AMENDMENT 1

 

On January 29th, 2008, citizens of Florida approved Amendment 1. This property tax amendment has four provisions. Below is what you need to know about each provision.

 

Additional $25,000 Homestead Exemption – Provides an additional exemption up to $25,000 off the assessed value of property valued above $50,000. If you already have a homestead exemption there is no action required on your part to obtain the additional $25,000 exemption. The exemption will be automatically applied to your assessment. The original $25,000 homestead exemption will continue to apply to all ad valorem tax levies, but the new additional $25,000 homestead exemption will apply to all ad valorem tax levies except the School Board.

 

For example: Currently the first $25,000 of a property’s value is exempt from ad valorem taxes. Under Amendment One, there is no additional exemption for property with a value between $25,001 and $50,000. The exemption will remain at $25,000 for a property with a value of up to $50,000.

 

Beginning at a value of $50,001 and continuing through a market value of $75,000, the new homestead exemption will increase dollar-for-dollar with the increase in the value of the property.

                        A property with a $50,000 market value will receive a homestead exemption of $25,000.

                        A property with a $60,000 market value will receive a homestead exemption of $35,000.

                        A property with a $75,000 market value will receive a homestead exemption of $50,000.

 

The maximum homestead exemption a property can receive is $50,000. All other exemptions that are currently applicable will remain in effect.

 

 

Portability - Allows Florida homeowners to transfer their *Save Our Homes benefit, or a portion, up to $500,000 to a new homestead. If you had a homestead exemption in Florida in 2007, and are applying for a new homestead exemption for 2008, then you may qualify. An application is required to transfer portability.

 

*The Save Our Homes benefit is the difference between the assessed value and market value of a homestead property due to the annual limit on increases in assessed value.

 

 

Non-Homestead Property Assessment Cap – Provides for a cap on the annual increase in the assessed value of non-homesteaded property at 10 percent beginning January 1, 2009.

 

This non-homestead property assessment cap applies to owners of second homes, commercial properties and unimproved lands. It does not apply to school district levies.

 

 

Tangible Personal Property Exemption – To qualify and obtain the $25,000 Tangible Personal Property (TPP) exemption, business owners MUST complete the annual TPP Return and send it to the Property Appraiser’s Office by April 1st. In order to qualify for the exemption a return must be on file.

 

If a taxpayer files an initial TPP return and the assessed value is determined by the Property Appraiser to be less than or equal to $25,000, the taxpayer is not required to file a return in subsequent years unless newly purchased assets cause the total value to exceed $25,000.

 

The exemption does not apply to mobile homes classified as tangible personal property.