Overview of Proposed Florida Property Tax Changes
Florida lawmakers have advanced a major property tax reform initiative that would materially expand the homestead exemption for primary residences. The proposal, titled the “Save Our Homes from Excessive Property Taxes” initiative and commonly referred to as Amendment 3 for the 2026 ballot, would phase in larger non-school property tax exemptions over the next two years if approved by voters. The key elements are outlined below.
Primary Homestead Exemption Increases
- 2027 phase-in: Homestead exemption for non-school property taxes increases to $150,000
- 2028 phase-in: Further increase to $250,000
- These increases apply to the homestead exemption component; the standard school tax exemption is treated separately under Florida law, and the exact interaction will depend on the final constitutional language.
Constitutional Amendment Status
The proposal is structured as a constitutional amendment requiring voter approval, which underscores the scope of the change. It will appear on the 2026 ballot for Floridians to vote on directly.
Legislative Action
- The Florida Senate has passed House Joint Resolution (HJR) 201 and companion resolutions (HJR 203, 205, 207, 209, 211, 213) as part of the broader reform package.
- Governor Ron DeSantis called a special session focused on this property tax relief initiative.
- The Legislature characterized this as a “historic step towards eliminating property taxes for Florida homeowners.”
Residency Requirement
Homestead eligibility carries a residency deadline. In general, homeowners must establish Florida homestead status by December 31 of the tax year for the exemption to apply. This deadline is an important planning consideration for anyone purchasing a home, changing a primary residence, or relocating into Florida.
Key Impact Categories
- The changes primarily benefit primary homeowners holding homestead exemptions.
- Non-homestead property (investment real estate, commercial) would not receive these increases.
- School district funding implications are being considered separately.
Timing & Next Steps
- The amendment must be approved by Florida voters in 2026.
- If passed, the phased increases take effect in 2027 and 2028.
- Implementation details (municipal revenue replacement, school funding adjustments) remain under legislative discussion.
Note: Property tax reform in Florida is evolving rapidly. As specific legislation and constitutional language are finalized, details about grandfathering, valuation caps (portability of Save Our Homes assessment limits), and implementation mechanisms may change. For clients or personal planning purposes, confirm current status with a Florida tax professional or the Florida Department of Revenue before relying on specific phasing provisions.
If you have questions about how these proposed changes may affect your Florida property taxes or your broader tax planning, please contact your SAX tax advisor.
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