Florida is on the brink of a significant shift in property tax policy. A proposed constitutional amendment, set to go before voters on November 3, 2026could dramatically alter the tax landscape for homeowners and businesses alike. The amendment, driven by Governor Ron DeSantis, aims to provide substantial tax relief but has sparked debate about its broader implications.
The amendment, known as HJR 1F, was approved by the Florida Legislature during a special session held from June 1 through June 3, 2026. To take effect, it requires the support of at least 60 percent of voters. If approved, the changes would begin taking effect on January 1, 2027with further adjustments in subsequent years.
The Core Provisions of the Amendment
The amendment includes several key provisions designed to reduce the property tax burden for Florida residents. One of the most significant changes is the expansion of the homestead exemption for non-school taxes. Currently, homeowners receive a $50,000 exemption. Under the new proposal, this exemption would rise to $150,000 in 2027 and then to $250,000 in 2028. Additionally, annual inflation adjustments would begin in 2029.
However, it’s important to note that the expanded exemption would not apply to school district taxes. The existing $25,000 exemption for school taxes would remain in place. This means homeowners would effectively have two separate exemptions: a larger one for county, city, and special-district taxes, and a smaller one for schools.
Another notable change is the reduction of the annual assessment cap on non-homestead properties. Currently, the cap is 10 percent, but the amendment would lower it to 5 percent starting in 2027. This change would affect rentals, vacation homes, apartment buildings, and commercial properties, but not school taxes.
The Fiscal Impact and Controversy
The proposed changes have significant fiscal implications. According to projections by the Legislative Office of Economic and Demographic Research, local governments could see a $5 billion reduction in revenue in the 2027-2028 fiscal year. This figure is expected to grow to nearly $8.8 billion the following year, reaching $10.75 billion by the fourth year.
Supporters of the amendment argue that it provides much-needed relief for homeowners facing rising property values and increasing tax bills. Governor DeSantis has been a vocal advocate, stating that the proposal would offer the biggest property tax cut in Florida history. “Floridians looking for help with affordability will have a great opportunity to vote for it,” he posted on X earlier this month.
However, critics, including some city and county officials, express concerns about the potential impact on local services. The amendment includes provisions to restrict how local governments can spend property tax revenue, limiting it to core functions such as public safety, education, infrastructure, and environmental projects. Despite these restrictions, officials worry that the reduced revenue could still impair their ability to provide essential services.
Legal Challenges and Future Uncertainties
The amendment has already faced legal challenges. On June 11, 2026a lawsuit was filed by an activist group and two former local elected officials, alleging that the ballot measure is misleading. The plaintiffs argue that the ballot summary is biased and could confuse voters. However, even if the courts rule against the state, the measure would not be removed from the ballot. Instead, Attorney General James Uthmeier would be required to amend the ballot summary if it is found to be defective.
As the November election approaches, the debate over the amendment’s merits and potential drawbacks continues. Homeowners, businesses, and local governments are closely watching the developments, aware that the outcome could significantly alter Florida’s property tax landscape for years to come.
