Summary of SB 272: Homestead Exemption for Persons 65 and Older

Bill Information:
- Bill Number: SB 272
- Title: Homestead Exemption for Persons 65 and Older
- Status: Filed
- Introduced: August 28, 2024
- Sponsor: Senator Bernard
- Classification: Bill
- Subject: Taxation and Finance

Purpose and Intent

SB 272 aims to expand the existing homestead exemption for Florida residents aged 65 and older. The bill seeks to provide a total exemption from ad valorem taxation on homestead property, excluding school district levies, for eligible seniors based on their household income.

Key Provisions

1. Expanded Homestead Exemption:

   • The bill amends Section 196.075 of the Florida Statutes to allow:
     • A total exemption from ad valorem taxes for seniors whose household income does not exceed $350,000.
     • A partial exemption of up to $50,000 for seniors with a household income not exceeding $20,000.

2. Definitions:

   • Household: Defined as a person or group of persons living together as a housing unit, excluding boarders or renters.
   • Household Income: Calculated as the adjusted gross income of all household members, as per the U.S. Internal Revenue Code.

3. Income Adjustment:

   • The income limits will be adjusted annually based on the percentage change in the average cost-of-living index.

4. Ordinance Requirements:

   • Local governing bodies must adopt an ordinance to grant these exemptions, requiring a supermajority vote for the total exemption.
   • The ordinance must specify the exemption amount and apply only to taxes levied by the granting authority.

5. Application Process:

   • First-time applicants must submit a sworn statement of household income to the property appraiser by March 1.
   • The property appraiser may conduct audits to verify the accuracy of reported income.

6. Notification and Compliance:

   • Local governments must notify the property appraiser by December 1 of the year prior to when the exemption takes effect or if it is repealed.

Impact

• Who is Affected: The bill primarily benefits Florida residents aged 65 and older who meet the specified income criteria, potentially reducing their property tax burden significantly.
• Local Governments: Counties and municipalities will need to adopt ordinances to implement these exemptions, which may affect their tax revenue.

Procedural Aspects

• The bill is currently filed and awaiting further legislative action. It is important for stakeholders to monitor its progress through the legislative process.

Conclusion

SB 272 represents a significant change in Florida's tax policy for senior citizens, aiming to alleviate financial burdens for older residents. By expanding the homestead exemption, the bill seeks to provide greater financial security for seniors living on fixed incomes.