Millions of Texans Can Save on Property Taxes. Are You One of Them?

Since Texas is one of nine states that does not tax income, it’s important for all Texans to pay special attention to property taxes, since that’s the primary way your dollars for the public good are collected.

AARP Foundation has done lots of work to help those 65 and older understand the property tax exemptions in their state, and to help save them money. The Foundation has provided this information free and readily available online here or by entering this address in your internet browser: https://ptaconsumers.aarpfoundation.org/

After clicking on the state of Texas in the U.S. map, the online guide takes you through five possible exemptions, eligibility requirements, deadlines and more.

Just follow the links, which will help you through the process. Some clicks take you to the Texas Comptroller site, which lists all of the taxing entities in your county, typically including your county, city and school district, but also may include taxing districts for water, utilities, emergency response and more.

The most common of the five possible exemptions for those 65 and older is the residence homestead exemption. This gives Texans of that age a $10,000 exemption for school district taxes, in addition to the $100,000 exemption for all homeowners.

Other exemptions allow deferred taxes and a tax ceiling for those 65 and older. It will serve you well to check them all out to see if you are eligible.

It’s important to know, however, that a new law, coming from the latest Texas legislative session that ended June 2, increases the 65-and-older school district homestead exemption from $10,000 to $60,000.

Another law gives a tax break to Texas homeowners of any age, increasing the basic school district homestead exemption from $100,000 to $140,000.

So that means that under the proposed laws, the full school district homestead exemption for those 65 and older will be $200,000 (adding the $140,000 and $60,000 exemptions).

Before these two laws can take effect, however, Texans must approve them in the Nov. 4 election. Since they are constitutional amendments, they require a public vote.

Supporters of the two laws have said that the new homestead exemptions are good news for all Texans, especially those 65 and older, as taxpayers will save hundreds of dollars on their property taxes each year. They point to the wording in the resolutions that requires the state to pay school districts for any loss of funds incurred due to their lower property tax income.

Critics of the new laws have said that the exemptions, in the end, will hurt school districts and will place the tax burden unfairly on younger, working Texans. Some skeptics are worried that the exact formulas and funding mechanisms for the state to give the school districts the money they lose from less property tax income have not yet been thoroughly vetted.

The two proposed constitutional amendments will be among 17 on the ballot this November. Texas Secretary of State Jane Nelson has formally announced the lineup of proposed amendments.

Proposition 11 (Senate Joint Resolution 85) is the increased tax exemption for those 65 and older.

Proposition 13 (Senate Joint Resolution 2) is the increased tax exemption for all Texas homeowners.

For more information on all 17 propositions, go to the Texas Secretary of State's Office here or by entering this address in your browser: https://www.sos.texas.goTexas Secretary of State's Office herev/about/newsreleases/2025/062525.shtml

Annette Fuller prepared this article. She is a member of the AARP Texas Executive Council. Read more about Annette Fuller here.