Texas Register

TITLE 34 PUBLIC FINANCE
PART 1COMPTROLLER OF PUBLIC ACCOUNTS
CHAPTER 9PROPERTY TAX ADMINISTRATION
SUBCHAPTER KARBITRATION OF APPRAISAL REVIEW BOARD DETERMINATIONS
RULE §9.4252Request for Arbitration
ISSUE 11/10/2017
ACTION Proposed
Preamble Texas Admin Code Rule

(a)An owner may initiate an appeal of an ARB order determining a protest of property value through binding arbitration, upon submission of a written request with the required deposit to the appraisal district responsible for appraising the owner's property, under the terms and conditions of this section.

(b)The request for binding arbitration and a deposit in the appropriate amount under subsection (h) of this section must be filed with the appraisal district not later than the 45th calendar day after the date the owner receives the ARB order determining the protest, as evidenced by the certified mail receipt showing delivery to the owner. The request and deposit shall be submitted to the appraisal district by hand delivery, by certified first-class mail, or as provided by Tax Code, §1.08 or §1.085.

(c)The request for arbitration must be on the comptroller's prescribed Request for Binding Arbitration form (Form AP-219). The ARB shall provide a copy of this form as well as a notice of the owner's right to binding arbitration when it sends to the owner the ARB's order determining a protest filed pursuant to Tax Code, §41.41(a)(1) or (2) if the value of the property determined by the order is $5 million or less or the property qualifies as the owner's residence homestead under Tax Code, §11.13.

(d)If an agent, other than an attorney, has been appointed to represent the owner, and the agent signs the Request for Binding Arbitration form (Form AP-219) on behalf of the owner, the comptroller shall deny the request unless the Appointment of Agent for Binding Arbitration form (Form 50-791), signed by the owner, is properly completed and submitted with the request, Form AP-219.

(e)If the owner signs and submits the Request for Binding Arbitration form (Form AP-219) and indicates on the request form that an agent has been appointed but fails to submit the Appointment of Agent for Binding Arbitration form (Form 50-791), the comptroller's office may recognize the agent as the owner's representative with the authority to receive communications and a refund of the arbitration deposit, as applicable, only if the appointment of agent form (Form 50-791), signed by the owner, is properly completed and submitted within ten (10) calendar days of the comptroller's written or verbal notice to the owner that Form 50-791 was not previously provided with the request for arbitration.

(f)A request for binding arbitration on property that meets the following terms and conditions qualifies for binding arbitration under Tax Code, Chapter 41A:

  (1)The request concerns the appraised or market value of $5 million or less for the property as determined by the ARB order, or the property qualifies as the owner's residence homestead under Tax Code, §11.13.

  (2)The request does not involve any matter in dispute other than the determination of the appraised or market value of the property pursuant to a protest filed under Tax Code, §41.41(a)(1) for the appraised or market value or §41.41(a)(2) for unequal appraisal. Issues not subject to binding arbitration include a protest regarding the owner's motion for correction of an appraisal roll, a protest concerning the qualification of property for a tax exemption or special appraisal, or any other issue outside the scope of Tax Code, §41.41(a)(1) or (2).

  (3)A deposit in the correct amount set forth under subsection (h) of this section, in the form of a check issued and guaranteed by a banking institution (such as a cashier's or teller's check) or by a money order, payable to the Comptroller of Public Accounts, is included with the request. Personal checks, cash, or other forms of payment shall not be accepted.

  (4)No taxes on the property at issue are delinquent and the undisputed taxes due on the property were paid before the delinquency date set by Tax Code, Chapter 31, as applicable.

  (5)No lawsuit has been filed in district court regarding the property for the tax year at issue.

  (6)The request for binding arbitration is timely filed pursuant to subsection (b) of this section.

  (7)The request is made on the comptroller's Request for Binding Arbitration form (Form AP-219) and is signed by the property owner or by the owner's agent, if authorized.

  (8)If the owner's agent signs the comptroller's Request for Binding Arbitration form (Form AP-219), the comptroller's Appointment of Agent for Binding Arbitration form (Form 50-791) must be submitted with the request. The appointment of agent form (Form 50-791) must be signed by the owner, identify as the owner's agent the same individual who signed the request form, and explicitly authorize the individual agent to sign the request form.

(g)If the request involves contiguous tracts of land pursuant to Tax Code, §41A.03(a-1), each tract of land and ARB order must separately meet the requirements of subsection (f) of this section, except that a single arbitration deposit in an amount under subsection (h) of this section that corresponds to the tract with the highest appraised or market value of all the contiguous tracts as reflected on the ARB orders being appealed is sufficient. In the event two or more tracts are not contiguous, the property owner may select the one property that will be arbitrated; otherwise, the property with the highest appraised or market value will be selected for arbitration. For purposes of this section, two or more tracts of land qualify as contiguous if:

  (1)each tract of land physically touches another tract of land being appealed;

  (2)no intervening area, whether natural or manmade, that is owned by another person, entity, or governmental unit, separates the tracts;

  (3)the property type of each tract being appealed is identified on the request for binding arbitration as "Land" or "Agricultural" or any other category of real property that is not an improvement; and

  (4)all of the tracts of land being appealed are of the same property type, i.e., all are designated "Land" or all are designated "Agricultural" or all are designated another category of real property that is not an improvement.

(h)A deposit made payable to the Comptroller of Public Accounts is required to be submitted with each request for binding arbitration in the following amounts, as applicable:

  (1)$450 if the property qualifies as the owner's residence homestead under Tax Code, §11.13, and the appraised or market value is $500,000 or less as determined by the ARB order;

  (2)$500 if the property qualifies as the owner's residence homestead under Tax Code, §11.13, and the appraised or market value is more than $500,000 as determined by the ARB order;

  (3)$500 if the property does not qualify as the owner's residence homestead under Tax Code, §11.13, and the appraised or market value is $1 million or less as determined by the ARB order;

  (4)$800 if the property does not qualify as the owner's residence homestead under Tax Code, §11.13, and the appraised or market value is more than $1 million but not more than $2 million as determined by the ARB order;

  (5)$1,050 if the property does not qualify as the owner's residence homestead under Tax Code, §11.13, and the appraised or market value of the property is more than $2 million but not more than $3 million as determined by the ARB order; and

  (6)$1,550 if the property does not qualify as the owner's residence homestead under Tax Code, §11.13, and the appraised or market value of the property is more than $3 million but not more than $5 million as determined by the ARB order.

The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.

Filed with the Office of the Secretary of State on October 24, 2017

TRD-201704291

Lita Gonzalez

General Counsel

Comptroller of Public Accounts

Earliest possible date of adoption: December 10, 2017

For further information, please call: (512) 475-0387



Next Page Previous Page

Link to Texas Secretary of State Home Page | link to Texas Register home page | link to Texas Administrative Code home page | link to Open Meetings home page