Property values are a driver of local government budgets. Generally, as values increase, local property tax revenue rises, assuming governments don’t proportionately reduce their tax rates.
The owner of a median-priced house in Palm Coast would see taxes rise from $28 to $33 next year, depending on which tax rate the council adopts.
Taxes have increased in Flagler County and in all five cities, but will be largely offset by a tax decrease in school taxes, while values have increased only marginally.
The new tax-cut package will combine with about $290 million earmarked to hold down local property taxes that would otherwise go into the state’s school-funding formula.
The special session’s much-touted tax cut of $427 million is wiped out by a nearly $500 million tax increase to pay for education funding increases.
Today is the deadline to file for a Homestead Exemption in Flagler County. If you miss the deadline, the Flagler County Property Appraiser’s office may be able to work with you within a reasonable window of time.
In previous years, tax rate increases didn’t mean much because they were either entirely or more than offset by decreases in property values. The end result was lower tax bills for most, even as tax rates went up. That’s over. And tax rates are set to go up in every city, too.
Other Flagler government leaders joined Jon Netts in criticism of of proposed Constitutional Amendment 4, which would limit the tax liability of commercial, rental and vacant properties while lowering the tax liability of first-time home-buyers, but at the expense of local government revenue, which has been battered since 2007.
Florida voters in November will face a flurry of proposed amendments to reduce property tax levies for groups ranging from first-time homebuyers to disabled veterans, while preventing increases on those whose homes lose value.
The roll-back or rolled-back rate is defined as it applies to property values and tax rates at budget time for local governments and property owners.