City of Nolanville, TX PROPERTY TAX

(a)

Pursuant to and consistent with the provisions of Texas Constitution article 8, section 1-b(h) and Texas Tax Code section 11.261, from and after January 1, 2004, for a person who is disabled or is sixty-five (65) years of age or older who receives a residence homestead exemption authorized by law, the total amount of ad valorem taxes imposed on that person’s homestead by the city may not be increased while it remains the residence homestead of that person or that person’s spouse who is disabled or sixty-five (65) years of age or older and receives a residence homestead exemption on the homestead.

(b)

The provisions of this section shall be administered in conformance with Texas Constitution article 8, section 1-b(h) and Texas Tax Code section 11.261. If any provision of this section is deemed to be inconsistent with state law, state law shall control.

(c)

If an individual makes improvements to the individual’s residence homestead, other than repairs and other than improvements required to comply with governmental requirements, the city may increase the amount of taxes on the homestead in the first year the value of the homestead is increased on the appraisal roll because of the enhancement of value by the improvements. The amount of the tax increase is determined by applying the current tax rate to the difference between the appraised value of the homestead with the improvements and the appraised value it would have had without improvements. A limitation provided by this section then applies to the increased amount of city taxes on the residence homestead until more improvements, if any, are made.

(d)

A limitation on city tax increases provided by this section expires on January 1 if:

(1)

None of the owners of the structure who qualify for the exemption provided by Texas Tax Code section 11.13(c) for a disabled individual or an individual 65 years of age or older and who owned the structure when the limitation provided by this section first took effect is using the structure as a residence homestead; or

(2)

None of the owners of the structure qualifies for the exemption provided by Texas Tax Code section 11.13(c) for a disabled individual or an individual 65 years of age or older.

(e)

If an individual who qualifies for a limitation on city tax increases under this section dies, the surviving spouse of the individual is entitled to the limitation on taxes imposed by the city on the residence homestead of the individual if:

(1)

The surviving spouse is disabled or is 55 years of age or older when the individual dies; and

(2)

The residence homestead of the individual:

(A)

Is the residence homestead of the surviving spouse on the date that the individual dies; and

(B)

Remains the residence homestead of the surviving spouse.

(f)

The tax amount levied by the city in tax year 2004 will be the cap that will be applied in future years, for those who qualify for the exemption.

(Ordinance 2005-09-27-2 adopted 4/17/08)