Did you buy a property in Florida this past year? Make sure you submit your Homestead applications before March 1 to qualify for a tax exemption in 2023.
Florida’s Homestead Exemption provides homeowners a tax exemption of up to $50,000 for their permanent residence in Florida. Under Florida’s “Save Our Homes” assessment limitation, one year after the property becomes the homestead, the assessment for each following year cannot increase more than 3 percent or the percent change in the Consumer Price Index (CPI), whichever is less. The difference between the market value and the assessed value (i.e., assessment difference) of the homestead property is expected to increase over time and save the homeowner a considerable amount in property taxes. Notably, a homeowner may be able to transfer or “port” all or part of the assessment difference to a new Florida homestead. This concept is known as Portability.
In order to qualify for Florida’s Homestead Exemption, the homeowner must be a permanent Florida resident and the homestead property must be the resident’s primary place of residence. A second home or investment property will not qualify as homestead property. The owner of the homestead property must also be a natural person and the property cannot be titled in the name of a corporation, limited liability company, or partnership.
There are many other exemptions available to you if they are applicable. You can review this information by logging on to your county’s property appraiser website and selecting the exemptions option.
Friendly Reminder: If you closed on a Florida property last year, applications for Florida’s Homestead Exemption must be submitted by no later than March 1 of the tax year.