Florida’s Constitution allows up to $50,000 to be deducted from the assessed value of a primary residence (however only $25,000 may be deducted for the purposes of calculating the assessed value for school taxes). To receive the Florida homestead tax exemption, you must submit a homestead application (Florida Department of Revenue Form DR-501) to the Property Appraiser in the county where your home is located on or before Monday, March 3, 2014, which can easily be completed online.
To receive the homestead tax exemption, the taxpayer must meet the following requirements:
- have legal or beneficial title to the property recorded in public records prior to January 1st of the year of application;
- establish domicile in the county where the property is located;
- reside on the subject property;
- be a U.S. citizen or permanent resident.
Once homestead exemption is established it is automatically renewed each year, until there is a change of ownership. Florida law requires the property owner to inform the appropriate Property Appraiser’s office of any change in residency, use of the property or marital status that would affect the qualification of the homestead exemption.
“Save Our Homes” Amendment: The “Save Our Homes Amendment” to the Florida Constitution limits any annual assessment increases on Florida homestead properties to the lesser of 3% or the increase in the consumer price index. In 2008, Florida voters approved Amendment 1, which now allows Florida residents to transfer the benefit of the “Save our Homes cap” to subsequently acquired Florida homestead property. To qualify for portability benefits, the taxpayer must timely file an application on Florida Department of Revenue DR-501T, as provided in Florida Statute §193.155. The portability benefit allows the taxpayer to transfer their entire assessment savings, not to exceed $500,000 to their new residence if “upsizing” and a pro-rated portion of their assessment savings to a “downsized” new residence.
For help or questions related to homestead tax exemption, contact Patchen Law, P.A. to simplify your property issues.