With a $33 billion surplus, the Texas House and Senate leadership have unveiled legislation to cut property taxes.
“The good news is both the house and the senate right now are focused on how to return that money best back to the general public,” said Dale Craymer, Texas Taxpayers and Research Association.
The plans are different. Republican Lt. Gov. Dan Patrick was with some senators as they unveiled their bills.
Relating to an increase in the amount of the exemption of residence homesteads from ad valorem taxation by a school district, an adjustment in the amount of the limitation on school district ad valorem taxes imposed on the residence homesteads of the elderly or disabled to reflect increases in the exemption amount and the protection of school districts against the resulting loss in local revenue.
“All 31 senators have signed on to a homestead exemption increase,” said Sen. Paul Bettencourt, R-Houston.
Dale Craymer, the President of the Texas Taxpayers and Research Association, went through the numbers. He said the plan also calls for an 18% cut in the school tax rate.
Relating to the maximum compressed tax rate of a school district.
The senate estimates saving for a property with a $70,000 homestead exemption would be $756 in the first year, and $798 in the second.
For a property with a $100,000 exemption, the estimate is $1033 in the first year, and $1062 the second.
There are also exemptions in the Senate legislation from small business personal property and an inventory tax credit.