Relating to the exemption from ad valorem taxation of intangible personal property, the official text

H.B. No. 22

AN ACT

relating to the exemption from ad valorem taxation of intangible

personal property.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 11.02(a), Tax Code, is amended to read as

follows:

(a) Intangible [Except as provided by Subsection (b) of this

section, intangible] personal property is not taxable.

SECTION 2. Section 42.05, Tax Code, is amended to read as

follows:

Sec. 42.05. COMPTROLLER AS PARTY. The comptroller is an

opposing party in an appeal by[:

[(1) a property owner of an order of the comptroller

determining a protest of the appraisal, interstate allocation, or

intrastate apportionment of transportation business intangibles;

or

[(2)] a county or a property owner of an order of the

comptroller apportioning among the counties the appraised value of

railroad rolling stock.

SECTION 3. The following provisions of the Tax Code are

repealed:

(1) Sections 11.02(b) and (c);

(2) Section 21.06;

(3) Section 21.07;

(4) Section 21.08;

(5) Section 23.15; and

(6) Section 23.16.

SECTION 4. The changes in law made by this Act apply only to

an ad valorem tax year that begins on or after the effective date of

this Act.

SECTION 5. This Act takes effect January 1, 2026.

______________________________
______________________________

President of the Senate
Speaker of the House

I certify that H.B. No. 22 was passed by the House on April 3,

2025, by the following vote: Yeas 133, Nays 10, 1 present, not

voting.

______________________________

Chief Clerk of the House

I certify that H.B. No. 22 was passed by the Senate on May 9,

2025, by the following vote: Yeas 30, Nays 1.

______________________________

Secretary of the Senate

APPROVED: _____________________

Date

_____________________

Governor