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Texas · Tax Code §§31.02, 31.03, 32.01, 33.01Texas property taxes at closing: February 1, the penalties and the January 1 lien

Texas property taxes are due on receipt of the tax bill and are delinquent if not paid before February 1 of the year after they are imposed (Tex. Tax Code §31.02(a)). A taxing unit that collects its own taxes may adopt a split-payment option: pay half before December 1 and the rest before July 1 without penalty or interest (§31.03(a)). On January 1 of each year a tax lien attaches to the property to secure all taxes, penalties and interest ultimately imposed for that year (§32.01(a)). A delinquent tax incurs a penalty of 6% for the first calendar month plus 1% for each additional month before July 1, reaching 12% on July 1, and accrues interest of 1% a month or portion of a month (§33.01(a), (c)).

The rules

  1. 1. Delinquency (§31.02)

    Due on receipt; delinquent if not paid before February 1.

  2. 2. Split payment (§31.03)

    Where adopted: half before December 1, half before July 1.

  3. 3. Lien (§32.01)

    Attaches January 1 for that year's taxes, penalties and interest.

  4. 4. Penalty and interest (§33.01)

    6% + 1% a month, 12% on July 1; interest 1% a month.

What the TC can do

  • Ask the title company for tax certificates showing paid and unpaid years.
  • For a closing before February 1, confirm on the settlement statement who pays the current bill.
  • Tell the buyer the bill for the year of purchase comes in the fall and whether their lender escrows taxes.

Questions about Texas property taxes

When are Texas property taxes delinquent?

If not paid before February 1 of the year after they are imposed (Tex. Tax Code §31.02(a)).

When does the Texas property tax lien attach?

On January 1 of each year, securing all taxes, penalties and interest ultimately imposed for that year (Tex. Tax Code §32.01(a)).

Related guides

Add the February 1 tax date as a dated task on the deal in ClosingCode.

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Source: Texas Tax Code §§31.02, 31.03, 32.01 and 33.01 (statutes.capitol.texas.gov, read October 29, 2026).

General information, not legal advice. ClosingCode is software; it is not a law firm or brokerage. This guide is not a substitute for the advice or services of an attorney.