Florida voters have approved a sweeping property tax reform measure, with Amendment 3 surpassing the 60% voter approval threshold needed to become law.
The amendment will expand the state's homestead exemption from $50,000 to $150,000 beginning in 2027, with another increase to $250,000 scheduled for 2028. The exemption threshold will also adjust in future years to keep pace with inflation.
Florida residents who establish residency before Dec. 31 of this year will automatically qualify. Those moving to the state after that date must maintain residency for five years before becoming eligible for the full exemption.
The expanded exemption applies to residents who use a property as their full-time home. Vacation homes and commercial properties will not qualify for the maximum tax relief.
The measure also establishes restrictions on how local governments can spend revenue collected through property taxes. Funds must be directed toward public safety, public schools, infrastructure, natural resource projects, local bond obligations, debt payments or employee retirement benefits.
Supporters have praised the measure as a significant opportunity for homeowners to reduce their property tax bills. Critics, however, have raised concerns about potential budget cuts and the effects reduced revenue could have on local government services.
Two other constitutional amendments on this year's ballot failed to secure enough support for passage.
Amendment 1 would have expanded the state's budget stabilization fund, increasing the amount it could retain from 10% to 25% of net general revenue. It also would have required annual transfers of up to $750 million or 25% of general revenue collections, whichever was less, while allowing the Legislature to suspend transfers under certain conditions.
The measure received support from 59% of voters, falling short of the required threshold.
Amendment 2 would have eliminated the annual tangible personal property tax on equipment owned by agricultural operations, including tractors, harvesters and irrigation tools.
The proposal received 58% approval, also failing to meet the threshold needed for passage.