TALLAHASSEE, Fla. – Count on an financial impression examine as a primary step as discussions ramp up about the way forward for property taxes in Florida.
Gov. Ron DeSantis in latest weeks has known as for reducing property taxes, whereas additionally criticizing spending by native governments. In the meantime, lawmakers have proposed a sequence of measures that will ask voters in 2026 to increase the homestead property-tax exemption.
However lawmakers and DeSantis this week have indicated {that a} remaining proposal may not emerge this 12 months. They may approve a proposal through the 2026 legislative session in time to place it on the November 2026 poll.
Senate Finance and Tax Chairman Bryan Avila, R-Miami Springs, pointed to a have to get “suggestions” from native governments and mentioned the legislative proposals filed this 12 months are being evaluated by workers members and state economists.
“We’re actually taking our time to ensure that we get it proper,” Avila mentioned Wednesday after his committee acquired an outline from workers members about property taxes.
Sen. Kathleen Passidomo, a Naples Republican who serves on the committee, mentioned she is “fairly uncomfortable with a few of these broad, sweeping statements about eliminating property taxes” being made within the Capitol.
“I feel we must always warning our members as to the outcomes,” Passidomo mentioned on the necessity to examine the potential impacts. “The earlier we do this, the higher for our members, so that they don’t go down a rabbit gap.”
Native governments rely closely on property taxes to pay for providers and are carefully watching the controversy. In its legislative platform this 12 months, for instance, the Florida League of Cities mentioned it helps levying property taxes “to offer important providers reminiscent of infrastructure, police, fireplace and emergency providers.”
“Additional modifications or exemptions to the property tax system and tangible private property taxes would create inequities and unfairly shift the tax burden onto households, owners, renters, companies and our most weak inhabitants,” the platform, posted on the group’s web site, mentioned.
Azhar Khan, workers director of the Senate Finance and Tax Committee, on Wednesday estimated native income totals from property taxes at about $30 billion for non-school taxes and $20 billion for varsity taxes.
Committee member Sen. Don Gaetz, a Niceville Republican and, like Passidomo, a former Senate president, mentioned it will be good to know what it will take to deal with the income losses created by the homestead-exemption proposals.
Gaetz mentioned “have been we to eradicate property taxes, the place do you get the $50 billion? One suggestion that was made various years in the past was we must always simply improve the gross sales tax.”
DeSantis mentioned Tuesday that whereas he needs a “daring” proposal, it’s going to take a few 12 months for what he’s calling a “state DOGE process pressure” to assessment native authorities spending.
“After which I feel we’re going to be at a fantastic spot to say, ‘OK, what can we get on the poll? What can get previous the Legislature to get on the poll? After which, what can we marshal 60 % of the voters?’” DeSantis mentioned, referring to a 60 % threshold for passing constitutional amendments.
Sen. Jonathan Martin, R-Fort Myers, has proposed a invoice (SB 852) that requires the Legislature’s Workplace of Financial and Demographic Analysis to check the potential impression of eliminating property taxes on things like schooling, infrastructure and emergency providers.
The invoice, if handed, would require the examine to be accomplished by Oct. 1. It additionally would direct the workplace to take a look at how property taxes may very well be changed, together with “an analysis of whether or not a shift to consumption-based taxes would make Florida extra engaging to companies in comparison with different states.”
Householders can qualify for a homestead tax exemption from native authorities and faculty district taxes on the primary $25,000 of the appraised values of their major properties and from native authorities taxes on the worth between $50,000 and $75,000.
Among the many measures filed this 12 months is a proposal (SJR 1016) by Sen. Blaise Ingoglia, R-Spring Hill, that will ask voters to lift the homestead exemption to $75,000 on all levies. One other proposal (HJR 357), filed by Rep. Ryan Chamberlin, R-Belleview, seeks to create a $100,000 exemption on all properties.
