The Comptroller of Public Accounts adopts an amendment to §9.415, concerning applications for property tax exemptions, without changes to the proposed text as published in the December 19, 2003, issue of the Texas Register (28 TexReg 11233).

This rule is amended to adopt one new model application form, delete one model form and revise several existing model forms in response to legislation enacted in the 78th Legislature, 2003. New language was added to all model form regarding confidentiality of driver's license numbers, personal identification numbers, or social security numbers provided on exemption applications except for disclosure to appraisal office employees who appraise property and as authorized by Tax Code §11.48(b).

The comptroller has corrected typographical, formatting and consistency errors, on the existing model forms in Subsections (c)(2), (c)(4)-(11), (c)(13), (c)(15), (c)(17)-(18), (c)(20)-(21), and (c)(23)-(24) of this section.

The comptroller received and considered comments from a Austin law firm on the proposed model form for the Application for Organizations Constructing or Rehabilitating Low-Income Housing for Property Tax Exemption (Form 50-310).

The law firm submitted a comment that language be added to clarify that an organization may apply for the exemption within 30 days of the acquisition of the property as well as the usual application period. The comptroller added the language to the application.

The law firm submitted a comment that because the property owner and the qualifying non-profit organization may be two different entities, Step 1 in the application should be "bifurcated" to provide for identifying information on both. The firm also submitted a similar comment for Step 2. The comptroller added the language to the application to obtain the information on both entities if necessary.

The law firm submitted a comment that since the exemption application is also used for pre-determination of exemption as required by law, there will be no "active construction" or "physical preparation" at the time the application is filed. Because the organization would not have acquired the property, questions pertaining to active construction or physical preparation should be added. The comptroller added the questions to the application.

Another comment submitted by the law firm was that most multifamily properties have a variety of rents, dependent upon family size, unit size, and tenant income, requiring that rent schedules be attached for that type of housing. The comptroller added the request to the application.

Also, the law firm submitted a comment that the question on expenditure of the requisite amount of money would not apply for a pre-determination, because the applicant will not have spent the requisite amount at the time the application is filed. Even if the application is being used for a final exemption, the applicant may have the rehabilitation in progress as permitted by law for exemption eligibility, but may not have spent the requisite amount. The firm also suggested that a copy of the development budget be required to verify the intent to spend the requisite amount and not just a written statement from a certified public account. The comptroller made the changes as requested.

The last comment requested that a line be added for building designation since the application asks for one completed Schedule B for each building so that the applicant can readily identify the property to which the information applies. The comptroller added the line on Schedule B.

This amendment is adopted under Tax Code, §11.43(f), which requires the comptroller to prescribe the contents and form for each kind of property tax exemption.

The amendment implements Tax Code, §§11.111, 11.13, 11.14, 11.17, 11.18, 11.181, 11.19, 11.20, 11.21, 11.22, 11.23(a)-(k), 11.24, 11.251, 11.27, 11.271, 11.28, 11.29, 11.30, 11.31, 11.32, 11.33, 11.437, 11.182, 11.1825 and 11.1826. It repeals Tax Code §11.142.