The Texas Comptroller of Public Accounts offers a refund of state franchise and sales and use taxes paid by companies that own certain abated property. A company who meets the following three conditions may apply for a refund:

• Paid property taxes to a school district on property that is located in a reinvestment zone established under Chapter 312

• Is exempt in whole or in part from property taxes imposed by a city or a county under a tax abatement agreement established under Chapter 312

• Is not in a tax abatement agreement with a school district

The refund is equal to the amount of property taxes that would have been paid had the company entered into a school district abatement agreement with terms identical to the city or county abatement agreement, not to exceed the net state sales and use taxes and state franchise taxes paid or collected and remitted during that calendar year. The refund amount may also be limited by a statewide appropriation per year for this refund program.