https://www.kxan.com/news/18-billion-deal-reached-texans-to-get-biggest-property-tax-cut-in-states-history/?utm_source=facebook&utm_medium=news_tab

Not sure what a circuit breaker is. Anyone know? Senate won this battle

Big commercial gets nothing. While some will rejoice at that, it will mean no rent relief for tenants and no relief on already stagnant or declining profit margins to be trickled down (if they were ever going to be trickled at all anyway) barring an economic slowdown (moreso than what we've already seen).

Looks good for homeowners

Great news. I'm also curious how the circuit breaker works for non-homestead properties.

• Property taxes stay the same, even if your income decreases, because they are based on the value of your property, not your ability to pay.
• A property tax circuit breaker limits or reduces taxes for individuals who have to put too much of their income toward property taxes.
• A property tax circuit breaker will kick in at certain income levels. It may also be based on factors like age, disability status, or military service.
• Eighteen states offer property tax circuit breakers, but many other states and localities offer other forms of property tax relief.

What Is a Property Tax Circuit Breaker? (thebalancemoney.com)

So homestead goes from $40k to $100k? Not bad

Huh? Not sure I understand. I assumed the homestead deal just meant we're not taxed on 100k of appraised value of homestead property. But I'm sure I could be missing something.

MAS444 said:

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Huh? Not sure I understand. I assumed the homestead deal just meant we're not taxed on 100k of appraised value of homestead property. But I'm sure I could be missing something.

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It sounds like the exemption amount is being increased from 40k to 100k meaning there is more of your home's value (assuming you have homestead exemption on) that is exempted from school taxes...and therefore tax relief.

Is the 100k only applicable to school taxes? I just read a local news article (which I understand is far from authoritative) but understood that 100k was exempt from taxes altogether. Could also be my reading comprehension....

EDIT - Damn...I read further and see that you're probably right. Still happy to have the break - but not as much as I first thought.

I estimated that this will be a 15% total bill tax cut. I'll take it.

You'll also see the local ISD portion of taxes reduced by 10 cents per $100 of assessed value. So instead of being charged $1.20 per $100, it'll be $1.10!

Red Pear Luke (BCS) said:

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You'll also see the local ISD portion of taxes reduced by 10 cents per $100 of assessed value. So instead of being charged $1.20 per $100, it'll be $1.10!

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Luke,

Will that $.10 reduction apply to all properties, or just to residential homestead properties?

Ribeye-Rare said:

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Red Pear Luke (BCS) said:

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You'll also see the local ISD portion of taxes reduced by 10 cents per $100 of assessed value. So instead of being charged $1.20 per $100, it'll be $1.10!

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Luke,

Will that $.10 reduction apply to all properties, or just to residential homestead properties?

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From my understanding - the state is sending $12.5 Billion to all ISD's and by doing so - that will reduce every ISD tax rate by 10.7 cents. So it would apply to all property types who are paying those ISD taxes.

Has there been an indication on when this will start? Ideally for the upcoming assessment and taxing period

Ag13 said:

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Has there been an indication on when this will start? Ideally for the upcoming assessment and taxing period

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So if it gets signed by the governor - it would then go to the ballots for voting in November. Assuming it passes then, it automatically back dates to 2023 taxes. So every local county tax assessor office is going to have a fun December crunching the new tax amounts before the January due date.

Maybe I missed it, but is this supposed to go into effect for January 2024?

Read the post above yours.

SteveBott said:

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Read the post above yours.

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Oof. Shoot me now. Guess I scrolled right past that one before hitting reply.

Sometimes the app can be great.

So if property taxes pay majority of school funding (is that true?), how will the schools make that funding gap up?

water turkey said:

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So if property taxes pay majority of school funding (is that true?), how will the schools make that funding gap up?

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They will raise their tax rate. ha

water turkey said:

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So if property taxes pay majority of school funding (is that true?), how will the schools make that funding gap up?

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https://www.kxan.com/news/texas-politics/how-will-texas-property-tax-relief-plan-affect-school-budgets/?ipid=promo-link-block1

This helps explain