Florida Senate proposes study on property tax cuts
With Gov. Ron DeSantis pushing to reduce or eliminate property taxes, the Florida Senate on Monday released a proposed tax package that would require a study detailing options for cutting property taxes — and potential implications.
The bill (SB 7034), which also includes a series of tax breaks, calls for the Legislature's Office of Economic & Demographic Research to conduct a study of the state's property-tax structure and potential effects of cuts on local governments.
"The primary purpose of the study is to analyze the potential impact of eliminating or significantly reducing ad valorem (property tax) assessments on homestead property and provide policy options for mitigating negative fiscal consequences," the bill says.
The proposal would direct the office to analyze a list of issues and "develop a series of findings and an array of policy options, including changes to law or the State Constitution, for eliminating or reducing the property tax burden on homestead property in this state while mitigating any reductions to services Floridians deem essential to quality of life."
The office would be required to submit a report by Nov. 1.
Constitutional and budget challenges ahead
Overhauling property taxes, which play a key role in funding local governments and schools, would require passing a constitutional amendment.
Lawmakers during next year's legislative session could put such a proposed amendment on the November 2026 ballot.
The Senate Finance and Tax Committee on Tuesday will take up the bill.
The Senate and House will ultimately have to negotiate a tax package during upcoming budget talks.
The House wants to reduce the state's overall sales-tax rate from 6 percent to 5.25 percent.
