Texas HB38: Relating to the rate at which interest accrues in connection with the deferral or abatement of the collection of ad valorem taxes on certain residence homesteads.

What the bill says

An act relating to the rate at which interest accrues in connection with the deferral or abatement of the collection of ad valorem taxes on certain residence homesteads.

From the introduced text, August 15, 2025:

A BILL TO BE ENTITLED AN ACT relating to the rate at which interest accrues in connection with the deferral or abatement of the collection of ad valorem taxes on certain residence homesteads. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 33.06(d), Tax Code, is amended to read as follows: (d) A tax lien remains on the property and interest continues to accrue during the period collection of taxes is deferred or abated under this section. The annual interest rate[ADDED: in ] [ADDED: effect for each calendar year or portion of a calendar year]during the deferral or abatement period is[ADDED: the lower of the five-year ] [ADDED: Constant Maturity Treasury Rate reported by the Federal Reserve ] [ADDED: Board as of January 1 of that year or]five percent instead of the rate provided by Section 33.01. Interest and penalties that accrued or that were incurred or imposed under Section 33.01 or 33.07 before the date the individual files the deferral affidavit under Subsection (b) or the date the judgment abating the suit is entered, as applicable, are preserved. A penalty under Section 33.01 is not incurred during a deferral or abatement period. The additional penalty under Section 33.07 may be imposed and collected only if the taxes for which collection is deferred or abated …

Sponsors

• Mike Schofield (R, HD-132) · primary sponsor

Latest actions

1. August 20, 2025: Referred to Ways & Means
2. August 20, 2025: Read first time
3. August 15, 2025: Filed

Common questions

What is HB38?

HB38 is a bill in the Texas Legislature (89th Legislature 2nd Special Session): Relating to the rate at which interest accrues in connection with the deferral or abatement of the collection of ad valorem taxes on certain residence homesteads.

What does HB38 do?

In its own words: An act relating to the rate at which interest accrues in connection with the deferral or abatement of the collection of ad valorem taxes on certain residence homesteads.

What is the status of HB38?

In committee as of August 20, 2025. Latest action: Referred to Ways & Means (August 20, 2025).

Who sponsored HB38?

Mike Schofield (R, HD-132).

Where is the official record for HB38?

On the Texas Legislature website: https://capitol.texas.gov/BillLookup/History.aspx?LegSess=892&Bill=HB00038