HBA-TBM S.B. 1542 77(R)BILL ANALYSIS


Office of House Bill AnalysisS.B. 1542
By: Van de Putte
Ways & Means
5/11/2001
Committee Report (Amended)



BACKGROUND AND PURPOSE 

Under current law, an individual 65 years or older may defer paying
delinquent homestead property taxes by filing a tax deferral affidavit with
the appraisal district.  This benefits elderly individuals who may not work
and subsist on a fixed income.  Medically disabled individuals suffer
similar economic disadvantages as the elderly, but are not eligible for the
same deferral.  Senate Bill 1542 entitles a medically disabled individual
to defer or abate a suit to collect a delinquent residence homestead tax.   

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

Senate Bill 1542 amends the Tax Code to provide that an individual is
entitled to defer or abate a suit to collect a delinquent tax if the
individual is disabled and owns and occupies as a residence homestead the
property on which the tax subject to the suit is delinquent.  A person is
considered to be disabled only if the person is receiving federal social
security benefits based on disability.   

EFFECTIVE DATE

On passage, or if the Act does not receive the necessary vote, the Act
takes effect September 1, 2001. 

EXPLANATION OF AMENDMENTS

Committee Amendment No. 1 conforms provisions governing the effective date
for tax exemptions, tax exemption application date, and the method for
calculating taxation for disabled persons to that which currently exists
for an individual 65 years of age or older.  Such provisions take effect
January 1, 2002.