Florida voters to decide on Amendment 3 homestead tax exemption hike

Key Points:

• Florida voters will decide on Amendment 3, a constitutional measure aimed at easing property tax burdens by increasing homestead exemptions and restricting local government spending, requiring 60% approval to pass.
• The amendment proposes raising the homestead exemption for non-school property taxes to $150,000 in 2027 and $250,000 in 2028, lowering assessment caps on non-homestead properties, and limiting local government spending to specific categories like public safety and infrastructure.
• If approved, the Tax Foundation estimates the measure could reduce local government property tax revenue by $4.9 billion in its first year, rising to $11.8 billion by 2031, potentially shifting tax burdens to businesses, renters, and new homebuyers.
• Supporters, including Governor Ron DeSantis and many Republican leaders, argue the measure provides necessary tax relief amid rapidly rising property tax revenues, while opponents, including the Florida Democratic Party, warn it would harm local services and disproportionately benefit wealthy individuals and corporations.
• The Tax Foundation criticizes Amendment 3 for fundamentally restructuring local government finance without balancing affordability and fiscal stability, potentially leading to higher taxes and fees elsewhere.