Sec. 11.19. YOUTH SPIRITUAL, MENTAL, AND PHYSICAL DEVELOPMENT ASSOCIATIONS. (a) An association that qualifies as a youth development association as provided by Subsection (d) is entitled to an exemption from taxation of:
(1) the tangible property that:
(A) is owned by the association;
(B) except as permitted by Subsection (b), is used exclusively by qualified youth development associations; and
(C) is reasonably necessary for the operation of the association; and
(2) the real property owned by the youth development association consisting of:
(A) an incomplete improvement that:
(i) is under active construction or other physical preparation; and
(ii) is designed and intended to be used exclusively by qualified youth development associations when complete; and
(B) the land on which the incomplete improvement is located that will be reasonably necessary for the use of the improvement by qualified youth development associations.
(b) Use of exempt tangible property by persons who are not youth development associations qualified as provided by Subsection (d) of this section does not result in the loss of an exemption under this section if the use is incidental to use by qualified associations and benefits the individuals the associations serve.
(c) An association that qualifies as a youth development association as provided by Subsection (d) of this section is entitled to an exemption from taxation of those endowment funds the association owns that are used exclusively for the support of the association and are invested exclusively in bonds, mortgages, or property purchased at a foreclosure sale for the purpose of satisfying or protecting the bonds or mortgages. However, foreclosure-sale property that is held by an endowment fund for longer than the two-year period immediately following purchase at the foreclosure sale is not exempt from taxation.
(d) To qualify as a youth development association for the purposes of this section, an association must:
(1) be organized and operated primarily for the purpose of promoting the threefold spiritual, mental, and physical development of boys, girls, young men, or young women;
(2) be operated in a way that does not result in accrual of distributable profits, realization of private gain resulting from payment of compensation in excess of a reasonable allowance for salary or other compensation for services rendered, or realization of any other form of private gain;
(3) operate in conjunction with a state or national organization that is organized and operated for the same purpose as the association;
(4) use its assets in performing the association's youth development functions or the youth development functions of another youth development association; and
(5) by charter, bylaw, or other regulation adopted by the association to govern its affairs direct that on discontinuance of the association by dissolution or otherwise the assets are to be transferred to this state, the United States, or a charitable, educational, religious, or other similar organization that is qualified as a charitable organization under Section 501(c)(3), Internal Revenue Code of 1954, as amended.
(e) A property may not be exempted under Subsection (a)(2) for more than three years.
(f) For purposes of Subsection (a)(2), an incomplete improvement is under physical preparation if the youth development association has:
(1) engaged in architectural or engineering work, soil testing, land clearing activities, or site improvement work necessary for the construction of the improvement; or
(2) conducted an environmental or land use study relating to the construction of the improvement.
Acts 1979, 66th Leg., p. 2237, ch. 841, Sec. 1, eff. Jan. 1, 1980. Amended by Acts 1981, 67th Leg., 1st C.S., p. 129, ch. 13, Sec. 34, eff. Jan. 1, 1982; Acts 1997, 75th Leg., ch. 1039, Sec. 8, eff. Jan. 1, 1998; Acts 1997, 75th Leg., ch. 1411, Sec. 2, eff. June 20, 1997; Acts 1999, 76th Leg., ch. 138, Sec. 2, eff. May 18, 1999; Acts 2003, 78th Leg., ch. 288, Sec. 1.03, eff. June 18, 2003; Acts 2003, 78th Leg., ch. 288, Sec. 2.03, eff. Jan. 1, 2006.
Structure Texas Statutes
Subtitle C - Taxable Property and Exemptions
Chapter 11 - Taxable Property and Exemptions
Section 11.11. Public Property
Section 11.111. Public Property Used to Provide Transitional Housing for Indigent Persons
Section 11.12. Federal Exemptions
Section 11.13. Residence Homestead
Section 11.131. Residence Homestead of 100 Percent or Totally Disabled Veteran
Section 11.132. Donated Residence Homestead of Partially Disabled Veteran
Section 11.134. Residence Homestead of Surviving Spouse of First Responder Killed in Line of Duty
Section 11.14. Tangible Personal Property Not Producing Income
Section 11.141. Precious Metal Held in Precious Metal Depository
Section 11.145. Income-Producing Tangible Personal Property Having Value of Less Than $2,500
Section 11.146. Mineral Interest Having Value of Less Than $500
Section 11.15. Family Supplies
Section 11.161. Implements of Husbandry
Section 11.18. Charitable Organizations
Section 11.1801. Charity Care and Community Benefits Requirements for Charitable Hospital
Section 11.181. Charitable Organizations Improving Property for Low-Income Housing
Section 11.1826. Monitoring of Compliance With Low-Income and Moderate-Income Housing Exemptions
Section 11.1827. Community Land Trust
Section 11.183. Association Providing Assistance to Ambulatory Health Care Centers
Section 11.184. Organizations Engaged Primarily in Performing Charitable Functions
Section 11.185. Colonia Model Subdivision Program
Section 11.19. Youth Spiritual, Mental, and Physical Development Associations
Section 11.20. Religious Organizations
Section 11.201. Additional Tax on Sale of Certain Religious Organization Property
Section 11.211. Real Property Leased to Certain Schools
Section 11.22. Disabled Veterans
Section 11.23. Miscellaneous Exemptions
Section 11.25. Marine Cargo Containers Used Exclusively in International Commerce
Section 11.251. Tangible Personal Property Exempt
Section 11.252. Motor Vehicles Leased for Use Other Than Production of Income
Section 11.253. Tangible Personal Property in Transit
Section 11.254. Motor Vehicle Used for Production of Income and for Personal Activities
Section 11.26. Limitation of School Tax on Homesteads of Elderly or Disabled
Section 11.27. Solar and Wind-Powered Energy Devices
Section 11.271. Offshore Drilling Equipment Not in Use
Section 11.28. Property Exempted From City Taxation by Agreement
Section 11.29. Intracoastal Waterway Dredge Disposal Site
Section 11.30. Nonprofit Water Supply or Wastewater Service Corporation
Section 11.31. Pollution Control Property
Section 11.311. Landfill-Generated Gas Conversion Facilities
Section 11.315. Energy Storage System in Nonattainment Area
Section 11.32. Certain Water Conservation Initiatives
Section 11.33. Raw Cocoa and Green Coffee Held in Harris County
Section 11.34. Limitation of Taxes on Real Property in Designated Areas of Certain Municipalities
Section 11.35. Temporary Exemption for Qualified Property Damaged by Disaster