HBA-SEB H.B. 3368 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3368
By: Talton
Ways & Means
4/26/1999
Introduced



BACKGROUND AND PURPOSE 

Currently, a religious organization seeking to qualify for a tax exemption
must file an application and meet specific criteria in order to qualify.
H.B. 3368 provides that a religious organization is not required to apply
for a tax exemption.  This bill applies to a religious organization that
has conscientious objections to filing an application for exemption and
that has been declared exempt from taxation.  Instead of applying for the
exemption, this bill provides that the religious organization  must
identify the property owned by the organization, state its objections to
filing for the exemption, and submit evidence showing that it is exempt
from taxation.  Upon receipt of the information, the chief appraiser is
required to grant the exemption unless the chief appraiser determines that
the religious organization is not entitled to the exemption. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 11.43, Tax Code, by adding Subsection (l), to
provide that this subsection applies only to a religious organization that
has conscientious objections to filing an application for exemption and
that has been declared exempt from taxation under the Internal Revenue Code
of 1986, as amended, by the Department of the Treasury Internal Revenue
Service. Provides that the religious organization is not required to apply
for the exemption.  Provides that in lieu of applying for the exemption,
the religious organization must identify the property owned by the
organization, state its objections to filing for the exemption, and submit
evidence showing that it is exempt from taxation on its own initiative or
on written or oral inquiry by the appraisal office. Requires the chief
appraiser to investigate whether the organization qualifies for exemption
on receipt of that information.  Requires the chief appraiser to grant the
exemption unless the chief appraiser determines that the religious
organization is not entitled to the exemption 

SECTION 2.Emergency clause.
  Effective date: upon passage.