Florida TaxWatch is recommending that Florida lawmakers pursue property tax relief that applies more evenly across taxpayers and avoids broad elimination proposals that could shift costs onto renters, businesses and newer homeowners.
In a report released on Thursday, “Save Our Taxpayers – Property Tax Relief Must be Accomplished Equitably,” the nonprofit group said property tax levies have risen sharply in recent years, reaching $59.2 billion in fiscal year 2025-26, and that policymakers should focus on reforms that reduce disparities between homestead and non-homestead property while preserving funding for core local services.
TaxWatch’s primary recommendation is what it calls a “Save Our Taxpayers” constitutional amendment, which would replace Florida’s current 10% annual assessment cap for non-homestead properties with a cap matching the Save Our Homes limit on homestead properties. Under that approach, annual assessment increases for all properties would be capped at the lesser of 3% or inflation. The group said the change would reduce what it describes as a growing “tax shift” that places a larger burden on renters, businesses and non-homestead property owners.
“Providing property tax relief to Florida taxpayers is commendable and the focus on homestead property by the Governor and the Legislature is understandable. But putting a proposal on the 2026 ballot to eliminate all property taxes, without also addressing ever escalating local government spending, is not advisable,” said Florida TaxWatch President and CEO Jeff Kottkamp.
The report also recommends that lawmakers create an additional exemption targeted to new homeowners, suggesting a structure such as a 25% reduction in a home’s initial assessed value that would phase out over time as a homeowner’s Save Our Homes differential grows. TaxWatch said such a measure could reduce the cost of buying a home, particularly in the first year of ownership, when taxable value typically reflects the full market price.
If lawmakers pursue new homestead-only exemptions, TaxWatch said they should consider tying the size of the benefit to local housing markets instead of adopting a uniform statewide amount. The group recommended setting exemptions as a percentage of the median home value within each county, arguing that a county-based approach would provide relatively greater savings in areas with lower home values and potentially lower household incomes, while helping fiscally constrained counties manage the revenue loss.
TaxWatch also recommended that any new benefit limited to homestead property be paired with a requirement that local governments temporarily adopt the “rolled-back rate,” after accounting for any newly exempted taxable value. The group said that approach would help ensure that the intended tax savings are delivered to homeowners rather than being offset through higher millage rates, and would also limit the shifting of burdens to non-homestead properties.
In addition, the report calls for reforms to Florida’s Value Adjustment Board system, which oversees appeals of property tax assessments. TaxWatch said low success rates for taxpayers challenging assessments outside Miami-Dade County indicate the system needs changes, including greater independence from local officials who oversee spending decisions.
TaxWatch said it does not recommend placing a constitutional amendment on the November 2026 ballot to eliminate all property taxes, even if limited to non-school levies, without a broader reform plan. The group said any major restructuring should include measures aimed at local government efficiency, safeguards to prevent shifting burdens onto non-homestead property owners, and protections to ensure continued funding for critical services.
