What is a Chapter 313 agreement in Texas?

Tax Code Chapter 313 — Value Limitation and Tax Credits An appraised value limitation is an agreement in which a taxpayer agrees to build or install property and create jobs in exchange for: a 10-year limitation on the taxable property value for school district maintenance and operations tax (M&O) purposes.

What are Chapter 313 agreements?

Today, Chapter 313 agreements account for almost a billion dollars in tax breaks for some of the largest companies in Texas. In exchange for the tax incentive, those corporations pay fees directly to local school districts to make up for their share of the lost property tax revenue.

What is Texas property tax rate?

1.80%
How Much Are Taxes In Texas? Property taxes in Texas are calculated based on the county you live in. The average property tax rate in Texas is 1.80%. This is currently the seventh-highest rate in the United States.

What is Texas income tax?

Texas has no state income tax, which means your salary is only subject to federal income taxes if you live and work in Texas. There are no cities in Texas that impose a local income tax.

What is Tax Code Chapter 313 in Texas?

Tax Code Chapter 313 — Value Limitation and Tax Credits. Texas Economic Development Act. An appraised value limitation is an agreement in which a taxpayer agrees to build or install property and create jobs in exchange for:

When to post Chapter 313 value limitation documents?

The 2009 Legislature’s HB 3676 requires the Comptroller’s office to post certain documents related to Tax Code Chapter 313 value-limitation applications and agreements on its website within 15 days of their creation or receipt.

Where does Chapter 313 tax abatement take place?

In 2017, University of Texas political science professor Nathan M. Jensen released a study on the Chapter 313 program suggesting that 85 percent of the companies receiving the abatement would have located in Texas for other reasons.

What is an appraised value limitation in Texas?

An appraised value limitation is an agreement in which a taxpayer agrees to build or install property and create jobs in exchange for: a 10-year limitation on the taxable property value for school district maintenance and operations tax (M&O) purposes.