Property tax cuts for homeowners passed by Texas House

AUSTIN (Nexstar) – Lawmakers in the Texas House gave final approval Wednesday to two bills that aim to cut property taxes for homeowners in the state. The bills aim to increase the state’s homestead exemption, which is the amount of a home’s value that is not subject to property taxes.

Texas voters will decide this November whether to amend the state constitution to allow the tax cuts to be implemented.

House members voted 143-0 on Wednesday to approve Senate Bill 4, which calls for raising the homestead exemption for all homeowners from $100,000 to $140,000. Supporters of SB 4 said the increase could save the average Texas homeowner nearly $500 annually in taxes.

The House also passed Senate Bill 23, which would provide an additional raise to the homestead exemption for those 65 and older. It would raise the additional homestead exemption for elderly and disabled homeowners from $10,000 to $60,000. That’s on top of the current $100,000 exemption for Texas homeowners.

Both SB 4 and SB 23 require amendments to the Texas Constitution to take effect. The House also approved corresponding resolutions that would put the issues before Texas voters in November.

If voters approve amendments to enact SB 23 in tandem with SB 4, the total homestead exemption for elderly and disabled homeowners would rise to $200,000. Bill author Sen. Paul Bettencourt, R-Houston estimates that the increased exemption will save the average over-65 or disabled homeowner more than $950 annually in property taxes.