It’s no secret that Florida property tax payments are on the rise, however that may change within the new yr.
Gov. Ron DeSantis has repeatedly known as for a “concrete proposal” on the state’s 2026 poll to cut back or remove property taxes. In any case, voters should approve any main adjustments to the Florida property tax system with a 60% “sure” vote.
Nevertheless, some native officers argue that eliminating the property tax in Florida is problematic, significantly since jurisdictions rely closely on property taxes to fund college, well being, and different public service packages.
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Right here’s extra of what it’s essential learn about the place issues stand with Florida property taxes.
Property tax reduction proposals in Florida
As Kiplinger reported, DeSantis first proposed eliminating Florida property taxes in February of this yr. Regardless that the proposal is dealing with authorized hurdles and disagreements, a requirement for some type of property tax reduction has gained sufficient public curiosity to justify the formation of a legislative committee.
Thus, the Florida Home Choose Committee on Property Taxes has been tasked with reviewing property tax reduction proposals for the upcoming yr.
Among the many thought-about proposals for Florida property tax reduction are:
- Eliminating the state’s property taxes. That is maybe probably the most extremely debated proposal, as a big various funding supply must be discovered (extra on that under).
- Broadening the “portability” provision for an current tax break. Though owners can already switch their Save Our Houses (SOH) tax financial savings from a former homestead to a brand new one once they transfer, a possible proposal would enhance the allowable switch quantity.
Earlier this yr, state lawmakers proposed payments that will increase the not too long ago elevated Florida homestead exemption from $50,000 to $75,000 (and one invoice proposed elevating it to $100,000). One other concept from DeSantis was to supply Florida residents a $1,000 property tax rebate. But all three proposals did not cross.
Florida property taxes: Essential or a ‘waste’?
The property tax reform committee has heard objections from some Florida metropolis and county officers towards proposed property tax breaks.
Throughout a listening to in September, Casey Cook dinner, chief of legislative affairs on the Florida League of Cities, said, “Waste is within the eye of the beholder. No one likes paying taxes, however protected is not free. Clear is not free.”
Cook dinner’s comment was in response to DeSantis and different high state officers, who’ve levied allegations of “waste, fraud, and abuse” towards Florida localities in current months. DeSantis claims native spending waste is contributing to hovering property taxes within the Sunshine State.
Many native officers, nevertheless, observe that elevated property tax payments are a results of inflation and better property values, moderately than elevated tax charges.
Different locals are reportedly involved a few ‘one measurement matches all’ mentality relating to state property tax reduction.
Cragin Mosteller of the Florida Affiliation of Counties shared with ABC7 Information that counties are keen to work with lawmakers on property tax reduction, however that reform ought to contemplate the distinctive wants of every group.
Mosteller added, “If you concentrate on the issues, whether or not that’s public security, fireplace service, libraries…all of these issues are paid for together with your property taxes.”
Florida property tax lower funding
Florida collects roughly $43 billion yearly in property tax income. This funding covers important taxpayer providers, like public security, faculties, infrastructure, and parks.
So, to make a large-scale property tax lower work, another funding supply should be discovered. The 2025 Florida property tax reduction debate has led to a number of proposals to fund tax cuts:
- An preliminary state funds draft instructed diverting Florida’s “mattress tax” to compensate for property tax cuts. However the proposal was not integrated into the 2025-2026 funds on account of potential hurt to tourism advertising and promotion efforts.
- One other proposal instructed climbing the state’s gross sales tax to compensate for misplaced property tax income. Nevertheless, Florida would wish to double its gross sales tax fee to 12%, in keeping with the Florida Coverage Institute.
The following state Home listening to is that this month. Lawmakers will actively pursue a proper property tax reduction proposal with a goal aim by November or December 2025. If formalized, the proposed laws may seem on Florida’s November 2026 poll.
Keep tuned.
