TX HB4240

Adds a new category (27) to the list of qualifying charitable functions under the Tax Code for organizations that provide financial support for medical care at institutions of higher education described by Section 63.101, Education Code

Grants these qualifying charitable organizations an exemption from ad valorem (property) taxation on their buildings, tangible personal property, and certain real property including incomplete improvements under construction

Allows these organizations to also claim exemptions for mineral interests (including royalty interests) that are either not severed from the surface estate or were donated by the previous owner

Applies only to ad valorem tax years beginning on or after the effective date

Takes effect January 1, 2026