Tex.
Tax Code Section 31.12
Payment of Tax Refunds; Interest
(a)
If a refund of a tax provided by Section 11.431 (Late Application for Homestead Exemption)(b), 26.07 (Automatic Election to Approve Tax Rate of Taxing Unit Other than School District)(g), 26.075 (Petition Election to Reduce Tax Rate of Taxing Unit Other than School District)(k), 26.15 (Correction of Tax Roll)(f), 31.11 (Refunds of Overpayments or Erroneous Payments), 31.111 (Refunds of Duplicate Payments), or 31.112 (Refunds of Payments Made to Multiple Like Taxing Units) is paid on or before the 60th day after the date the liability for the refund arises, no interest is due on the amount refunded. If not paid on or before that 60th day, the amount of the tax to be refunded accrues interest at a rate of one percent for each month or part of a month that the refund is unpaid, beginning with the date on which the liability for the refund arises.(b)
For purposes of this section, liability for a refund arises:(1)
if the refund is required by Section 11.431 (Late Application for Homestead Exemption)(b), on the date the chief appraiser notifies the collector for the taxing unit of the approval of the late homestead exemption;(2)
if the refund is required by Section 26.07 (Automatic Election to Approve Tax Rate of Taxing Unit Other than School District)(g) or 26.075 (Petition Election to Reduce Tax Rate of Taxing Unit Other than School District)(k), on the date the results of the election to approve or reduce the tax rate, as applicable, are certified;(3)
if the refund is required by Section 26.15 (Correction of Tax Roll)(f):(A)
for a correction to the tax roll made under Section 26.15 (Correction of Tax Roll)(b), on the date the change in the tax roll is certified to the assessor for the taxing unit under Section 25.25 (Correction of Appraisal Roll); or(B)
for a correction to the tax roll made under Section 26.15 (Correction of Tax Roll)(c), on the date the change in the tax roll is ordered by the governing body of the taxing unit;(4)
if the refund is required by Section 31.11 (Refunds of Overpayments or Erroneous Payments), on the date the auditor for the taxing unit determines that the payment was erroneous or excessive or, if the amount of the refund exceeds the applicable amount specified by Section 31.11 (Refunds of Overpayments or Erroneous Payments)(a), on the date the governing body of the taxing unit approves the refund;(5)
if the refund is required by Section 31.111 (Refunds of Duplicate Payments), on the date the collector for the taxing unit determines that the payment was erroneous; or(6)
if the refund is required by Section 31.112 (Refunds of Payments Made to Multiple Like Taxing Units), on the date required by Section 31.112 (Refunds of Payments Made to Multiple Like Taxing Units)(d) or (e), as applicable.(c)
This section does not apply to a refund in an amount less than $5.
Source:
Section 31.12 — Payment of Tax Refunds; Interest, https://statutes.capitol.texas.gov/Docs/TX/htm/TX.31.htm#31.12 (accessed Jun. 5, 2024).
