Florida Wants to Eliminate Property Tax: Here’s Who Would Really Pay Instead
A new proposal could significantly reduce property taxes for many Florida homeowners. Here’s how the plan would recalibrate the state’s tax structure and shift who ultimately pays the price.
Florida has long defined its tax identity around one promise — no state income tax. That policy has attracted retirees, business owners and high-earning professionals for decades. Property taxes, however, remain one of the primary ways local governments fund schools, police, fire departments, and infrastructure.
A proposal moving through the Legislature, House Joint Resolution 203, which passed the Florida House on February 19, would ask voters to approve a constitutional amendment eliminating certain city and county property taxes on homes that qualify for Florida’s homestead exemption. School taxes would still apply.
If the measure clears the Senate, it would appear on the state's November 2026 ballot. If approved, it would authorize a 10-year phaseout of certain local property taxes beginning January 1, 2027.
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"We are advancing historic property tax relief by allowing voters to eliminate the non-school portion of the homestead property tax. Floridians work hard for their money, and they deserve to keep more of it." House Speaker Daniel Perez stated in a release regarding affordability measures and the state budget.
As Kiplinger has reported, Gov. Ron DeSantis has previously expressed support for eliminating Florida's property taxes.
Florida’s tax structure makes this proposal especially consequential. Because the state doesn't levy a personal income tax, property and sales taxes carry more weight in local budgets than they do in many other states. If one of those pillars shifts, the remaining revenue sources must absorb more of the load — whether through higher sales taxes, expanded taxable goods and services, or adjustments to local spending.
That dynamic can become more pronounced during economic downturns, when sales tax collections can decline and local budgets tighten.
What does all of this mean for you and your property tax bill? Here's more of what you need to know.
Florida property tax rate: By the numbers
Consider a Florida homeowner with a $400,000 primary residence. With an effective property tax rate between roughly 0.8% and 1%, depending on county millage rates, that homeowner might owe approximately $3,200 to $4,000 per year.
In many counties, about 40% to 50% of that bill supports public schools. The remaining funds support city and county services, like police and fire protection, road maintenance, parks, and infrastructure.
If the city and county portion were eliminated, the annual bill could drop by roughly half — potentially from about $4,000 to closer to $2,000, depending on local rates.
But the services funded by that portion would still require revenue.
Who benefits from no property tax?
Homeowners with higher property values would likely see the largest dollar savings because property taxes are tied to assessed value.
- Those who qualify for the Florida homestead exemption would benefit directly.
- Homeowners who live in their primary residence would benefit more than investors or owners of second or third homes.
If replacement revenue relies more heavily on consumption taxes, however, the impact could look different. Households that spend a larger share of their income on taxable goods, as well as renters who do not receive direct property tax relief, could feel more of the shift.
Sales tax collections can fluctuate with economic cycles, making them less predictable than property tax revenue.
If not property taxes, where would the money come from?
Cities still must repair roads, pay emergency workers, and maintain public infrastructure. Those costs don't disappear.
If one funding source shrinks, another must fill the gap.
Possible replacement options could include:
- Increasing the statewide sales tax, which is currently 6% before local surtaxes, can push total rates above 7% in some counties
- Expanding the list of taxable goods and services, which currently excludes items such as groceries, residential rent and many professional services
- Shifting more funding responsibility to the state budget
- Reducing local spending in areas such as public safety staffing, road repair schedules, parks and recreation programs, library hours, or capital improvement projects
If local governments trim spending, residents could notice changes in emergency response coverage, infrastructure maintenance timelines or access to community services.
Opponents of the proposal argue that shifting revenue away from property taxes could create budget gaps that force difficult tradeoffs between service levels or alternative taxes.
During floor debate, State Rep. Rita Harris (D-Orlando) reportedly said of the proposal, "We are defunding the police. We are defunding the fire. We are defunding the garbage. We are defunding the schools. We are defunding the waste management. We are defunding people cutting your trees during storm [season]. We are defunding the state of Florida."
Whatever happens, at its core, the measure represents a recalibration of Florida’s tax structure and could change how local government is funded.
Florida property tax elimination: What Florida homeowners can do
Florida House Speaker Perez has reportedly described HJR 203 as "the most aggressive legislation ever passed by a legislative chamber on property taxes in the history of the United States."
But the proposal must be taken up by the Florida Senate, which could advance a revised version this legislative session.
If both chambers ultimately approve the joint resolution, the constitutional amendment would appear on the November 2026 state ballot and require at least 60% voter approval to take effect.
In the meantime, if you're a homeowner dealing with high property taxes, you can:
- Confirm you are receiving the Florida homestead exemption.
- Review your property’s assessed value and file a property tax appeal if it appears overstated.
- Monitor local government budget discussions as the debate evolves.
For financially proactive households, the key question is not only whether property taxes decline. It is how the state replaces that revenue and how that shift could affect long-term housing costs and the services communities rely on.
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