bill denying open-space appraisal on condemned land

The text as introduced · 372 words

89R1254 LHC-D

By: Bell of Montgomery
H.B. No. 546

A BILL TO BE ENTITLED

AN ACT

relating to the eligibility of land taken by condemnation for

appraisal for ad valorem tax purposes as qualified open-space land.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 23.56, Tax Code, is amended to read as

follows:

Sec. 23.56. LAND INELIGIBLE FOR APPRAISAL AS OPEN-SPACE

LAND. Land is not eligible for appraisal as provided by this

subchapter if:

(1) the land is located inside the corporate limits of

an incorporated city or town, unless:

(A) the city or town is not providing the land

with governmental and proprietary services substantially

equivalent in standard and scope to those services it provides in

other parts of the city or town with similar topography, land

utilization, and population density;

(B) the land has been devoted principally to

agricultural use continuously for the preceding five years; or

(C) the land:

(i) has been devoted principally to

agricultural use or to production of timber or forest products

continuously for the preceding five years; and

(ii) is used for wildlife management;

(2) the land is owned by an individual who is a

nonresident alien or by a foreign government if that individual or

government is required by federal law or by rule adopted pursuant to

federal law to register his ownership or acquisition of that

property; [ or ]

(3) the land is owned by a corporation, partnership,

trust, or other legal entity if the entity is required by federal

law or by rule adopted pursuant to federal law to register its

ownership or acquisition of that land and a nonresident alien or a

foreign government or any combination of nonresident aliens and

foreign governments own a majority interest in the entity ; or

(4) the land is owned by an entity other than the state

or a political subdivision of the state that acquired the land by

condemnation .

SECTION 2. The change in law made by this Act applies only

to the appraisal of land for ad valorem tax purposes for a tax year

that begins on or after the effective date of this Act.

SECTION 3. This Act takes effect September 1, 2025.