IN GENERAL

Houston Code of Ordinances ch. 44, art. I

in effect

Houston Code of Ordinances § 44-1 Prior provisions saved.

Sec. 44-1. - Prior provisions saved. In the compilation of this Code various provisions of chapter 44 (taxation) of the prior (1968) edition of the Code of Ordinances, as amended were deleted by virtue of their having been superseded by the Texas Property Tax Code; the said provisions which were deleted are expressly saved from repeal, not withstanding the adoption of this Code or any provision contained in the ordinance adopting this Code, to the extent that they remain applicable to any delinquent taxes which have not been collected or to any cause of action relating thereto.

Houston Code of Ordinances § 44-2 Annual levy; effect of failure to levy.

Sec. 44-2. - Annual levy; effect of failure to levy. It shall be the duty of the city council, at its first meeting in January of each and every year, to levy such ad valorem and occupation taxes as may be necessary to cover the expenses of the city government for the current year; provided, the failure to levy such taxes at such meeting shall not prevent the same being levied at any such subsequent meeting of the council, and if the council should fail or neglect to pass a tax ordinance for any year, levying the taxes for that year, the tax ordinance last passed will be considered in force, and the failure to pass such ordinance shall in no wise invalidate the collection of the tax for that year. (Code 1968, § 44-2)

Houston Code of Ordinances § 44-3 Property subject to taxation; applicability of state law.

Sec. 44-3. - Property subject to taxation; applicability of state law. All real, personal or mixed property held, owned or situated in the city, except such as may be expressly exempted in or pursuant to this article, is subject to taxation, and the same shall be rendered and listed in the manner prescribed by the general laws in regard to general state taxation, when applicable. The definition of property and terms, as defined by the general state laws under the head of taxation, and what is subject to taxation, as prescribed by the general laws of this state, shall apply to the taxation of this city. (Code 1968, § 44-3)

Houston Code of Ordinances § 44-4 Tax exemption for resident homesteads.

Sec. 44-4. - Tax exemption for resident homesteads. (a) There is hereby exempted from all ad valorem taxes hereafter levied by the city a portion of the appraised value of residence homesteads of persons, married or unmarried, including those living alone, who are under a disability for purposes of payment of disability insurance benefits under Federal Old-Age, Survivors, and Disability Insurance, or its successor, or of married or unmarried persons 65 years of age or older, including those living alone. Effective January 1, 2022, the amount of the aforesaid exemption shall be $260,000.00 for the tax year 2022 and for each year thereafter. (b) An owner of a residence homestead is hereby granted an exemption of 40 percent of the market value of such residence homestead for the years 1982 through 1984, 30 percent for the years 1985 through 1987, and 20 percent in 1988 and each subsequent year. Any exemption granted under this subsection shall be administered in a manner consistent with the applicable provisions of the state Property Tax Code. (Code 1968, § 44-4; Ord. No. 72-2298, § 1, 12-13-72; Ord. No. 73-1783, § 1, 9-5-73; Ord. No. 74-1433, § 1, 8-14-74; Ord. No. 75-584, § 1, 4-15-75; Ord. No. 77-502, § 1, 3-15-77; Ord. No. 77-900, § 1, 5-10-77; Ord. No. 78-1294, § 1, 6-28-78; Ord. No. 80-675, § 1, 3-26-80; Ord. No. 82-481, § 1, 3-23-82; Ord. No. 88-1700, § 1, 10-26-88; Ord. No. 94-673, § 1, 7-6-94; Ord. No. 02-647, § 1, 7-10-02; Ord. No. 2013-630, § 2, 6-26-2013; Ord. No. 2015-554, § 2, 6-10-2015; Ord. No. 2022-454, § 2, 6-8-2022)

Houston Code of Ordinances § 44-5 Tax relief for the restoration or preservation of historical sites.

Sec. 44-5. - Tax relief for the restoration or preservation of historical sites. (a) Scope. The city council may, by ordinance, grant tax relief in the form of an exemption from ad valorem taxation to any "historic site," which for purposes of this section means a structure that has been designated as a landmark, protected landmark, or as a contributing structure in a historic district pursuant to article VII of chapter 33 of this Code ("Historic Preservation Ordinance"). (b) Eligibility. A property is eligible for tax exemption under this section in accordance with the following: (1) The tax exemption is only being sought for eligible work under subsection (e) of this section; (2) The eligible work performed must be at a cost of at least 25 percent of the "base value," which for purposes of this section means the assessed value of the historic structure or improvements, not including the value of any land associated with the historic site; (3) The eligible work is performed not earlier than five years before the application for tax exemption; and (4) The eligible work is performed pursuant to a certificate of appropriateness granted by the Houston Archaeological and Historical Commission ("HAHC"). (c) Application. An application for tax exemption under this section shall be filed with the director of the Finance Department, or his designee ("director of finance") in the form prescribed by the director of finance, and shall contain documentary evidence, including photographs and other documentation, of: (1) All completed work for which a tax exemption is sought; (2) Itemized accounting of eligible costs, shown as distinct from any ineligible costs, associated with any interior and exterior construction for which a tax exemption is sought; and (3) Compliance with the requirements of any certificates of appropriateness issued pursuant to the Historic Preservation Ordinance. Any application that does not contain sufficient documentary evidence under this section, including insufficiently itemized accounting of eligible costs as show distinctly from ineligible costs, shall be rejected by the director of finance and considered incomplete. (d) Procedure. The director of finance shall establish and promulgate procedures for the implementation of the exemption granted under this section, the review of applications for tax exemption pursuant to this section, including deadlines for submission and consideration of applications required for a tax exemption to be effective for the next tax year. The director of finance shall calculate the projected tax exemption in accordance with this section, and forward the recommendation and projected tax exemption to city council. The city council shall approve an application for tax exemption upon receipt of a recommendation and a projected tax exemption from the director of finance. (e) Eligible work. The following work qualifies for tax exemption under this section: (1) Restoration performed pursuant to a certificate of appropriateness granted under the Historic Preservation Ordinance; (2) Repair or reconstruction of the historic portion of the structural components, which includes parts of a building such as walls, partitions, floors, ceilings; windows and doors; all components of a central air conditioning or heating system, whether within or adjacent to a building, including motors, compressors, pipes and ducts; plumbing and plumbing fixtures, such as sinks and bathtubs; electric wiring and lighting fixtures; chimneys; stairs, escalators, and elevators; interior sprinkler systems; fire escapes; and other components relating to the operation or maintenance of a building; (3) Interior remodeling of the historic portion of the structure's paint, flooring, permanent coverings such as paneling or tiling; (4) Professional services such as architectural, engineering, and other development fees; and (5) Construction management and labor, materials, and reasonable overhead. (f) Ineligible work. The following work does not qualify for tax exemption under this section: (1) Appliances, consumer and industrial machinery, including machinery needed for the preparation and storage of food; (2) Furniture, including cabinetry and countertops; (3) Decks, fencing, retaining walls, swimming pools, and any exterior work such as sidewalks, driveways, and landscaping; (4) Acquisition costs; (5) Demolition and relocation costs; (6) All costs, both exterior and interior, associated with the construction of a new addition or new construction, as those terms are defined in the Historic Preservation Ordinance; (7) Work done outside the scope of a certificate of appropriateness required by the Historic Preservation Ordinance; and (8) Work done pursuant to a certificate of remediation issued by the HAHC. (g) Annual review of tax exemption. The director of finance shall conduct an annual review of each property granted an exemption under this section and may recommend revocation of the tax exemption granted under this section to city council if: (1) The historic site is or has been the subject of a certificate of appropriateness issued pursuant to sections 33-247 or 33-250 of this Code; (2) The owner of a historic site exceeds the scope of a certificate of appropriateness or takes any action without a certificate of appropriateness required by article VII of chapter 33 of this Code; (3) The owner causes the property to be demolished by neglect under section 33-254 of this Code or as a dangerous building under chapter 10 of this Code; or (4) City taxes assessed against the property are delinquent, as confirmed by the director of finance. (h) Calculation of tax exemption. An exemption granted hereunder by the city council shall exempt the historic structure or improvements not including the value of any land associated with this historic site from ad valorem taxation and shall be computed on the following basis: (1) If the said qualifying expenditures are at least 25 percent but less than 100 percent of the base value, then the exemption for each tax year on the assessed value of the structure shall be equal to the amount of the qualifying expenditures; or (2) If the said qualifying expenditures are 100 percent or more of the base value of the improvements, then for each tax year: a. For single-family residential properties that are not within a qualifying census tract, the exemption shall be equal to the qualifying expenditures; or b. For properties other than single-family residential properties and all properties within a qualifying census tract, as that term is defined below, the exemption shall be equal to 100 percent of the assessed value of the historic structure or improvements not including the value of any land associated with this historic site. In any event, however, the exemption granted to any historic site pursuant to this section shall be subject to a limitation in the form of a maximum dollar amount. The maximum dollar amount shall be the assessed value of the historic structure in the year following demonstration of completion of the restoration or preservation work and demonstration of the qualifying expenditures to the director of finance. The amount of the exemption allowed on a historic structure shall not exceed the aforesaid maximum dollar amount in any tax year for the duration of the exemption period. For purposes of this subsection qualifying census tract means any population census tract if either: (1) The poverty rate for such tract is at least 20 percent; or (2) The median family income for such tract does not exceed 80 percent of the metropolitan area median family income. (i) Term. An exemption granted under this section shall begin on January 1 of the year following the date that the director of finance makes the determination that the owner of the historic site has met all of the requirements of this section for an exemption. The duration of the exemption shall be for a period of 15 years if the restoration project receives no financial incentive from the city funded by municipal hotel occupancy taxes, or ten years if the restoration project receives a financial incentive from the city funded by municipal hotel occupancy taxes. The exemption shall be automatically continued as of January 1 of each year succeeding the year the exemption was first granted for the duration of the ten- or 15-year period. The exemption shall be continued in the event of a transfer of an ownership interest or a portion of an ownership interest in the historic structure during such ten or 15-year period. (j) Recordation. A person who has an ownership interest in property that has been granted a historic site exemption from ad valorem taxation shall record a copy of the ordinance providing for such exemption in the form prescribed by the city attorney in the real property records of the county in which the property is located. Failure on the part of the applicant to deliver a copy of such recorded ordinance, showing the date of recordation in the appropriate real property records, to the director of finance within 90 days of the date of passage of the ordinance providing for a tax exemption shall cause the expiration of the exemption at the end of such 90-day period. (k) Recapture. Tax receipts and tax certificates issued for any historic site receiving tax relief pursuant to this section shall be clearly marked: "Historic site—Subject to recapture of additional taxes under Code of Ordinances." Each year during which the property is granted tax relief, the director of finance shall note on his records the valuation which would have been made and the taxes that would have been due had the historic site not qualified for tax relief under this section. If the historic site is subsequently damaged, demolished, or destroyed, or if the tax exemption is revoked under this section, then the property shall be subject to a recapture of taxes and subject to penalties and interest calculated under pertinent provisions of the Texas Tax Code. The additional tax shall be equal to the total amount of tax relief granted under this section over the life of the structure. Such additional taxes shall be deposited in the Historic Preservation Fund. Until paid, there shall be a lien for additional taxes, penalty, and interest on the property granted tax relief under the provisions of this section. An obligation to pay recaptured taxes is extinguished by operation of force majeure. Force majeure means: fires, floods, hurricanes, tornadoes, ice storms and other natural disasters, explosions, war, terrorist acts, riots, and the acts of superior governmental or military authority, and which the affected party is unable to prevent by the exercise of reasonable diligence. The term does not include any changes in general economic conditions such as inflation, interest rates, economic downturn or other factors of general application, bankruptcy or an event that merely makes performance more difficult, expensive or impractical. (l) A historic site for which an exemption has expired or has been withdrawn, revoked, or terminated may not requalify for a tax exemption under this section. Only one tax exemption at a time under this section may apply to a property. (m) Notwithstanding any other provision of this Code, a structure that has been designated as a landmark or as a contributing structure in a historic district pursuant to the Historic Preservation Ordinance and that is owned by the State of Texas or a political subdivision thereof is entitled to an exemption equal to 100 percent of the assessed value of the historic structure and the land necessary for access and use of such structure. If an application for an exemption pursuant to this subsection is granted prior to the adoption of the ad valorem tax rate for the tax year in which the application is granted, the exemption shall be effective as of January 1 of that tax year. If such an application is granted after the adoption of the ad valorem tax rate for the tax year in which the application is granted, the exemption shall be effective as of January 1 of the tax year following the date the application was granted. An exemption granted pursuant to this subsection shall remain effective until the property is sold. (Code 1968, § 44-4.1; Ord. No. 81-625, § 1, 4-1-81; Ord. No. 95-227, § 2, 3-1-95; Ord. No. 01-212, § 2, 3-7-01; Ord. No. 02-399, § 91, 5-15-02; Ord. No. 02-838, § 2, 9-4-02; Ord. No. 03-159, § 10, 2-12-03; Ord. No. 04-955, § 1, 9-15-04; Ord. No. 07-658, § 2, 6-6-07; Ord. No. 08-52, § 76, 1-16-08, eff. 1-26-08; Ord. No. 2015-967, § 41, 10-7-2015; Ord. No. 2019-143, § 1, 3-20-2019)

Houston Code of Ordinances § 44-6 Property liable for taxes due by owners.

Sec. 44-6. - Property liable for taxes due by owners. All real, personal and mixed property held, owned or situated in the city shall be liable for all taxes due by the owners thereof, including taxes on real estate, franchises, personal and mixed property. (Code 1968, § 44-5)

Houston Code of Ordinances § 44-7 Power of tax assessor-collector to enter premises and inspect property.

Sec. 44-7. - Power of tax assessor-collector to enter premises and inspect property. In the performance of his duties, the tax assessor-collector, or any of his deputies or duly and legally authorized representatives, shall have the power and authority to enter upon and into the premises, after having demanded entrance, of any person for the purpose of ascertaining what property such person has on hand that is subject to taxation. The tax assessor-collector, or any of his deputies or duly and legally authorized representatives, shall have the power and authority to inspect all property located on the premises for the purpose of obtaining an inventory to be filed for the purpose of taxation of the property included in such inventory and for the purpose of fixing the taxable value of the property found thereon. It shall be unlawful for any person to refuse to allow the tax assessor-collector for the city, or any of his deputies or duly and legally authorized representatives, to enter upon and into the premises as above provided after demand has been made by such person for admittance. (Code 1968, § 44-11)

Houston Code of Ordinances § 44-8 Invalid city tax assessments.

Sec. 44-8. - Invalid city tax assessments. (a) The tax assessor-collector shall notify the city council of any city tax assessments on real or personal property that he shall discover to be invalid, as defined and provided herein. (b) An invalid assessment, within the meaning of this subsection is one that is: (1) On property outside the taxing jurisdiction, hereinafter referred to as "outside jurisdiction"; (2) On property that is exempt from taxation, hereinafter referred to as "exempt"; (3) A second or double assessment on property properly assessable, hereinafter referred to as "double". In notifying the council of such invalid city tax assessments under this subsection, the tax assessor-collector shall prepare lists and on each list show the name and address of the property owner, the account number, the property description, the amount of the assessment, the taxes, and the reason that the assessment is invalid. The reasons, above, for an assessment being invalid may be indicated on each list by the words "outside jurisdiction," "exempt," "double." Each list shall be certified to by the tax assessor-collector as follows: "This is a correct list of invalid assessments as provided for by the ordinances of the City of Houston." One or more lists shall be forwarded to the city council attached to a form of ordinance which contains in its caption the reasons that the assessments are invalid and which provides for the city council: (i) To find the city tax assessment invalid, and (ii) To order such assessments and the city taxes based thereon cancelled. (c) An invalid assessment, within the meaning of this subsection, is one that is: (1) Grossly excessive, for example, the assessment of property at 100 percent or more above its fair market value, hereinafter referred to as "grossly excessive"; (2) Discriminatory, for example, the use of a different appraisal standard than used for similar property, hereinafter referred to as "discriminatory"; and (3) An assessment that is illegal for any other reason, hereinafter referred to as "illegal"; In notifying the council of such invalid city tax assessments under this subsection, the tax assessor-collector shall prepare lists and on each list show the name and address of the property owner, the account number, the property description, the amount of the assessment, the taxes, and the reason that the assessment is invalid. The reasons, above, for an assessment being invalid may be indicated on each list by the words "grossly excessive," "discriminatory," and "illegal," respectively. Each list shall be certified to by the tax assessor-collector as follows: "This is a correct list of invalid assessments as provided for by the ordinances of the City of Houston." Every such invalid assessment shall be accompanied by affidavits and an opinion from the city attorney, based upon the facts set out in such affidavits, stating it to be his opinion that the assessment could properly be found invalid by the council. One or more lists shall be forwarded to the city council attached to a form of ordinance which contains in its caption the reasons that the assessments are invalid and which provides for the city council: (i) To find the city tax assessment invalid; and (ii) To order such assessments and the city taxes based thereon cancelled. (d) The tax assessor-collector shall immediately reassess all taxable property on which the assessment has been cancelled under the terms hereof and place the same on the supplemental roll to be equalized prior to the next time the tax roll is approved by the board of appraisement. (Code 1968, § 44-16.1; Ord. No. 68-1163, §§ 1—3, 7-17-68; Ord. No. 81-690, § 1, 4-14-81)

Houston Code of Ordinances § 44-9 Partial payment of current taxes based on a proposed reassessment.

Sec. 44-9. - Partial payment of current taxes based on a proposed reassessment. (a) The tax assessor-collector is hereby authorized to accept a partial payment of current taxes on property if: (1) It appears that the tax assessment for the current year on the property is invalid, and the tax assessor-collector has affidavits or other documents proving that the assessment for the current year is invalid as provided by the section on invalid assessments; and (2) The tax assessor-collector has recommended that the assessment be cancelled by the city council; and (3) The tax assessor-collector has also received full, true and complete information upon which a valid reassessment can be made; and (4) The payment is equal to what a payment in full on the reassessment would be. After the partial payment in the amount aforesaid has been made, the tax assessor-collector shall issue a tax receipt clearly marked "partial payment receipt." It shall also contain the following notation: "This receipt represents a partial payment of taxes originally assessed for the year shown and the amount thereof is tendered by the taxpayer and accepted by the City of Houston and/or Houston Independent School District with the express understanding that it will not in any way impair the balance of the taxes due for the year nor the lien securing same." (b) In the event that a prior assessment is cancelled, a reassessment made and the assessment roll has been changed to show the new value, a copy of the portion of the roll showing the new amount and the "partial payment receipt" shall constitute a receipt in full for the tax for that year. (Code 1968, § 44-17; Ord. No. 79-1809, § 1, 10-23-79)

Houston Code of Ordinances § 44-10 Tax assessor-collector to be charged with total amount of taxes due.

Sec. 44-10. - Tax assessor-collector to be charged with total amount of taxes due. After the certificates of the board of appraisement and the tax assessor-collector have been entered in the minutes of the meeting of the city council, it shall be the duty of the city controller to charge to the account of the tax assessor-collector the total amount of taxes due the city for the current year, as shown on such assessment roll and by his certificates, which amount shall be a valid claim against such tax assessor-collector and the sureties on his official bond, until the same shall be properly accounted for. (Code 1968, § 44-28)

Houston Code of Ordinances § 44-11 When taxes due and payable; penalty and interest on delinquent taxes.

Sec. 44-11. - When taxes due and payable; penalty and interest on delinquent taxes. (a) All taxes, except occupation and license taxes, are hereby declared to become due and payable on the first day of each and every year, and if not paid by the thirty-first day of December following, shall be deemed delinquent, and beginning with the delinquent taxes for the year 1933 and every year thereafter, a penalty of two percent upon the amount of the taxes due shall be added and paid, if paid during the month of January following such delinquency; four percent if paid during the month of February following such delinquency; six percent if paid during the month of March following such delinquency; eight percent if paid during the month of April following such delinquency; nine percent if paid during the month of May following such delinquency; and ten percent if paid thereafter; and interest shall be charged upon the gross amount of the tax and penalty due until paid, at the rate of six percent per annum. (b) On all assessments made after the year of the tax, the six percent per annum interest shall be calculated the same as if the assessment had been made during the year of the tax and the ten percent penalty shall be calculated as if the tax did not occur until the year in which the assessment was made. All assessments for prior years made during the month of December shall be considered for purposes of calculating penalty to have been made during the calendar year next succeeding. (c) The provisions of the foregoing subsections (a) and (b) shall not apply to the calculation of penalty and interest from and after January 1, 1982, being the effective date of Chapter 33 of the Texas Property Tax Code. (Code 1968, § 44-30; Ord. No. 70-1813, § 1, 1-14-70)

Houston Code of Ordinances § 44-12 Where taxes payable.

Sec. 44-12. - Where taxes payable. All city taxes shall be payable at the office of the tax assessor-collector. (Code 1968, § 44-31)

Houston Code of Ordinances § 44-13 Extension of time for payment, remitting, etc., of taxes and holding city position while owing taxes prohibited.

Sec. 44-13. - Extension of time for payment, remitting, etc., of taxes and holding city position while owing taxes prohibited. In no case shall the city council or any member of the city council, or any other officer of the city, extend the time for the payment of the taxes; nor shall any officer of the city remit, discount or compromise any taxes legally due the city; nor shall any person be elected mayor or councilman of the city, or hold any position, office or employment thereunder who is in arrears, or due and owing to the city any sum of money for taxes or otherwise. (Code 1968, § 44-34)

Houston Code of Ordinances § 44-14 Payment of taxes to be credited on property; receipt for payment.

Sec. 44-14. - Payment of taxes to be credited on property; receipt for payment. All sums of money received by the tax assessor-collector in payment of taxes, other than occupation or license taxes, shall be credited on the particular tract of land or parcel of property, or the specific item of personal property, upon which the tax is due, and a proper receipt shall be given therefor. (Code 1968, § 44-35)

Houston Code of Ordinances § 44-15 Partial payment of current taxes on homestead.

Sec. 44-15. - Partial payment of current taxes on homestead. (a) The tax assessor-collector is hereby authorized to accept a partial payment of current taxes on a homestead or veteran's property if: (1) The taxpayer claims a partial homestead or veteran's exemption after the assessment roll has been approved; and (2) The tax assessor-collector has been furnished a proper claim document proving that the taxpayer is entitled to the exemption. After the partial payment has been made based on the proposed net taxable value of the property the tax assessor shall issue a tax receipt clearly marked: "partial payment receipt." It shall also contain the following notation: "This receipt represents a partial payment of taxes originally assessed for the year shown and the amount thereof is tendered by the taxpayer and accepted by the City of Houston and/or Houston Independent School District with the express understanding that it will not in any way impair the balance of the taxes due for the year nor the lien securing same." (b) In every event where the tax assessor-collector has been furnished the foregoing document providing the taxpayer's right to a partial tax exemption and as provided by the constitution and laws of this state, the tax assessor-collector shall correct the roll to show the correct net taxable value. As soon as practicable after the close of the tax year, the tax assessor-collector shall report in writing to the city council the total dollar amount of such corrections to the assessment roll. (c) In the event that the assessment roll has been corrected to show the correct taxable value, a copy of the portion of the roll showing the corrected amount and the "partial payment receipt" shall constitute a receipt in full for the tax for that year. (Code 1968, § 44-35.1; Ord. No. 79-1810, § 1, 10-23-79)

Houston Code of Ordinances § 44-16 Partial payment of delinquent taxes, penalty and interest.

Sec. 44-16. - Partial payment of delinquent taxes, penalty and interest. The tax assessor-collector of the city is hereby authorized to accept partial payment on delinquent taxes and the penalty and interest due thereon, subject to the conditions set out herein; provided, each partial payment shall be credited against the oldest delinquent tax year or years, and provided further, that each payment shall be divided into the part of the tax actually paid and the penalty and interest due on such part to the date of the partial payment. The tax assessor-collector shall issue a "partial payment receipt" to the taxpayer showing the actual amount paid broken down into tax, penalty and interest. Such partial payments shall be apportioned ratably to the city and school taxes due for the year or years to which they are applied and they shall be in amounts which will clear the delinquency within a reasonable time. (Code 1968, § 44-40.1; Ord. No. 69-966, § 1, 5-28-69)

Houston Code of Ordinances § 44-17 Assignment of tax judgments.

Sec. 44-17. - Assignment of tax judgments. Upon the payment of any person of all taxes, penalties, interest and costs due to the city in any judgment recovered by the city against delinquent taxpayers for city taxes to the tax assessor-collector, the mayor and city secretary are hereby authorized to transfer and assign such judgment to the person so paying; provided, such transfer shall not be made except by consent of the delinquent taxpayer. (Code 1968, § 44-48)

Houston Code of Ordinances § 44-18 Purchase of property sold to city for taxes.

Sec. 44-18. - Purchase of property sold to city for taxes. (a) Any person who desires to buy any property which has been sold to the city for city taxes at an execution sale, shall except as heretofore provided, first pay to the tax assessor-collector the entire amount of taxes, penalties, interest and costs that may be due on such property. (b) After such payment by such person the tax assessor-collector shall certify to the delinquent tax attorney that such payment has been made; and the city delinquent tax attorney, upon receipt of such certificate or statement, shall prepare a quitclaim deed to such property to the person making the payment, reciting in the deed as consideration the payment shown by the certificate of the tax assessor-collector and shall endorse on such deed his approval thereof. (c) The delinquent tax attorney shall transmit the quitclaim deed, together with the certificate of the city tax assessor-collector, to the city secretary, who shall retain possession of such certificate as a permanent record of the office of the city secretary, and it shall thereupon be the duty of the mayor and city secretary to execute such deed in behalf of the city. (Code 1968, § 44-52)

Houston Code of Ordinances § 44-19 Claims for refunds of ad valorem taxes.

Sec. 44-19. - Claims for refunds of ad valorem taxes. (a) If a taxpayer applies to the tax assessor-collector of the city for a refund of an overpayment or erroneous payment of city ad valorem taxes and the city treasurer determines that the payment was erroneous or excessive, the tax assessor-collector shall refund the amount of the excessive or erroneous payment from available current city tax collections or from funds appropriated by the city council for making refunds. (b) Each claim shall be in the form of an affidavit by the claimant describing in full the circumstances of the payment. Each claim shall be accompanied by a valid tax receipt or other acceptable proof of payment. (c) No refund shall be made to a taxpayer who is delinquent in the payment of any tax collected by the city tax assessor-collector or who otherwise owes any sum of money whatsoever to the city. (d) No refund of any tax shall be made under any circumstances unless and until the same has been approved in writing by the legal department. (e) If the amount of the refund exceeds $500.00, the tax assessor-collector shall not make the refund unless the city council also determines that the tax payment was erroneous or excessive and approves the refund. (f) A written application for a refund must be received by the tax assessor-collector within three years after the date of the payment or the refund shall not be allowed. (g) No warrant shall be issued in payment of any claim unless and until all the above requirements have been complied with. (Code 1968, § 44-52.1; Ord. No. 68-1162, §§ 1, 2, 7-17-68; Ord. No. 71-93, § 1, 1-13-71; Ord. No. 77-1068, § 1, 5-13-77; Ord. No. 80-144, § 1, 1-29-80)

Houston Code of Ordinances § 44-20 Paving assessment lien releases—Authority to execute.

Sec. 44-20. - Paving assessment lien releases—Authority to execute. (a) In any instance in which the record in the office of the city's tax assessor-collector reflects the fact that an assessment against a particular parcel of property in connection with any particular paving project has been paid in full, he is hereby authorized to execute in the name of the city and to acknowledge and deliver to any person requesting the same, a due and proper release reciting the fact of such payment and releasing the particular parcel of property involved from the assessment lien; and in any instance in which he is assured, either by the city controller, the city engineer, or the city attorney or a responsible assistant to him, that any paving assessment, the detailed record in connection with which is not being kept in his office, has been paid in full, he is also hereby authorized to execute, acknowledge and deliver such due and proper release. A request in writing to the tax assessor-collector, by the city controller, the city engineer, or the city attorney or any of his responsible assistants, shall constitute and have the effect of a certificate to him that the assessment in question has in fact been paid in full and that a release is in order. (b) In any instance in which it is made to appear to the finance director of the city or to the mayor that any paving assessment owned or held by the city has been paid in full, they and either of them are hereby also authorized to execute, acknowledge and deliver such a release, being also entitled to rely for their assurance that the assessment has been paid in full, upon a written request therefor by the city controller, the city engineer, the city attorney or a responsible assistant to him, or a responsible assistant to the tax assessor-collector. (c) In any instance in which the ordinance levying assessments with respect to a particular project indicates that no assessment was levied against a particular parcel of property included within the originally initiated limits of such project, the director of treasury is hereby authorized, upon approval by the city attorney or one of his assistants, to execute, acknowledge and deliver a due and proper release of the apparent lien against such property arising by virtue of the recording of the notice prescribed by article 1220a, Revised Civil Statutes of Texas. (d) In any instance in which it is made to appear to the satisfaction of the city attorney, by affidavits or otherwise, that a particular parcel of property included within the originally initiated limits of an assessment street-improvement project was, on the effective date, the exempt homestead of the owner or owners of such parcel, then the director of treasury is hereby authorized, upon approval by the city attorney or one of his assistants, to execute, acknowledge and deliver a due and proper release of the apparent lien against such property arising by virtue of the recording of the notice prescribed by article 1220a, Revised Civil Statutes of Texas. Any such release shall include a provision that the execution and delivery thereof shall not affect the personal liability of the true owners of the property with respect to the assessment. (e) A fee shall be imposed for each release of lien provided hereunder as specified in section 2-125 of this Code. (Code 1968, § 44-53; Ord. No. 74-831, §§ 1, 4, 5-21-74; Ord. No. 90-635, § 147, 5-23-90; Ord. No. 08-52, § 77, 1-16-08, eff. 1-26-08)

Houston Code of Ordinances § 44-21 Same—Attestation under city seal.

Sec. 44-21. - Same—Attestation under city seal. None of the releases authorized by section 44-20 of this Code shall require for their validity that they be attested by the city secretary or be under the seal of the city; provided, in any instance in which a particular person may desire and express a request that a release be furnished which is so attested under the city's seal, the city secretary is hereby authorized, upon there being presented to him duly signed by any of the foregoing authorized persons, a release releasing any such paving assessment, to attest the same under the city's seal. (Code 1968, § 44-54)

Houston Code of Ordinances § 44-22 Residence homestead exemption.

Sec. 44-22. - Residence homestead exemption. (a) An owner of a residence homestead is hereby granted an exemption of 30 percent of the market value of such residence homestead for the year 1987. (b) Any exemption granted hereunder shall be administered in a manner consistent with the applicable provisions of the state Property Tax Code. (Code 1968, § 44-55; Ord. No. 83-1945, § 1, 12-1-83; Ord. No. 84-1839, § 1, 11-27-84; Ord. No. 85-1828, § 1, 10-15-85; Ord. No. 86-605, § 1, 4-29-86; Ord. No. 87-598, § 1, 4-28-87)

Houston Code of Ordinances § 44-23 Reserved.

Houston Code of Ordinances § 44-24 Definition.

Sec. 44-24. - Definition. As used in this chapter, the term ad valorem property tax revenues means all revenues collected as a result of the taxation of real and personal property in the city, both current and delinquent. (Ord. No. 03-737, § 1, 8-6-03)

Houston Code of Ordinances § 44-25 Tax rate limitation.

Sec. 44-25. - Tax rate limitation. The city council shall not, except by ordinance approved by two-thirds of the full city council, levy ad valorem taxes at a rate expected to increase the city's ad valorem property tax revenues for the then current fiscal year in an amount greater than five percent more than the ad valorem property tax revenues collected during the immediately preceding fiscal year. (Ord. No. 03-737, § 1, 8-6-03)

Houston Code of Ordinances § 44-26 Verification.

Sec. 44-26. - Verification. Each year before the adoption of an ordinance levying ad valorem taxes in the city, the city controller must furnish written verification as to whether the ad valorem tax rate proposed is expected to produce ad valorem property tax revenue collections during the then current fiscal year of no more than five percent more than the ad valorem property tax revenues collected in the immediately preceding fiscal year. (Ord. No. 03-737, § 1, 8-6-03)

Houston Code of Ordinances § 44-27 Notice.

Sec. 44-27. - Notice. Before the passage of any ordinance required under section 44-25 of this Code, city council shall: (1) Have published in the major Houston newspaper an analysis of anticipated increased revenues in any form required by the Texas Tax Code, if applicable; and (2) Hold a public hearing thereon not earlier than seven days before the date of passage. The public hearing may be combined with a hearing required by the Texas Tax Code. (Ord. No. 03-737, § 1, 8-6-03; Ord. No. 2020-629, § 2, 7-15-2020)

Houston Code of Ordinances § 44-28 Effect of annexation.

Sec. 44-28. - Effect of annexation. Ad valorem property tax revenues collected from any properties annexed after calendar year 2002 will be excluded from the calculation described in section 44-25 of this Code for the fiscal year in which the property is annexed. (Ord. No. 03-737, § 1, 8-6-03)

Houston Code of Ordinances § 44-29 Tax relief for significant historic structures

Sec. 44-29. - Tax relief for significant historic structures (a) The city council may, by ordinance, grant tax relief in the form of an exemption from ad valorem taxation to any significant historic structure, that: (1) Is at least 50 years old; (2) If a residence, the structure: A. Was originally built and used for non-residential purposes and B. Now contains more than four residential units; (3) Has received a city protected landmark designation under article VII of chapter 33 of this Code; and (4) Has been designated as a Recorded Texas Historical Landmark, or is individually listed in the National Register of Historic Places, or has been mentioned as having historic significance in an authoritative survey conducted by a non-profit or government agency. (b) For purposes of this section, any property that meets the criteria in subsection (a) is a significant historic structure. Each significant historic structure must obtain a 75 percent approval of the members of the Houston Archeological and Historical Commission present at a regularly scheduled meeting. The Houston Archeological and Historical Commission shall review the applications for tax relief for significant historic structures on an annual basis to determine whether the eligibility standards of subsection (a) are met. Each owner desiring the tax exemption must make sworn application to the director of finance of the city. The application shall be in a form approved by the director of finance and shall set forth facts sufficient to show that the significant historic structure is eligible for tax relief as described in this section. (c) An exemption granted by city council upon recommendation of the Houston Archeological and Historical Commission shall exempt from ad valorem taxation the significant historic structure, improvements and land associated with this significant historic structure from ad valorem taxation. The exemption shall be computed on the following basis: 100 percent of the appraised value of the structure, improvements and the land necessary for access to and use of the significant historic structure per year may be exempt from ad valorem taxation. If the significant historic structure is owned by more than one owner, then the total tax reduction shall be pro-rated among the various multiple owners, in proportion to the appraised value of each owner's respective ownership interest in the structure to the total appraised value of all the owners' ownership interests in the structure. Under no circumstances may the exemption for any one structure result in a tax reduction of greater than $30,000.00 for any tax year. City council from time to time may, by ordinance, exempt properties from the maximum limit established above so long as the properties meet the criteria required for this exemption. The duration of the aforesaid exemption shall be for the duration of compliance with subsection (a) of this section. The exemption shall begin on January 1 of the year following the date that the exemption is granted by city council. The director of finance, in consultation with the planning official, shall establish and promulgate written procedures for the implementation of the exemption and the annual review of applications, and these officials shall jointly make a recommendation and submit the recommendation of the Houston Archeological and Historical Commission to the city council regarding each application that is duly submitted for consideration. (e) The director of finance shall conduct an annual review of each property granted an exemption as a significant historic structure, and, if he finds that: (1) Any city taxes assessed on the subject property are delinquent; (2) The owner or, in the case of multiple owners, any of the multiple owners is delinquent on city taxes on any other property; (3) The significant historic structure has deteriorated, has been relocated, demolished or destroyed; or (4) The site no longer meets the requirements of section (a) of this ordinance; then the changed condition shall constitute grounds for revocation of the exemption. The director of finance shall give a 90-day notice to the owner of a significant historic structure prior to any revocation of the exemption granted pursuant to this section. The purpose of such notice shall be to allow the owner an opportunity to correct the changed condition. (f) Tax certificates issued for any significant historic structure receiving tax relief pursuant to this section shall be clearly marked: Significant Historic Structure—Subject to recapture of taxes under Code of Ordinances.( Each year during which the property is granted tax relief, the director of finance shall note on his or her records the valuation that would have been made and the taxes that would have been due had the significant historic structure not qualified for tax relief under this section. If the property has a changed condition described under subsection (e) of this section or no longer meets the requirements of subsection (a) of this section, then the property shall be subject to a recapture of taxes and subject to penalties and interest calculated under pertinent provisions of the Texas Tax Code. The additional tax shall be equal to the amount of the tax payable for the preceding fifteen years had the property not been granted tax relief. Such additional taxes shall be deposited in a segregated account, the use of which shall be established by city council by a subsequent ordinance. Until paid, there shall be a lien for additional taxes, penalty, and interest on the property granted tax relief under the provisions of this section. An obligation to pay recaptured taxes is extinguished by operation of force majeure. Force Majeure means: fires, floods, hurricanes, tornadoes, ice storms and other natural disasters, explosions, war, terrorist acts, riots, and the acts of superior governmental or military authority, and which the affected party is unable to prevent by the exercise of reasonable diligence. The term does not include any changes in general economic conditions such as inflation, interest rates, economic downturn or other factors of general application, bankruptcy or an event that merely makes performance more difficult, expensive or impractical. (g) This exemption is not available to any qualifying significant historic structure that has been acquired or improved in whole or in part by a city funded economic development grant or loan, tax increment reinvestment zone financing or funding, tax abatement agreement, or acquired or improved as the subrecipient of a federally funded economic development grant or loan agreement. (h) The owner of a historic site that receives an exemption under section 44-5 of this code may apply for and receive an exemption as a significant historic structure if it meets the requirements under this section. (Ord. No. 07-658, § 3, 6-6-07; Ord. No. 08-52, § 78, 1-16-08, eff. 1-26-08)

Houston Code of Ordinances § 44-30 Tax exemption for child-care facilities.

Sec. 44-30. - Tax exemption for child-care facilities. There is hereby exempted from all ad valorem taxes hereafter levied by the city a portion of the appraised value of qualifying child-care facilities, as defined under Chapter 11 of the Texas Tax Code, as periodically amended. Effective January 1, 2024, the amount of the aforesaid exemption shall be equal to 100 percent of the appraised value of qualifying child-care facilities for the tax year 2024 and for each year thereafter." (Ord. No. 2024-146, § 2, 3-20-2024)

Source: City of Houston, Code of Ordinances and City Charter (Municode Library, library.municode.com)URL: https://library.municode.com/tx/houston/codes/code_of_ordinances?nodeId=COOR_CH44TA_ARTIINGEFetched: 10/26/2026