MCLENNAN COUNTY, Texas — As Texans face an affordability crisis, Governor Greg Abbott declared property tax relief an emergency item in his recent State of the State Address. But what does that mean for you homeowners? Local Broker Cory Duncan explains how Abbott is focusing on lowering the tax rate.
- In the last legislative session, Governor Greg Abbott cut property taxes by 18 billion dollars. In this legislative session, Governor Abbott wants another 10 billion dollar property tax cut, but this time, he wants to eliminate those loopholes.
- In 2023, the legislature increased the homestead exemption from $40,000 to $100,000. In this proposal Duncan explains Abbott is more focused on the tax rate.
- In this emergency item, Abbott is pushing to increase voter approval to two-thirds
BROADCAST TRANSCRIPT:
In the last legislative session, Governor Greg Abbott cut property taxes by 18 billion dollars.
“But we know you didn’t feel it, but there’s a reason you didn’t feel it, and that’s because local taxing jurisdictions used loopholes to jack up your property taxes even higher!” Governor Greg Abbott said.
In this legislative session, Governor Abbott wants another 10 billion dollar property tax cut, but this time he wants to eliminate those loopholes.
“In 2023, the legislature increased the homestead exemption from $40,000 to $100,000. In this proposal, it seems like he’s more focused on that tax rate,” Duncan said.
25News reporter Dominique Leh sat down with Local Broker Cory Duncan to explain the process.
“So properties are taxed based on their valuation, so lets say one of these houses represents 100 thousand dollars in valuation, in 2023, I’m going give you a homestead exemption and take away 100,000 , now he’s saying in response, municipalities have said, we’ll just raise the rate to two. Now he is trying to lower that tax rate and limit the tax rate for municipalities and taxing authorities to limit from one to two,” said Duncan.
“Next year could homeowners, when they are getting ready to pay property taxes, could they potentially see a lower number?” asked 25News reporter Dominique Leh.
“Without a doubt. This could apply to 2025 property tax numbers,” Duncan said.
But how would this affect local schools and public services? Duncan believes the 10 billion dollars could help fill the funding gap.
“That fills that additional need that the schools may have, so that both homeowners can benefit. And the school systems and municipalities don’t see a major impact to their budget,” Cory Duncan said.
In this emergency item, Abbott is pushing to increase the voter approval to two third voter approval in order to increase the property taxes, Abbott said, "No two-thirds voter approval, no new taxes,"
