FORNEY, Texas — On Friday, December 2, 2022, Representative Keith Bell (R-Forney) filed House Bill 868 to lower the maximum appraisal increase rate of homestead exempted properties from 10% to 3.5%.
While local taxing authorities must hold an election to increase property tax revenues above 3.5%, the appraised value of a homestead exempted property can be increased by up to 10% each year. This policy has resulted in many appraisals being increased by the maximum rate year after year. House Bill 868 would lower that maximum rate to 3.5%, ensuring that all taxing authorities have the same restrictions on tax growth.
House Bill 868 is just one of the opportunities state lawmakers will have during the 88th Legislative session to provide taxpayers much needed protection from the unprecedented rise in property values. The Texas Comptroller has projected a historically high surplus in the state's revenues that could be utilized by the Legislature for real property tax relief measures.
"Texans everywhere are rightfully concerned about the increases in their home and property appraisals. House Bill 868 will allow us to make a meaningful change to the property tax appraisal system. This session, we have a unique opportunity to utilize the surplus to get immediate relief and pass this bill to get long lasting property tax and appraisal reform." Bell said.
