Texas Statutes
Chapter 26 - Assessment
Section 26.10. Prorating Taxes--Loss of Exemption

Sec. 26.10. PRORATING TAXES--LOSS OF EXEMPTION. (a) If the appraisal roll shows that a property is eligible for taxation for only part of a year because an exemption, other than a residence homestead exemption or an exemption described by Subsection (d), applicable on January 1 of that year terminated during the year, the tax due against the property is calculated by multiplying the tax due for the entire year as determined as provided by Section 26.09 by a fraction, the denominator of which is 365 and the numerator of which is the number of days the exemption is not applicable.
(b) If the appraisal roll shows that a residence homestead exemption under Section 11.13(c) or (d), 11.132, 11.133, or 11.134 applicable to a property on January 1 of a year terminated during the year and if the owner of the property qualifies a different property for one of those residence homestead exemptions during the same year, the tax due against the former residence homestead is calculated by:
(1) subtracting:
(A) the amount of the taxes that otherwise would be imposed on the former residence homestead for the entire year had the owner qualified for the residence homestead exemption for the entire year; from
(B) the amount of the taxes that otherwise would be imposed on the former residence homestead for the entire year had the owner not qualified for the residence homestead exemption during the year;
(2) multiplying the remainder determined under Subdivision (1) by a fraction, the denominator of which is 365 and the numerator of which is the number of days that elapsed after the date the exemption terminated; and
(3) adding the product determined under Subdivision (2) and the amount described by Subdivision (1)(A).
(c) If the appraisal roll shows that a residence homestead exemption under Section 11.131 applicable to a property on January 1 of a year terminated during the year, the tax due against the residence homestead is calculated by multiplying the amount of the taxes that otherwise would be imposed on the residence homestead for the entire year had the individual not qualified for the exemption under Section 11.131 during the year by a fraction, the denominator of which is 365 and the numerator of which is the number of days that elapsed after the date the exemption terminated.
(d) Subsection (a) does not apply to an exemption for land received by an organization under Section 11.181, 11.182, or 11.1825 that terminated during the year because of the sale by the organization of a housing unit located on the land if:
(1) the housing unit is sold to a family meeting the income-eligibility standards established by Section 373B.006, Local Government Code;
(2) the organization retains title to the land on which the housing unit is located; and
(3) before the date on which the housing unit is sold, the organization is designated a community land trust by the governing body of a municipality or county as provided by Section 373B.002, Local Government Code.
Acts 1979, 66th Leg., p. 2282, ch. 841, Sec. 1, eff. Jan. 1, 1982. Amended by Acts 1983, 68th Leg., p. 5002, ch. 896, Sec. 1, eff. Jan. 1, 1984; Acts 1997, 75th Leg., ch. 1039, Sec. 30, eff. Jan. 1, 1998; Acts 1997, 75th Leg., ch. 1059, Sec. 5, eff. Jan. 1, 1998; Acts 1999, 76th Leg., ch. 62, Sec. 16.06, eff. Sept. 1, 1999; Acts 2001, 77th Leg., ch. 1061, Sec. 1, eff. Jan. 1, 2002; Acts 2003, 78th Leg., ch. 411, Sec. 5, eff. Jan. 1, 2004.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 597 (S.B. 201), Sec. 2, eff. January 1, 2012.
Acts 2013, 83rd Leg., R.S., Ch. 122 (H.B. 97), Sec. 5, eff. January 1, 2014.
Acts 2013, 83rd Leg., R.S., Ch. 138 (S.B. 163), Sec. 5, eff. January 1, 2014.
Acts 2015, 84th Leg., R.S., Ch. 1236 (S.B. 1296), Sec. 21.002(28), eff. September 1, 2015.
Acts 2017, 85th Leg., R.S., Ch. 511 (S.B. 15), Sec. 5, eff. January 1, 2018.
Acts 2021, 87th Leg., R.S., Ch. 1020 (S.B. 113), Sec. 3, eff. September 1, 2021.

Structure Texas Statutes

Texas Statutes

Tax Code

Title 1 - Property Tax Code

Subtitle D - Appraisal and Assessment

Chapter 26 - Assessment

Section 26.01. Submission of Rolls to Taxing Units

Section 26.012. Definitions

Section 26.013. Unused Increment Rate

Section 26.02. Assessment Ratios Prohibited

Section 26.03. Treatment of Captured Appraised Value and Tax Increment

Section 26.04. Submission of Roll to Governing Body; No-New-Revenue and Voter-Approval Tax Rates

Section 26.041. Tax Rate of Unit Imposing Additional Sales and Use Tax

Section 26.042. Calculation and Adoption of Certain Tax Rates in Disaster Area

Section 26.043. Voter-Approval and No-New-Revenue Tax Rates in City Imposing Mass Transit Sales and Use Tax

Section 26.044. No-New-Revenue Tax Rate to Pay for State Criminal Justice Mandate

Section 26.0441. Tax Rate Adjustment for Indigent Health Care

Section 26.0442. Tax Rate Adjustment for County Indigent Defense Compensation Expenditures

Section 26.0443. Tax Rate Adjustment for Eligible County Hospital Expenditures

Section 26.0444. Tax Rate Adjustment for Defunding Municipality

Section 26.045. Voter-Approval Tax Rate Relief for Pollution Control Requirements

Section 26.05. Tax Rate

Section 26.0501. Limitation on Tax Rate of Defunding Municipality

Section 26.052. Simplified Tax Rate Notice for Taxing Units With Low Tax Levies

Section 26.06. Notice, Hearing, and Vote on Tax Increase

Section 26.061. Notice of Meeting to Vote on Proposed Tax Rate That Does Not Exceed Lower of No-New-Revenue or Voter-Approval Tax Rate

Section 26.062. Additional Information to Be Included in Tax Rate Notice

Section 26.063. Alternate Provisions for Tax Rate Notice When De Minimis Rate Exceeds Voter-Approval Tax Rate

Section 26.065. Supplemental Notice of Hearing on Tax Rate Increase

Section 26.07. Automatic Election to Approve Tax Rate of Taxing Unit Other Than School District

Section 26.075. Petition Election to Reduce Tax Rate of Taxing Unit Other Than School District

Section 26.08. Automatic Election to Approve Tax Rate of School District

Section 26.081. Petition Signatures

Section 26.085. Election to Limit Dedication of School Funds to Junior College

Section 26.09. Calculation of Tax

Section 26.10. Prorating Taxes--Loss of Exemption

Section 26.11. Prorating Taxes--Acquisition by Government

Section 26.111. Prorating Taxes--Acquisition by Charitable Organization

Section 26.1115. Calculation of Taxes on Residence Homestead Generally

Section 26.112. Calculation of Taxes on Residence Homestead of Certain Persons

Section 26.1125. Calculation of Taxes on Residence Homestead of 100 Percent or Totally Disabled Veteran

Section 26.1127. Calculation of Taxes on Donated Residence Homestead of Disabled Veteran or Surviving Spouse of Disabled Veteran

Section 26.113. Prorating Taxes--Acquisition by Nonprofit Organization

Section 26.12. Units Created During Tax Year

Section 26.13. Taxing Unit Consolidation During Tax Year

Section 26.135. Tax Dates for Certain School Districts

Section 26.14. Annexation of Property During Tax Year

Section 26.15. Correction of Tax Roll

Section 26.151. Escrow Account for Property Taxes

Section 26.16. Posting of Tax-Related Information on County's Internet Website

Section 26.17. Database of Property-Tax-Related Information

Section 26.175. Property Tax Database Locator Website

Section 26.18. Posting of Tax Rate and Budget Information by Taxing Unit on Website