H.B. No. 861

AN ACT
relating to the calculation of penalties and interest resulting
from the final determination of an ad valorem tax appeal that
changes a property owner’s tax liability.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 42.42(c) and (d), Tax Code, are amended
to read as follows:
(c) If the final determination of an appeal occurs after the
property owner has paid a portion of the tax finally determined to
be due as required by Section 42.08, the assessor for each affected
taxing unit shall prepare and mail a supplemental tax bill in the
form and manner prescribed by Subsection (b). The additional tax is
due and becomes delinquent as provided by Subsection (b). If the
additional tax is not paid by the delinquency date for the
additional tax, [but] the property owner is liable for penalties
and interest on the tax included in the supplemental bill
calculated as provided by Section 33.01 as if the tax included in
the supplemental bill became delinquent on the original delinquency
date prescribed by Chapter 31.
(d) If the property owner did not pay any portion of the
taxes imposed on the property because the court found that payment
would constitute an unreasonable restraint on the owner’s right of
access to the courts as p       rovided by Section 42.08(d), after the
final determination of the appeal the assessor for each affected
taxing unit shall prepare and mail a supplemental tax bill in the
form and manner prescribed by Subsection (b). The additional tax is
due and becomes delinquent as provided by Subsection (b). If the
additional tax is not paid by the delinquency date for the
additional tax, [but] the property owner is liable for interest on
the tax included in the supplemental bill calculated as provided by
Section 33.01 as if the tax included in the supplemental bill became
delinquent on the delinquency date prescribed by Chapter 31.
SECTION 2. The changes in law made by this Act apply only to
an appeal under Chapter 42, Tax Code, that is filed on or after the
effective date of this Act.
SECTION 3. This Act takes effect September 1, 2019.

______________________________ ______________________________
President of the Senate           Speaker of the House

I certify that H.B. No. 861 was passed by the House on April
17, 2019, by the following vote: Yeas 139, Nays 0, 2 present, not
voting.

______________________________
Chief Clerk of the House

I certify that H.B. No. 861 was passed by the Senate on May
16, 2019, by the following vote: Yeas 31, Nays 0.

______________________________
Secretary of the Senate
APPROVED: _____________________
Date

_____________________
Governor