Relating to a one-time credit against the ad valorem taxes imposed by a taxing unit on the first property that a person purchases and qualifies as the person's residence homestead and to the effect of the credit on the determination of the taxable value of a school district.

HB 2133 creates a one-time property tax credit for first-time homebuyers in Texas who establish their primary residence on a property. The credit equals the lesser of $3,000 multiplied by the portion of taxes paid to a specific taxing unit (like a city or county) or half the taxes owed to that unit. To qualify, applicants must file an application with their local chief appraiser by the deadline for homestead exemptions, affirming they’ve never previously claimed this credit. The bill also adjusts school district taxable value calculations to exclude the credit amount when determining school funding, ensuring the credit doesn’t reduce overall tax revenue for school districts. The bill is currently pending in committee and not yet law.