Ten year period may begin after the agreement is reached

Texas Attorney General Greg Abbott addressed the issue of when the ten years allowed for tax abatements must begin.  The issue was whether the abatement period must begin immediately once the agreement is made or can wait until the project is finished to start the clock.    

S U M M A R Y

The maximum ten-year tax abatement period authorized under Tax Code section 312.204(a) may commence in a year subsequent to the year in which an agreement providing for the tax abatement is entered into by the taxing unit and the owner of the property subject to the agreement.

The full text of opinion GA-0734 is available here.