All Roll Calls
Yes: 456 • No: 37
TexasHB 989th Legislature Regular SessionHouseWALLET
Relating to an exemption from ad valorem taxation of a portion of the appraised value of tangible personal property that is held or used for the production of income.
Sponsored By: Diego M. Bernal, Paul Bettencourt (Republican), Greg Bonnen, Hillary Hickland, Trey Martinez Fischer, Morgan Meyer
Signed by Governor
Business & Commerce--GeneralCity Government--Employees/OfficersCounty Government--Employees/OfficersProperty Interests--Personal PropertyTaxation--Property-Appraisals & Appraisal DistrictsTaxation--Property-ExemptionsTaxation--Property-Tax RateTaxation--School DistrictCOUNTY TAX ASSESSOR-COLLECTORS
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Bill Overview
Analyzed Economic Effects
2 provisions identified: 1 benefits, 0 costs, 1 mixed.
Business owners get a property tax break
The law exempts up to $125,000 of appraised value of qualifying income-producing business personal property from local property taxes. It applies to tax years beginning January 1, 2026, or later, only with voter approval of the required constitutional amendment. Without approval, the law has no effect. The exemption generally applies separately at each location within each taxing unit where the property is taxable. Qualifying leased property and property at sites the owner neither owns nor leases are instead grouped across the taxing unit. Related businesses operating as one enterprise must combine their property at the same location; the chief appraiser determines when this applies. The $125,000 reduces taxable property value, not the tax bill itself; savings depend on local tax rates.
Businesses get reporting relief with checks
The reporting rules apply for tax years beginning January 1, 2026, or later, only with the required constitutional amendment's voter approval. Owners who believe their property's combined market value exceeds the applicable $125,000 exemption must file a property tax report. They must report all income-producing personal property taxable in the appraisal district, except property exempt under another law. Owners can elect to skip later reports by filing a report certifying a reasonable belief that value is within the exemption. This choice starts the next tax year and lasts until ownership changes, but the chief appraiser can still require reports. Related businesses operating as one enterprise must include information for each business. Forms must identify ownership and related-business status, include certification and election boxes, and warn in bold about criminal penalties for false statements. Forms cannot demand information beyond what the law requires.
Sponsors & Cosponsors
Sponsors
Diego M. Bernal
House
Paul Bettencourt
Republican • Senate
Greg Bonnen
House
Hillary Hickland
House
Trey Martinez Fischer
House
Morgan Meyer
House
Cosponsors
Daniel Alders
House
Carol Alvarado
Democratic • Senate
Trent Ashby
House
Jeff Barry
House
Cecil Bell Jr.
House
Keith Bell
House
Brian Birdwell
Republican • Senate
Brad Buckley
House
Benjamin Bumgarner
House
Angie Chen Button
House
Giovanni Capriglione
House
David Cook
House
Philip Cortez
House
Tom Craddick
House
Creighton
Affiliation unavailable
Charles Cunningham
House
Pat Curry
House
Aicha Davis
House
Mano DeAyala
House
Jay Dean
House
Mark Dorazio
House
Paul Dyson
House
Caroline Fairly
House
James Frank
House
Cassandra Garcia Hernandez
House
Gary Gates
House
Stan Gerdes
House
Charlie Geren
House
Ryan Guillen
House
Roland Gutierrez
Democratic • Senate
Sam Harless
House
Cody Harris
House
Caroline Harris Davila
House
Richard Hayes
House
Cole Hefner
House
Adam Hinojosa
Republican • Senate
Bryan Hughes
Republican • Senate
Lacey Hull
House
Carrie Isaac
House
Helen Kerwin
House
Phil King
Republican • Senate
Stan Kitzman
House
Lois Kolkhorst
Republican • Senate
Stan Lambert
House
Brooks Landgraf
House
Jeff Leach
House
Terri Leo Wilson
House
Janie Lopez
House
Ray Lopez
House
John Lujan
House
Shelley Luther
House
Armando "Mando" Martinez
House
John McQueeney
House
Will Metcalf
House
Mayes Middleton
Republican • Senate
Brent Money
House
Matt Morgan
House
Sergio Muñoz Jr.
House
Candy Noble
House
Tom Oliverson
House
Angelia Orr
House
Jared Patterson
House
Dennis Paul
House
Angela Paxton
Republican • Senate
Katrina Pierson
House
Mihaela Plesa
House
Richard Peña Raymond
House
Keresa Richardson
House
Mike Schofield
House
Matt Shaheen
House
Joanne Shofner
House
Shelby Slawson
House
Kevin Sparks
Republican • Senate
David Spiller
House
Valoree Swanson
House
Carl H. Tepper
House
Tony Tinderholt
House
Ellen Troxclair
House
VanDeaver
Affiliation unavailable
Cody Vasut
House
Royce West
Democratic • Senate
Trey Wharton
House
Terry M. Wilson
House
Roll Call Votes
House vote • 5/19/2025
Record vote
Yes: 110 • No: 15
Senate vote • 5/14/2025
Record vote
Yes: 31 • No: 0
Senate vote • 5/14/2025
Record vote
Yes: 31 • No: 0
House vote • 4/3/2025
Record vote
Yes: 133 • No: 10
House vote • 4/2/2025
Record vote
Yes: 132 • No: 12
Senate vote • Unknown
Committee vote: Local Government
Yes: 7 • No: 0
House vote • Unknown
Committee vote: Ways & Means
Yes: 12 • No: 0
Actions Timeline
See remarks for effective date
6/12/2025HouseSigned by the Governor
6/12/2025HouseSent to the Governor
5/22/2025HouseSigned in the Senate
5/21/2025SenateSigned in the House
5/21/2025HouseReported enrolled
5/20/2025HouseHouse concurs in Senate amendment(s)-reported
5/20/2025SenateText of Senate Amendment(s)
5/19/2025HouseStatement(s) of vote recorded in Journal
5/19/2025HouseRecord vote (RV#2999)
5/19/2025HouseHouse concurs in Senate amendment(s)
5/19/2025HouseSenate Amendments Analysis distributed
5/15/2025HouseSenate Amendments distributed
5/15/2025HouseSenate passage as amended reported
5/14/2025HouseRecord vote
5/14/2025SenatePassed
5/14/2025SenateRead 3rd time
5/14/2025SenateRecord vote
5/14/2025SenateThree day rule suspended
5/14/2025SenateVote recorded in Journal
5/14/2025SenatePassed to 3rd reading as amended
5/14/2025SenateVote recorded in Journal
5/14/2025SenateAmended
5/14/2025SenateAmendment(s) offered (FA1 Bettencourt)
5/14/2025SenateRead 2nd time
5/14/2025Senate
Bill Text
Engrossed
Enrolled
House Committee Report
Introduced
Senate Committee Report
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