Texas HB 1088: Appraisal Districts Couldn't Counterclaim in Property Tax Appeals (2027)

Last updated: Nov. 13, 2026

Texas House Bill 1088, filed Nov. 12, 2026, would bar appraisal districts from counterclaiming when you appeal your property value in court, stop arbitrators from raising your value above the district's own record, and pause collections after the chief appraiser notifies the collector of a qualifying correction motion. If passed, it starts Jan. 1, 2028. It doesn't change the 2027 protest season.

What is Texas HB 1088?

Rep. Mitch Little filed HB 1088, "relating to ad valorem tax remedies," for the 90th Legislature. The introduced text amends the Tax Code chapters that cover notices, Appraisal Review Board (ARB) orders, binding arbitration and district court appeals. Unlike many 2027 property tax bills, it doesn't need a constitutional amendment.

Can an appraisal district counterclaim in a property tax appeal?

Today, after an ARB hearing, an owner can appeal to district court under Tax Code Chapter 42. Current law doesn't expressly stop the appraisal district from responding with its own claim for a higher value. HB 1088 would add Section 42.23(a-1) and (a-2):

• The chief appraiser, appraisal district or ARB couldn't bring a counterclaim.
• The appraisal district couldn't seek affirmative relief, such as asking the court for a higher value.

Could my value go up in arbitration or court?

HB 1088 would add two ceilings tied to the appraisal records the chief appraiser submitted to the ARB:

• Binding arbitration: Under proposed Section 41A.09(f) in the introduced bill, the arbitrator couldn't set a value above that record unless the owner asks for and agrees to it.
• Unequal appraisal appeals: Under a new Section 42.26(e), a district court couldn't set a value above that record.

What else would HB 1088 change?

• More detailed notices. Notices of appraised value would list the market value of each structure and improvement, plus the account number.
• Collections pause during corrections. A motion to correct the roll under Section 25.25(c) would require the chief appraiser to notify the relevant collector; that notice would pause collections on the account until the board rules. Delinquent-tax lawsuit costs that accrue after the collector gets notice couldn't be charged to the owner if the owner wins the motion.
• Trial timing. Courts couldn't set trial less than 12 months after an appeal is filed unless the plaintiff (usually the owner) asks, and each party would get one continuance on request, pushing trial at least six months.
• Who can appeal. A former owner could appeal for a year they owned the property, and a tenant who reimburses taxes could appeal an order on a protest the owner brought.
• Standard ARB order form. The Comptroller would prescribe the form ARBs use for written orders.

Little also filed HB 1087, "relating to the valuation and protest of personal property." If an owner proves the historical cost when new of business personal property, the chief appraiser and owner would have to enter an agreed ARB order at a value no higher than that cost (introduced text).

When would HB 1088 take effect?

The Legislature convenes Jan. 12, 2027. If HB 1088 passes, it takes effect Jan. 1, 2028 and applies to tax years beginning on or after that date. As of Nov. 13, 2026, its only action is "Filed," per Texas Legislature Online.

What should Texas property owners do for 2027?

• Read your notice of appraised value when it arrives in spring and compare it to recent sales and similar homes.
• Protest on time. The 2027 deadline is generally Monday, May 17, 2027 (May 15 falls on a Saturday), or 30 days after your notice is delivered, whichever is later (Tax Code §41.44 and §1.06).
• Pay your 2026 bill. 2026 Texas property taxes are generally due by Monday, Feb. 1, 2027, because Jan. 31 falls on a Sunday (Tax Code §31.02 and §1.06). A pending protest or appeal doesn't pause that deadline under current law.
• Know your options after the ARB. Our guides on how to protest property taxes in Texas and Texas property tax arbitration cover each step, and the Dallas County property tax protest guide shows how it works locally.

Owners can file a protest themselves or authorize an agent; here's how a Texas property tax consultant fits into the ARB process.

Which step would the proposal affect?

• Local appraisal protest: you challenge value or exemptions before the ARB. That is separate from a court case.
• Binding arbitration: the proposed ceiling is tied to the chief appraiser’s submitted records, with an owner-requested exception.
• District court appeal: the counterclaim ban and the unequal-appraisal value ceiling are separate proposed provisions.

TaxDrop’s take: keep the appeal routes separate

The useful question is which decision you are challenging and which deadline applies. A local protest, arbitration request and lawsuit have different requirements. A proposed counterclaim ban is not a reason to ignore current payment or filing rules. Before taking a case beyond the review board, compare the likely benefit with deposits, professional fees and the strength of your evidence.

Frequently asked questions

What is Texas HB 1088?

HB 1088 is a bill filed Nov. 12, 2026 by Rep. Mitch Little for the 2027 session. It changes property tax protest and appeal rules, including barring appraisal districts from counterclaiming in court appeals and capping arbitration and unequal-appraisal court values at the district's own appraisal record.

Can an appraisal district raise my value if I appeal?

Current law doesn't expressly bar a district from seeking a higher value in a district court appeal. HB 1088 would bar the chief appraiser, appraisal district and ARB from counterclaiming or seeking affirmative relief, and would stop arbitrators and courts in unequal-appraisal appeals from setting a value above the district's own records. The owner-requested exception is in the arbitration provision; the unequal-appraisal court provision has its own wording.

Would HB 1088 change my 2027 protest?

No. If passed, HB 1088 would take effect Jan. 1, 2028 and apply to tax years starting on or after that date. Your 2027 protest follows current law.

What would change on my notice of appraised value?

The notice would list the market value of land, each structure and improvement, and the total for improvements, plus your appraisal district account number.

Does HB 1088 lower my tax rate?

No. It changes the protest and appeal process, not the rates set by your school district, city or county.

When is the 2027 Texas property tax protest deadline?

Generally Monday, May 17, 2027 (May 15 is a Saturday), or 30 days after your notice of appraised value is delivered, whichever is later (Tax Code §41.44 and §1.06).

Sources: HB 1088 bill history (Texas Legislature Online); HB 1088 introduced text; HB 1087 bill history; Texas Tax Code Chapter 42; Texas Tax Code Chapter 41A; Texas Tax Code Section 25.25.