- TEXAS has NO state income tax.
- TEXAS has NO local income tax.
- TEXAS has NO tax on food purchased for
home consumption. (ie: food bought in a grocery store or market.)
- TEXAS has a homestead exemption act
for home owners. It is there for you to take advantage of. (More
info regarding this later.)
TEXAS does have:
- Property Tax - rate varies according
to city and area
- Sales Tax - 6-8.25%- varies according to
city.
Other STATE Taxes:
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Texas Homestead
Exemption
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A homestead exemption reduces taxes by
lowering a home's taxable value. All school districts offer a $5000
homestead exemption, and some taxing units offer a percentage exemption
of up to 20% of a home's assessed value. Homeowners can lower their
property taxes by applying for these exemptions for which they are
eligible. You must OWN your own home and occupy it as your principle
residence on January 1. You can have only ONE principle residence and
ONE homestead exemption.
Homeowners who are 65 yrs or older on
January 1 are also entitled to an over 65 homestead exemption of $10,000
for school tax purposes. Once you receive an over 65 homestead
exemption, you automatically qualify for a tax ceiling on your school
taxes. If you don't add any improvements, your school taxes will never
increase from the amount you owed when you first qualified, even if the
assessed value of the home increases.
When a homeowner who has been receiving
the school tax ceiling dies, the ceiling amount will transfer to the
surviving spouse if the survivor is 65yrs or older. The surviving spouse
must apply to the appraisal district for the tax ceiling, it will NOT
transfer automatically.
A homeowner who meets the definition of a
totally disabled person under state law on January 1, ordinarily
qualifies for a disability homestead exemption. (You may NOT claim BOTH
over 65 and disabled person exemptions.)
A special form is needed to apply for
homestead exemptions. The form must be completed and returned to the
appropriate appraisal office not before January 1 but no later than
April 30.
Once you receive a homestead exemption,
you will not need to apply again unless the appraisal office asks you to
do so in writing. If you move to a new home, you will need to file a new
application. If you pass your 65th birthday before January 1, you will
also need to file a new application.
Complete
our brief questionnaire,
and we will send you our Houston relocation package, or any
other information about Houston that you are seeking.
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