HB 2508

H.B. No. 2508
  AN ACT
  relating to an exemption from ad valorem taxation of the residence
  homestead of the surviving spouse of a veteran who died as a result
  of a qualifying condition or disease.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter B, Chapter 11, Tax Code, is amended by
  adding Section 11.136 to read as follows:
         Sec. 11.136.  RESIDENCE HOMESTEADS OF SURVIVING SPOUSES OF
  CERTAIN QUALIFYING VETERANS.  (a)  In this section:
               (1)  "Qualifying condition or disease" means a
  condition or disease for which the Sergeant First Class Heath
  Robinson Honoring our Promise to Address Comprehensive Toxics Act
  of 2022 (Pub. L. No. 117-168) or a regulation adopted under that Act
  establishes a presumption of service connection.
               (2)  "Qualifying veteran" means a veteran of the armed
  services of the United States who died as a result of a qualifying
  condition or disease, regardless of the veteran's disability rating
  at the time of the veteran's death.
               (3)  "Residence homestead" has the meaning assigned by
  Section 11.13.
               (4)  "Surviving spouse" means the individual who was
  married to a qualifying veteran at the time of the veteran's death.
         (b)  The surviving spouse of a qualifying veteran is entitled
  to an exemption from taxation of the total appraised value of the
  surviving spouse's residence homestead if the surviving spouse has
  not remarried since the death of the veteran.
         (c)  The exemption provided by this section applies
  regardless of the date of the veteran's death if the surviving
  spouse otherwise meets the qualifications of this section.
         (d)  A surviving spouse who receives an exemption under
  Subsection (b) for a residence homestead is entitled to receive an
  exemption from taxation of a property that the surviving spouse
  subsequently qualifies as the surviving spouse's residence
  homestead in an amount equal to the dollar amount of the exemption
  from taxation of the first property for which the surviving spouse
  received the exemption under Subsection (b) in the last year in
  which the surviving spouse received that exemption if the surviving
  spouse has not remarried since the death of the veteran.  The
  surviving spouse is entitled to receive from the chief appraiser of
  the appraisal district in which the first property for which the
  surviving spouse claimed the exemption was located a written
  certificate providing the information necessary to determine the
  amount of the exemption to which the surviving spouse is entitled on
  the subsequently qualified homestead.
         SECTION 2.  Section 11.42(c), Tax Code, is amended to read as
  follows:
         (c)  An exemption authorized by Section 11.13(c) or (d),
  11.132, 11.133, [or] 11.134, or 11.136 is effective as of January 1
  of the tax year in which the person qualifies for the exemption and
  applies to the entire tax year.
         SECTION 3.  Section 11.43(c), Tax Code, is amended to read as
  follows:
         (c)  An exemption provided by Section 11.13, 11.131, 11.132,
  11.133, 11.134, 11.136, 11.17, 11.18, 11.182, 11.1827, 11.183,
  11.19, 11.20, 11.21, 11.22, 11.23(a), (h), (j), (j-1), or (m),
  11.231, 11.254, 11.27, 11.271, 11.29, 11.30, 11.31, 11.315, 11.35,
  or 11.36, once allowed, need not be claimed in subsequent years, and
  except as otherwise provided by Subsection (e), the exemption
  applies to the property until it changes ownership or the person's
  qualification for the exemption changes.  However, except as
  provided by Subsection (r), the chief appraiser may require a
  person allowed one of the exemptions in a prior year to file a new
  application to confirm the person's current qualification for the
  exemption by delivering a written notice that a new application is
  required, accompanied by an appropriate application form, to the
  person previously allowed the exemption.  If the person previously
  allowed the exemption is 65 years of age or older, the chief
  appraiser may not cancel the exemption due to the person's failure
  to file the new application unless the chief appraiser complies
  with the requirements of Subsection (q), if applicable.
         SECTION 4.  Section 26.10(b), Tax Code, is amended to read as
  follows:
         (b)  If the appraisal roll shows that a residence homestead
  exemption under Section 11.13(c) or (d), 11.132, 11.133, [or]
  11.134, or 11.136 applicable to a property on January 1 of a year
  terminated during the year and if the owner of the property
  qualifies a different property for one of those residence homestead
  exemptions during the same year, the tax due against the former
  residence homestead is calculated by:
               (1)  subtracting:
                     (A)  the amount of the taxes that otherwise would
  be imposed on the former residence homestead for the entire year had
  the owner qualified for the residence homestead exemption for the
  entire year; from
                     (B)  the amount of the taxes that otherwise would
  be imposed on the former residence homestead for the entire year had
  the owner not qualified for the residence homestead exemption
  during the year;
               (2)  multiplying the remainder determined under
  Subdivision (1) by a fraction, the denominator of which is 365 and
  the numerator of which is the number of days that elapsed after the
  date the exemption terminated; and
               (3)  adding the product determined under Subdivision
  (2) and the amount described by Subdivision (1)(A).
         SECTION 5.  Section 26.112, Tax Code, is amended to read as
  follows:
         Sec. 26.112.  CALCULATION OF TAXES ON RESIDENCE HOMESTEAD OF
  CERTAIN PERSONS.  (a)  Except as provided by Section 26.10(b), if
  at any time during a tax year property is owned by an individual who
  qualifies for an exemption under Section 11.13(c) or (d), 11.133,
  [or] 11.134, or 11.136, the amount of the tax due on the property
  for the tax year is calculated as if the individual qualified for
  the exemption on January 1 and continued to qualify for the
  exemption for the remainder of the tax year.
         (b)  If an individual qualifies for an exemption under
  Section 11.13(c) or (d), 11.133, [or] 11.134, or 11.136 with
  respect to the property after the amount of the tax due on the
  property is calculated and the effect of the qualification is to
  reduce the amount of the tax due on the property, the assessor for
  each taxing unit shall recalculate the amount of the tax due on the
  property and correct the tax roll.  If the tax bill has been mailed
  and the tax on the property has not been paid, the assessor shall
  mail a corrected tax bill to the person in whose name the property
  is listed on the tax roll or to the person's authorized agent.  If
  the tax on the property has been paid, the tax collector for the
  taxing unit shall refund to the person who was the owner of the
  property on the date the tax was paid the amount by which the
  payment exceeded the tax due.
         SECTION 6.  Section 403.302(d-1), Government Code, is
  amended to read as follows:
         (d-1)  For purposes of Subsection (d), a residence homestead
  that receives an exemption under Section 11.131, 11.133, [or]
  11.134, or 11.136, Tax Code, in the year that is the subject of the
  study is not considered to be taxable property.
         SECTION 7.  Section 11.136, Tax Code, as added by this Act,
  applies only to ad valorem taxes imposed for a tax year that begins
  on or after the effective date of this Act.
         SECTION 8.  It is the intent of the 89th Legislature, Regular
  Session, 2025, that the amendments made by this Act be harmonized
  with another Act of the 89th Legislature, Regular Session, 2025,
  relating to nonsubstantive additions to and corrections in enacted
  codes.
         SECTION 9.  This Act takes effect January 1, 2026, but only
  if the constitutional amendment proposed by the 89th Legislature,
  Regular Session, 2025, authorizing the legislature to provide for
  an exemption from ad valorem taxation of all or part of the market
  value of the residence homestead of the surviving spouse of a
  veteran who died as a result of a condition or disease that is
  presumed under federal law to have been service-connected is
  approved by the voters.  If that amendment is not approved by the
  voters, this Act has no effect.
  ______________________________
  ______________________________
     President of the Senate
  Speaker of the House     
         I certify that H.B. No. 2508 was passed by the House on April
  30, 2025, by the following vote:  Yeas 144, Nays 0, 1 present, not
  voting.
  ______________________________
  Chief Clerk of the House   
         I certify that H.B. No. 2508 was passed by the Senate on May
  25, 2025, by the following vote:  Yeas 31, Nays 0.
  ______________________________
  Secretary of the Senate    
  APPROVED:  _____________________
                     Date          
            _____________________
                   Governor