HBA-EDN S.B. 1736 77(R)    BILL ANALYSIS


Office of House Bill AnalysisS.B. 1736
By: Cain
Ways & Means
5/4/2001
Engrossed



BACKGROUND AND PURPOSE 

Current law requires a taxing unit to waive penalties on a delinquent tax
bill that is delinquent due to a mistake by the taxing unit or appraisal
district.  The taxing unit is authorized but not required to waive the
interest in such a situation.  Senate Bill 1736 requires the taxing unit to
waive the interest if an error of the taxing unit or appraisal district
results in failure to pay the tax and allows for the delinquent tax to be
paid over three years instead of within 21 days after notification of the
delinquency.  

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. 

ANALYSIS

Senate Bill 1736 amends the Tax Code to require, rather than authorize, the
governing body of a taxing unit to waive interest on a delinquent tax if an
act or omission of the taxing unit or the appraisal district in which the
taxing unit participates caused or resulted in the taxpayer's failure to
pay the ad valorem tax before delinquency and if the tax is paid not later
than the third anniversary of, rather than within 21 days after, the date
the taxpayer knows or should know of the delinquency.     

EFFECTIVE DATE

June 30, 2001.