THE BILL ITSELF
HJR 793
Assessment of Inherited Homestead Property
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House Joint Resolution
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A joint resolution proposing an amendment to Section 4
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of Article VII and the creation of a new section in
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Article XII of the State Constitution to authorize the
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Legislature to provide, by general law, that the
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transfer of homestead property by inheritance is not
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considered to be a change in ownership for purposes of
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homestead property assessment and provide an effective
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date.
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Be It Resolved by the Legislature of the State of Florida:
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That the following amendment to Section 4 of Article VII
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and the creation of a new section of Article XII of the State
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Constitution is agreed to and shall be submitted to the electors
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of this state for approval or rejection at the next general
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election or at an earlier special election specifically
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authorized by law for that purpose:
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ARTICLE VII
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FINANCE AND TAXATION
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SECTION 4. Taxation; assessments.—By general law
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regulations shall be prescribed which shall secure a just
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valuation of all property for ad valorem taxation, provided:
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(a) Agricultural land, land producing high water recharge
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to Florida's aquifers, or land used exclusively for
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noncommercial recreational purposes may be classified by general
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law and assessed solely on the basis of character or use.
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(b) As provided by general law and subject to conditions,
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limitations, and reasonable definitions specified therein, land
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used for conservation purposes shall be classified by general
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law and assessed solely on the basis of character or use.
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(c) Pursuant to general law tangible personal property
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held for sale as stock in trade and livestock may be valued for
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taxation at a specified percentage of its value, may be
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classified for tax purposes, or may be exempted from taxation.
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(d) All persons entitled to a homestead exemption under
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Section 6 of this Article shall have their homestead assessed at
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just value as of January 1 of the year following the effective
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date of this amendment. This assessment shall change only as
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provided in this subsection.
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(1) Assessments subject to this subsection shall be
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changed annually on January 1st of each year; but those changes
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in assessments shall not exceed the lower of the following:
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a. Three percent (3%) of the assessment for the prior
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year.
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b. The percent change in the Consumer Price Index for all
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urban consumers, U.S. City Average, all items 1967=100, or
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successor reports for the preceding calendar year as initially
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reported by the United States Department of Labor, Bureau of
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Labor Statistics.
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(2) No assessment shall exceed just value.
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(3) After any change of ownership, as provided by general
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law, homestead property shall be assessed at just value as of
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January 1 of the following year, unless the provisions of
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paragraph (8) apply. The legislature, by general law, may
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provide that the transfer of homestead property upon inheritance
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is not a change of ownership for purposes of this paragraph.
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Thereafter, the homestead shall be assessed as provided in this
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subsection.
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(4) New homestead property shall be assessed at just value
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as of January 1st of the year following the establishment of the
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homestead, unless the provisions of paragraph (8) apply. That
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assessment shall only change as provided in this subsection.
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(5) Changes, additions, reductions, or improvements to
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homestead property shall be assessed as provided for by general
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law; provided, however, after the adjustment for any change,
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addition, reduction, or improvement, the property shall be
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assessed as provided in this subsection.
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(6) In the event of a termination of homestead status, the
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property shall be assessed as provided by general law.
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(7) The provisions of this amendment are severable. If any
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of the provisions of this amendment shall be held
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unconstitutional by any court of competent jurisdiction, the
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decision of such court shall not affect or impair any remaining
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provisions of this amendment.
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(8)a. A person who establishes a new homestead as of
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January 1 and who has received a homestead exemption pursuant to
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Section 6 of this Article as of January 1 of any of the three
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years immediately preceding the establishment of the new
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homestead is entitled to have the new homestead assessed at less
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than just value. The assessed value of the newly established
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homestead shall be determined as follows:
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1. If the just value of the new homestead is greater than
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or equal to the just value of the prior homestead as of January
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1 of the year in which the prior homestead was abandoned, the
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assessed value of the new homestead shall be the just value of
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the new homestead minus an amount equal to the lesser of
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$500,000 or the difference between the just value and the
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assessed value of the prior homestead as of January 1 of the
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year in which the prior homestead was abandoned. Thereafter, the
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homestead shall be assessed as provided in this subsection.
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2. If the just value of the new homestead is less than the
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just value of the prior homestead as of January 1 of the year in
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which the prior homestead was abandoned, the assessed value of
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the new homestead shall be equal to the just value of the new
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homestead divided by the just value of the prior homestead and
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multiplied by the assessed value of the prior homestead.
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However, if the difference between the just value of the new
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homestead and the assessed value of the new homestead calculated
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pursuant to this sub-subparagraph is greater than $500,000, the
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assessed value of the new homestead shall be increased so that
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the difference between the just value and the assessed value
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equals $500,000. Thereafter, the homestead shall be assessed as
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provided in this subsection.
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b. By general law and subject to conditions specified
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therein, the legislature shall provide for application of this
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paragraph to property owned by more than one person.
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(e) The legislature may, by general law, for assessment
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purposes and subject to the provisions of this subsection, allow
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counties and municipalities to authorize by ordinance that
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historic property may be assessed solely on the basis of
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character or use. Such character or use assessment shall apply
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only to the jurisdiction adopting the ordinance. The
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requirements for eligible properties must be specified by
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general law.
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(f) A county may, in the manner prescribed by general law,
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provide for a reduction in the assessed value of homestead
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property to the extent of any increase in the assessed value of
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that property which results from the construction or
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reconstruction of the property for the purpose of providing
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living quarters for one or more natural or adoptive grandparents
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or parents of the owner of the property or of the owner's spouse
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if at least one of the grandparents or parents for whom the
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living quarters are provided is 62 years of age or older. Such a
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reduction may not exceed the lesser of the following:
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(1) The increase in assessed value resulting from
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construction or reconstruction of the property.
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(2) Twenty percent of the total assessed value of the
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property as improved.
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(g) For all levies other than school district levies,
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assessments of residential real property, as defined by general
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law, which contains nine units or fewer and which is not subject
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to the assessment limitations set forth in subsections (a)
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through (d) shall change only as provided in this subsection.
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(1) Assessments subject to this subsection shall be
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changed annually on the date of assessment provided by law; but
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those changes in assessments shall not exceed ten percent (10%)
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of the assessment for the prior year.
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(2) No assessment shall exceed just value.
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(3) After a change of ownership or control, as defined by
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general law, including any change of ownership of a legal entity
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that owns the property, such property shall be assessed at just
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value as of the next assessment date. Thereafter, such property
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shall be assessed as provided in this subsection.
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(4) Changes, additions, reductions, or improvements to
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such property shall be assessed as provided for by general law;
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however, after the adjustment for any change, addition,
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reduction, or improvement, the property shall be assessed as
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provided in this subsection.
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(h) For all levies other than school district levies,
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assessments of real property that is not subject to the
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assessment limitations set forth in subsections (a) through (d)
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and (g) shall change only as provided in this subsection.
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(1) Assessments subject to this subsection shall be
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changed annually on the date of assessment provided by law; but
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those changes in assessments shall not exceed ten percent (10%)
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of the assessment for the prior year.
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(2) No assessment shall exceed just value.
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(3) The legislature must provide that such property shall
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be assessed at just value as of the next assessment date after a
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qualifying improvement, as defined by general law, is made to
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such property. Thereafter, such property shall be assessed as
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provided in this subsection.
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(4) The legislature may provide that such property shall
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be assessed at just value as of the next assessment date after a
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change of ownership or control, as defined by general law,
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including any change of ownership of the legal entity that owns
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the property. Thereafter, such property shall be assessed as
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provided in this subsection.
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(5) Changes, additions, reductions, or improvements to
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such property shall be assessed as provided for by general law;
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however, after the adjustment for any change, addition,
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reduction, or improvement, the property shall be assessed as
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provided in this subsection.
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(i) The legislature, by general law and subject to
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conditions specified therein, may prohibit the consideration of
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the following in the determination of the assessed value of real
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property:
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(1) Any change or improvement to real property used for
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residential purposes made to improve the property's resistance
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to wind damage.
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(2) The installation of a solar or renewable energy source
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device.
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(j)(1) The assessment of the following working waterfront
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properties shall be based upon the current use of the property:
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a. Land used predominantly for commercial fishing
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purposes.
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b. Land that is accessible to the public and used for
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vessel launches into waters that are navigable.
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c. Marinas and drystacks that are open to the public.
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d. Water-dependent marine manufacturing facilities,
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commercial fishing facilities, and marine vessel construction
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and repair facilities and their support activities.
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(2) The assessment benefit provided by this subsection is
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subject to conditions and limitations and reasonable definitions
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as specified by the legislature by general law.
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ARTICLE XII
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SCHEDULE
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Assessment of inherited homestead property.—This section
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and the amendment to Section 4 of Article VII authorizing the
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legislature, by general law, to provide that transfer of
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homestead property by inheritance is not a change of ownership
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for purposes of homestead property assessment shall take effect
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January 1, 2027.
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BE IT FURTHER RESOLVED that the following statement be
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placed on the ballot:
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CONSTITUTIONAL AMENDMENT
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ARTICLE VII, SECTION 4
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ASSESSMENT OF INHERITED HOMESTEAD PROPERTY.—Proposing an
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amendment to the State Constitution, effective January 1, 2027,
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authorizing the Legislature, by general law, to provide that the
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transfer of homestead property by inheritance is not considered
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a change of ownership for purposes of homestead property
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assessment.