of higher education. Specifically, it adds a new category of charitable functions that includes "providing financial support for medical care at an institution of higher education described by Section 63.101, Education Code." This insertion expands the scope of organizations eligible for tax exemptions, allowing those that support medical care at higher education institutions to benefit from the same tax relief as other charitable organizations.

Additionally, the bill modifies existing provisions by removing the reference to certain categories of charitable organizations while adding a new category (27) that specifically addresses financial support for medical care. The changes will take effect on January 1, 2026, and will apply only to ad valorem tax years beginning on or after that date. This legislative change aims to enhance the support for charitable organizations involved in medical care, thereby potentially increasing their capacity to provide essential services.

Statutes affected:
Introduced: Tax Code 11.18 (Tax Code 11)
House Committee Report: Tax Code 11.18 (Tax Code 11)
Engrossed: Tax Code 11.18 (Tax Code 11)