Legislative Update
This is your resource for up-to-date information on what’s happening in the Florida Legislature as well as local municipalities relating to ad valorem taxation and exemptions and how it may impact property owners in Hernando County.
- Increasing the homestead exemption for qualifying properties.
- Reducing the assessment limitation for non-homestead properties.
- Establishing additional residency-related provisions for certain homestead benefits.
| Property Owner Type | Potential Effects |
|---|---|
| First-Time Recent Homesteaders | A larger homestead exemption may reduce future non-school property taxes. Because recent buyers often have taxable values closer to market value, they may be more likely to receive the full benefit of the proposed exemption. Lower property tax obligations may also affect housing affordability and purchasing power. |
| Existing Homestead Owners | A larger homestead exemption may reduce or, in some cases, eliminate non-school taxable value. Impact will vary depending on existing Save Our Homes benefits and other exemptions. |
| New Florida Residents (On or After January 1, 2027) | Would begin with the exemption amount established for new Florida residents ($50,000, adjusted annually by CPI beginning in 2028). The larger exemption would become available after maintaining a Florida homestead exemption for four years and would first apply beginning January 1 of the fifth year. |
| Fully Exempt Owners (100% Disabled Veterans, Religious, Charitable, and Certain Institutional Properties) | Not likely to experience a direct benefit because these owners already receive substantial or complete ad valorem tax exemptions. |
| Non-Homestead Residential Commercial Owners | May benefit from the reduction of the non-homestead assessment limitation from 10% to 5%, which may slow future assessed value growth. However, the reduction from 10% to 5% only caps assessed value, not taxes. School taxes would continue to be uncapped and based on Just/Market Value. |
- A $25,000 exemption applied to all millages, including school taxes.
- An additional $26,411 exemption applied to non-school millages. This amount reflects CPI adjustments as certified by the Florida Department of Revenue.
- A $25,000 exemption applied to school millages.
- Up to $150,000 beginning January 1, 2027 to non-school millages.
- Up to $250,000 beginning January 1, 2028 to non-school millages.
- Annual CPI adjustments to the maximum exemption amount beginning January 1, 2029.
The amendment establishes a different exemption structure for individuals who become Florida residents on or after January 1, 2027.
Under the proposal, individuals who establish Florida residency on or after January 1, 2027, would begin with the exemption amount established for new Florida residents ($50,000, adjusted annually by CPI beginning in 2028).
After maintaining a Florida homestead exemption for four years, the property owner would become eligible for the larger homestead exemption beginning January 1 of the fifth year.
Additional administrative procedures may be established through implementing legislation.
No.
Under the proposed amendment, individuals who establish Florida residency on or after January 1, 2027, would begin with the exemption amount established for new Florida residents.
The larger exemption would become available after maintaining a Florida homestead exemption for four consecutive years and would first apply beginning January 1 of the fifth year.
Only the first $25,000 of assessed value of a homestead property would remain exempt from school taxes, consistent with current law.
Therefore, most property owners would continue to receive a tax bill that includes school taxes.
No.
Potential tax savings would vary depending on:
- Assessed value
- Taxable value
- Existing exemptions
- Save Our Homes benefit
- Local millage rates
No.
Actual savings cannot be determined until the implementing legislation is finalized and future tax rates are established.
If the amendment is approved by the voters, the Property Appraiser’s Office intends to update its tax estimator to help property owners estimate potential impacts under the two outlined Florida residency scenarios.
For illustrative purposes only, estimated savings using the 2025 countywide aggregate average non-school millage rate are shown below:
How were these estimates calculated?
The proposed amendment would replace the current homestead exemption structure.
For 2026, the current homestead exemption is $51,411, consisting of:
- $25,000 exemption applicable to all millages.
- $26,411 exemption applicable to non-school millages after CPI adjustments certified by the Florida Department of Revenue.
Therefore, the estimated increase in exempt value would be:
| Year | Proposed Exemption | Current Exemption Replaced | Additional Exemption |
|---|---|---|---|
| 2027 | $150,000 | $51,411 | $98,589 |
| 2028 | $250,000 | $51,411 | $198,589 |
Estimated Savings Based on the Countywide Average Non-School Millage Rate
| Year | Additional Exemption | Estimated Savings |
|---|---|---|
| 2027 | $98,589 | Approximately $1,203 |
| 2028 | $198,589 | Approximately $2,423 |
Assumptions
- Assumes the property receives the full exemption amount.
- Uses the 2025 countywide aggregate average non-school millage rate of 12.2011 mills.
- Actual millage rates vary throughout Pinellas County based on municipality, fire district, MSTU, and other applicable taxing districts. Therefore, savings may be higher or lower than these examples.
- Assumes no future changes in millage rates.
- Does not include future CPI adjustments to exemption amounts.
- Non-ad valorem assessments are not included.
- $26,411 exemption applicable to non-school millages after CPI adjustments certified by the Florida Department of Revenue.
Important Reminder
These examples are intended only to illustrate how the exemption may affect taxable value. Actual tax impacts will vary by property and depend on future tax rates, exemption eligibility, and implementing legislation.
No.
The amendment establishes exemption amounts of up to $150,000 beginning in 2027 and up to $250,000 beginning in 2028. It also directs the Florida Legislature to establish a schedule for future increases in the exemption amount.
The amendment establishes exemption amounts of up to $150,000 beginning in 2027 and up to $250,000 beginning in 2028. It also directs the Florida Legislature to establish a schedule for future increases in the exemption amount.
The amendment authorizes future increases that could ultimately exempt up to the remaining assessed value of a qualifying homestead property. The timing, structure, and implementation of any future increases would be determined by the Florida Legislature through general law.
Because future exemption increases would depend on legislative action, the exact timing and amount of increases beyond those specified in the amendment cannot be determined today.
The amendment does not eliminate or replace Save Our Homes.
Annual assessment increases for qualifying homestead property would continue to be limited to 3% or CPI, whichever is less, as provided by law.
The amendment does not change Florida’s portability provisions.
The amendment does not change existing personal exemptions.
A non-homestead property is any property that does not receive a homestead exemption.
Examples include rental property, commercial property, second homes, and vacant land.
The amendment proposes reducing the annual assessment limitation from 10% to 5%.
A lower assessment limitation may slow future assessed value growth for qualifying non-homestead property.
Please note this assessment limitation only impacts non-school millages. School taxes would still continue to be uncapped and based on Just/Market Value.
Not necessarily.
A reduction in the assessment limitation affects assessed value growth, not tax rates.
Future tax bills would still depend on millage rates established by taxing authorities.
No.
Property taxes depend on both taxable value and tax rates.
Changes in millage rates may affect future tax bills.
No.
Property taxes would continue to be levied by local governments, school districts, and other taxing authorities.
Yes.
School district taxes would continue.
No.
The amendment does not guarantee any specific funding level for law enforcement, fire protection, EMS, or other governmental services. Funding decisions would continue to be made through the annual budget processes of the applicable taxing authorities.
Yes.
Taxing authorities establish millage rates annually through the budget process. Future millage rates are determined by those taxing authorities in accordance with Florida law.
Yes.
Future assessments may increase, decrease, expire, or be newly adopted depending on actions taken by the governmental entities that impose them.
No.
Homestead exemptions reduce taxable value for ad valorem taxation but do not reduce non-ad valorem assessments.
No.
The Property Appraiser’s Office can explain the amendment as proposed and provide information based on current law and available guidance. However, some administrative details may not be finalized unless and until the amendment is approved and any necessary implementing legislation is enacted.
If the amendment is approved by the voters, our office will provide updated information regarding:
- Eligibility requirements
- Exemption administration
- Legislative implementation
- Tax estimator tools
- Frequently asked questions
Information will be posted on our website as it becomes available.
For official information regarding the proposed constitutional amendment, please refer to information published by the Florida Legislature, Florida Department of State, Florida Department of Revenue, and other official state sources.
Direct links to CS/HJR1:
The Hernando County Property Appraiser’s Office will continue providing factual updates as information becomes available.