The bill amends Section 11.16(c) of the Texas Tax Code to clarify the definitions related to the exemption from ad valorem taxation for farm products in the hands of the producer. It specifies that "farm products" will now include eggs and timber, specifically standing timber, in addition to the existing definitions. The term "in the hands of the producer" is also redefined to clarify ownership and responsibility for farm products, distinguishing between general farm products and timber.

This legislation will only take effect on January 1, 2027, contingent upon the approval of a constitutional amendment proposed by the 89th Legislature, 1st Called Session, 2025. If the amendment is not approved by voters, the bill will have no effect.

Statutes affected:
Introduced: Tax Code 11.16 (Tax Code 11)