A bit of a tax break is on the way for homeowners across Florida. NBC6’s Marissa Bagg has more on the impacts of Amendment 5.
A bit of a tax break is on the way for homeowners across Florida.
The newly approved Amendment 5 will adjust part of your homestead exemption according to inflation.
How much will we save in property taxes?
It’s not a whole lot of money, but it’s something, says Broward County Property Appraiser Marty Kiar.
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“I think it’ll save people $10-15 in property taxes, but every single year maybe it will go up as well based on inflation. I think it’s a pretty good thing that puts a little more money in people’s pocket,” Kiar said.
The win for homeowners is a loss for cities and counties across South Florida that rely on property taxes to fund services like police and fire departments.
What's the financial impact of Amendment 5?
The state estimates the financial impact for all of Florida in the first year is $22 million.
Independent research institute Florida Police Project estimates counties statewide could lose more than $400 million in tax revenue over the next five years.
Kiar says recent skyrocketing home values in Miami-Dade and Broward counties are adding millions to budget revenues, easily eclipsing any anticipated losses.
“Broward County values increased to such an extent that (the county) got $130 million more this year than last year without raising taxes. So If you think about that overall, it’s a nominal amount for our local governments, they’re not going to lose a whole lot of money. They won’t have to raise taxes to make up for it,” Kiar said.
Fort Lauderdale Mayor Dean Trantalis says the impact on the city’s budget is nominal.
“It will not negatively impact how the city operates. We’ll still provide the same level of services, as far as the amount of income the city receives. Property values keep going up,“ Trantalis said.
When will it take effect?
The change takes effect on Jan. 1 and will impact your 2025 tax bill due the following year.
The portion of the exemption that pays for local schools is not impacted.
