Florida Senate - 2024 SB 378



By Senator Garcia





36-00435-24 2024378__
1 A bill to be entitled
2 An act relating to property tax assessment; amending
3 s. 193.122, F.S.; modifying the timeframe for a
4 property appraiser to file an appeal of a value
5 adjustment board decision; amending s. 193.155, F.S.;
6 revising the procedure for correcting erroneous
7 homestead property tax assessments; providing
8 applicability; establishing a new limitation on
9 homestead tax assessments for property transferred
10 from nonhomestead residential property to homestead
11 property; requiring that the values of such homesteads
12 be reassessed at a specified time; providing a
13 limitation on such reassessment; amending s. 193.1554,
14 F.S.; revising the procedure for correcting erroneous
15 nonhomestead residential property tax assessments;
16 providing applicability; establishing a new limitation
17 on tax assessments for property transferred from
18 homestead property to nonhomestead residential
19 property; providing the procedure for calculating the
20 assessed value of such property; providing
21 applicability; amending s. 193.1555, F.S.; revising
22 the procedure for correcting erroneous nonhomestead
23 real property tax assessments; providing
24 applicability; amending s. 194.032, F.S.; revising the
25 purposes for which a value adjustment board may meet;
26 amending s. 194.034, F.S.; authorizing a petitioner to
27 request a hearing to contest whether a tangible
28 personal property return was timely filed; amending s.
29 196.011, F.S.; specifying a property owner’s
30 responsibility to pay unpaid taxes, penalties, or
31 interests if certain exemptions are granted as the
32 result of a property appraiser’s error; amending s.
33 196.041, F.S.; providing that certain households are
34 entitled to the homestead tax exemption when the
35 property or a portion of the property is rented if
36 certain conditions are met; defining the term
37 “rented”; amending s. 196.061, F.S.; conforming
38 provisions to changes made by the act; providing an
39 effective date.
40
41 Be It Enacted by the Legislature of the State of Florida:
42
43 Section 1. Subsection (4) of section 193.122, Florida
44 Statutes, is amended to read:
45 193.122 Certificates of value adjustment board and property
46 appraiser; extensions on the assessment rolls.—
47 (4) An appeal of a value adjustment board decision pursuant
48 to s. 194.036(1)(a) or (b) by the property appraiser must shall
49 be filed before prior to extension of the tax roll under
50 subsection (2) or, if the roll was extended pursuant to s.
51 197.323, within 30 days after the decision by the value
52 adjustment board is rendered of recertification under subsection
53 (3). The roll may be certified by the property appraiser before
54 prior to an appeal is being filed pursuant to s. 194.036(1)(c),
55 but such appeal must shall be filed within 20 days after receipt
56 of the decision of the department relative to further judicial
57 proceedings.
58 Section 2. Section 193.155, Florida Statutes, is amended to
59 read:
60 193.155 Homestead assessments.—Homestead property shall be
61 assessed at just value as of January 1, 1994. Property receiving
62 the homestead exemption after January 1, 1994, shall be assessed
63 at just value as of January 1 of the year in which the property
64 receives the exemption unless the provisions of subsection (8)
65 or subsection (11) apply.
66 (1) Beginning in 1995, or the year following the year the
67 property receives homestead exemption, whichever is later, the
68 property shall be reassessed annually on January 1. Any change
69 resulting from such reassessment may shall not exceed the lower
70 of the following:
71 (a) Three percent of the assessed value of the property for
72 the prior year; or
73 (b) The percentage change in the Consumer Price Index for
74 All Urban Consumers, U.S. City Average, all items 1967=100, or
75 successor reports for the preceding calendar year as initially
76 reported by the United States Department of Labor, Bureau of
77 Labor Statistics.
78 (2) If the assessed value of the property as calculated
79 under subsection (1) exceeds the just value, the assessed value
80 of the property must shall be lowered to the just value of the
81 property.
82 (3)(a) Except as provided in this subsection or subsection
83 (8), property assessed under this section shall be assessed at
84 just value as of January 1 of the year following a change of
85 ownership. Thereafter, the annual changes in the assessed value
86 of the property are subject to the limitations in subsections
87 (1) and (2). For the purpose of this section, a change of
88 ownership means any sale, foreclosure, or transfer of legal
89 title or beneficial title in equity to any person, except if any
90 of the following apply:
91 1. Subsequent to the change or transfer, the same person is
92 entitled to the homestead exemption as was previously entitled
93 and:
94 a. The transfer of title is to correct an error;
95 b. The transfer is between legal and equitable title or
96 equitable and equitable title and no additional person applies
97 for a homestead exemption on the property;
98 c. The change or transfer is by means of an instrument in
99 which the owner is listed as both grantor and grantee of the
100 real property and one or more other individuals are additionally
101 named as grantee. However, if any individual who is additionally
102 named as a grantee applies for a homestead exemption on the
103 property, the application is considered a change of ownership;
104 d. The change or transfer is by means of an instrument in
105 which the owner entitled to the homestead exemption is listed as
106 both grantor and grantee of the real property and one or more
107 other individuals, all of whom held title as joint tenants with
108 rights of survivorship with the owner, are named only as
109 grantors and are removed from the title; or
110 e. The person is a lessee entitled to the homestead
111 exemption under s. 196.041(1);
112 2. Legal or equitable title is changed or transferred
113 between husband and wife, including a change or transfer to a
114 surviving spouse or a transfer due to a dissolution of marriage;
115 3. The transfer occurs by operation of law to the surviving
116 spouse or minor child or children under s. 732.401;
117 4. Upon the death of the owner, the transfer is between the
118 owner and another who is a permanent resident and who is legally
119 or naturally dependent upon the owner; or
120 5. The transfer occurs with respect to a property where all
121 of the following apply:
122 a. Multiple owners hold title as joint tenants with rights
123 of survivorship;
124 b. One or more owners were entitled to and received the
125 homestead exemption on the property;
126 c. The death of one or more owners occurs; and
127 d. Subsequent to the transfer, the surviving owner or
128 owners previously entitled to and receiving the homestead
129 exemption continue to be entitled to and receive the homestead
130 exemption.
131 (b) For purposes of this subsection, a leasehold interest
132 that qualifies for the homestead exemption under s. 196.031 or
133 s. 196.041 shall be treated as an equitable interest in the
134 property.
135 (4)(a) Except as provided in paragraph (b) and s. 193.624,
136 changes, additions, or improvements to homestead property shall
137 be assessed at just value as of the first January 1 after the
138 changes, additions, or improvements are substantially completed.
139 (b)1. Changes, additions, or improvements that replace all
140 or a portion of homestead property, including ancillary
141 improvements, damaged or destroyed by misfortune or calamity
142 shall be assessed upon substantial completion as provided in
143 this paragraph. Such assessment must be calculated using the
144 homestead property’s assessed value as of the January 1
145 immediately before the date on which the damage or destruction
146 was sustained, subject to the assessment limitations in
147 subsections (1) and (2), when:
148 a. The square footage of the homestead property as changed
149 or improved does not exceed 110 percent of the square footage of
150 the homestead property before the damage or destruction; or
151 b. The total square footage of the homestead property as
152 changed or improved does not exceed 1,500 square feet.
153 2. The homestead property’s assessed value must be
154 increased by the just value of that portion of the changed or
155 improved homestead property which is in excess of 110 percent of
156 the square footage of the homestead property before the damage
157 or destruction or of that portion exceeding 1,500 square feet.
158 3. Homestead property damaged or destroyed by misfortune or
159 calamity which, after being changed or improved, has a square
160 footage of less than 100 percent of the homestead property’s
161 total square footage before the damage or destruction shall be
162 assessed pursuant to subsection (5).
163 4. Changes, additions, or improvements assessed pursuant to
164 this paragraph must be reassessed pursuant to subsection (1) in
165 subsequent years. This paragraph applies to changes, additions,
166 or improvements commenced within 3 years after the January 1
167 following the damage or destruction of the homestead.
168 (c) Changes, additions, or improvements that replace all or
169 a portion of real property that was damaged or destroyed by
170 misfortune or calamity shall be assessed upon substantial
171 completion as if such damage or destruction had not occurred and
172 in accordance with paragraph (b) if the owner of such property:
173 1. Was permanently residing on such property when the
174 damage or destruction occurred;
175 2. Was not entitled to receive homestead exemption on such
176 property as of January 1 of that year; and
177 3. Applies for and receives homestead exemption on such
178 property the following year.
179 (d) Changes, additions, or improvements include
180 improvements made to common areas or other improvements made to
181 property other than to the homestead property by the owner or by
182 an owner association, which improvements directly benefit the
183 homestead property. Such changes, additions, or improvements
184 shall be assessed at just value, and the just value shall be
185 apportioned among the parcels benefiting from the improvement.
186 (5) When property is destroyed or removed and not replaced,
187 the assessed value of the parcel shall be reduced by the
188 assessed value attributable to the destroyed or removed
189 property.
190 (6) Only property that receives a homestead exemption is
191 subject to this section. No portion of property that is assessed
192 solely on the basis of character or use pursuant to s. 193.461
193 or s. 193.501, or assessed pursuant to s. 193.505, is subject to
194 this section. When property is assessed under s. 193.461, s.
195 193.501, or s. 193.505 and contains a residence under the same
196 ownership, the portion of the property consisting of the
197 residence and curtilage must be assessed separately, pursuant to
198 s. 193.011, for the assessment to be subject to the limitation
199 in this section.
200 (7) If a person received a homestead exemption limited to
201 that person’s proportionate interest in real property, the
202 provisions of this section apply only to that interest.
203 (8) Property assessed under this section shall be assessed
204 at less than just value when the person who establishes a new
205 homestead has received a homestead exemption as of January 1 of
206 any of the 3 immediately preceding years. For purposes of this
207 subsection, a husband and wife who owned and both permanently
208 resided on a previous homestead are shall each be considered to
209 have received the homestead exemption even though only the
210 husband or the wife applied for the homestead exemption on the
211 previous homestead. The assessed value of the newly established
212 homestead shall be determined as provided in this subsection.
213 (a) If the just value of the new homestead as of January 1
214 is greater than or equal to the just value of the immediate
215 prior homestead as of January 1 of the year in which the
216 immediate prior homestead was abandoned, the assessed value of
217 the new homestead is shall be the just value of the new
218 homestead minus an amount equal to the lesser of $500,000 or the
219 difference between the just value and the assessed value of the
220 immediate prior homestead as of January 1 of the year in which
221 the prior homestead was abandoned. Thereafter, the homestead
222 shall be assessed as provided in this section.
223 (b) If the just value of the new homestead as of January 1
224 is less than the just value of the immediate prior homestead as
225 of January 1 of the year in which the immediate prior homestead
226 was abandoned, the assessed value of the new homestead is shall
227 be equal to the just value of the new homestead divided by the
228 just value of the immediate prior homestead and multiplied by
229 the assessed value of the immediate prior homestead. However, if
230 the difference between the just value of the new homestead and
231 the assessed value of the new homestead calculated pursuant to
232 this paragraph is greater than $500,000, the assessed value of
233 the new homestead must shall be increased so that the difference
234 between the just value and the assessed value equals $500,000.
235 Thereafter, the homestead shall be assessed as provided in this
236 section.
237 (c) If two or more persons who have each received a
238 homestead exemption as of January 1 of any of the 3 immediately
239 preceding years and who would otherwise be eligible to have a
240 new homestead property assessed under this subsection establish
241 a single new homestead, the reduction from just value is limited
242 to the higher of the difference between the just value and the
243 assessed value of either of the prior eligible homesteads as of
244 January 1 of the year in which either of the eligible prior
245 homesteads was abandoned, but may not exceed $500,000.
246 (d) If two or more persons abandon jointly owned and
247 jointly titled property that received a homestead exemption as
248 of January 1 of any of the 3 immediately preceding years, and
249 one or more such persons who were entitled to and received a
250 homestead exemption on the abandoned property establish a new
251 homestead that would otherwise be eligible for assessment under
252 this subsection, each such person establishing a new homestead
253 is entitled to a reduction from just value for the new homestead
254 equal to the just value of the prior homestead minus the
255 assessed value of the prior homestead divided by the number of
256 owners of the prior homestead who received a homestead
257 exemption, unless the title of the property contains specific
258 ownership shares, in which case the share of reduction from just
259 value shall be proportionate to the ownership share. In the case
260 of a husband and wife abandoning jointly titled property, the
261 husband and wife may designate the ownership share to be
262 attributed to each spouse by following the procedure in
263 paragraph (f). To qualify to make such a designation, the
264 husband and wife must be married on the date that the jointly
265 owned property is abandoned. In calculating the assessment
266 reduction to be transferred from a prior homestead that has an
267 assessment reduction for living quarters of parents or
268 grandparents pursuant to s. 193.703, the value calculated
269 pursuant to s. 193.703(6) must first be added back to the
270 assessed value of the prior homestead. The total reduction from
271 just value for all new homesteads established under this
272 paragraph may not exceed $500,000. There shall be no reduction
273 from just value of any new homestead unless the prior homestead
274 is reassessed at just value or is reassessed under this
275 subsection as of January 1 after the abandonment occurs.
276 (e) If one or more persons who previously owned a single
277 homestead and each received the homestead exemption qualify for
278 a new homestead where all persons who qualify for homestead
279 exemption in the new homestead also qualified for homestead