Dan Patrick on eliminating property taxes: ‘I don’t think that’s realistic.’
Texas Lt. Gov. Dan Patrick on Tuesday laid out his plan for homeowners’ property tax relief, shooting down prospects of eliminating all property taxes.
Patrick, an influential figure in Texas politics as the president of the Texas Senate, offered three main ways he’d like to see property tax cuts addressed in the 2027 legislative session. The plan builds on his push in recent years to increase the state’s homestead exemption, which is deducted from a home’s value for the purpose of calculating property taxes.
During a Tuesday news conference at the Texas Capitol, he proposed:
- Extending Texas’ homestead exemption for seniors and disabled Texans to those 55 and older, a plan he’s nicknamed “Operation Double Nickel.” Currently, the exemption, which is on top of the homestead exception for all homeowners, begins at 65.
- Increasing the homestead exemption for all homeowners by $40,000. That means the exemption would be $180,000 for those under 55 and $240,000 for seniors.
- Legislation that emphasizes lowering property tax bills for other local governments, like cities and counties.
Eliminating all property taxes means increasing sales tax to 25 cents to 26 cents, Patrick said.
“I don’t think the people of Texas are going to want to spend 25 cents on everything they buy,” Patrick said, later adding “I don’t think that’s realistic.”
As for eliminating school district property taxes only, Patrick said that’s achievable over the course of the coming years.
“I believe in the next few sessions, we’re going to be able to eliminate school property taxes with homestead exemptions,” Patrick said.
Eliminating all school district property taxes, which are generally the largest portion of a person’s total property tax bill and a key funder of public schools, would mean increasing sales tax by 14 cents to 15 cents on “everything you buy,” Patrick said, later adding that he doesn’t think the sales tax increase “would ever pass.”
The sales tax increase would be necessary to fund the nearly $40 billion required to eliminate school property taxes, Patrick said.
Increasing extending the homestead exemption for seniors to those who are 55 and older — or perhaps Texans who are even younger than that — would mean an extra decade of savings, Patrick said.
“That’s the way we get this done,” he said. “We focus on local control of their taxes. We continue to increase the homestead exemption, and in a few sessions we can get rid of school taxes. We can get it done, depending on the numbers we have to work with each year.”
Patrick’s comments come as Texas Gov. Greg Abbott campaigns on tax reforms and local government spending limits as he seeks reelection. Among his campaign priorities, Abbott has said voters should weigh in on eliminating school district property taxes through a constitutional amendment election.
He’s suggested using Texas’ budget surplus to lower the homestead exemption to the point where homeowners are paying nothing on their school property tax bill. This could be done without any tax increases, Abbott said.
Patrick said he’s not throwing “cold water” on eliminating taxes.
“I’m just telling you what it costs,” Patrick said. Later adding, “Yes, we can eliminate all property taxes, but then how do you pay for anything? How do you build anything? What happens to the Texas miracle when we shut everything down? So we can. I’m just saying the way to do it is through homestead exemptions and lowering that threshold, which locks in their values forever.”
Patrick said he, Abbott and House Speaker Dustin Burrows, a Lubbock Republican, are all prioritizing property tax cuts.
“Anyone who wants to cut property taxes, I’m all in,” Patrick said. “Just tell me how we pay for everything.”
Andrew Mahaleris, a spokesperson for Abbott, said “Texans demand lasting property tax relief,” in a Tuesday statement.
“Governor Abbott looks forward to working with the Lieutenant Governor, the Speaker, and all lawmakers on thoughtful policy that gives taxpayers more control over their property taxes, reins in local government spending, slashes appraisal increases, and eliminates the school district property tax for homeowners,” Mahaleris said. “Governor Abbott will fight for taxpayers and his comprehensive plan throughout 2026, and he looks forward to working with lawmakers to deliver lasting property tax cuts.”
Patrick weighed in on parts of Abbott’s tax plan during the Tuesday news conference. The Star-Telegram, began to ask more about his thoughts on it, when Patrick cut in.
“I’m not here to talk about his plan,” Patrick said, later adding that they’ll work together to reduce property taxes.
This story was originally published December 9, 2025 at 3:46 PM.