Florida Property Tax

Calculating Property Taxes in Florida

Florida property tax is calculated by multiplying a property’s assessed value by the local tax rate, also known as the “millage rate.” The millage rate is the tax payable per dollar of assessed value, expressed as 10% of a cent, or $1 per $1,000 of assessed value.

Property tax calculation: The formula for calculating Florida property tax is:

Property tax = (Assessed value / 1,000) × Millage rate

Local tax authorities assess all properties in their jurisdiction on January 1 each year, meaning market value, recent neighborhood sales, and property improvements can all affect your annual property tax bill.

Florida offers a homestead exemption that allows homeowners to deduct up to $50,000 from the assessed value of their primary or permanent residence. However, rental properties do not qualify for this exemption.

New and recent laws: The recent “Save Our Homes” amendment limits annual increases in property assessments for homesteaded properties to 3% or the Consumer Price Index, whichever is lower.

National comparison: Florida’s property tax rate is roughly in the middle of national averages, higher than Georgia’s but lower than Oklahoma’s.

County/Municipality-Specific Rates

Property tax rates can fluctuate quite a bit from county to county, depending on the services offered in each community and the local demographic makeup.

Miami-Dade County: Due to its extensive public services and programs, Miami-Dade County has one of the highest property tax rates in the country, with an average rate of around 1.02%.

Broward County: Also on the higher side, Broward County homeowners can expect to pay around 1.08% in property taxes.

Palm Beach County: Palm Beach County offers residents a wide array of public services and charges around 1.02% in property taxes.

Union County: A small county in northern Florida, Union County has one of the lowest property tax rates in the state, at about 0.68%.

Orange County: Home to Orlando, Orange County’s tax rate is about 0.94%, which is around the Florida average.

Reassessments and Increases

Reassessment frequency: Property taxes are reassessed annually, after a sale or title transfer, or following significant renovations.

Renovations and improvements: Major renovations or improvements can substantially increase a property’s value and trigger a reassessment of its taxable value. Additions like building a garage, adding an accessory dwelling unit, or making significant structural changes, such as adding a new floor, can lead to higher reassessments and increased property taxes.

Reassessment impact: Reassessments can absolutely affect the amount you owe in property taxes since improvements raise the home’s value. Always factor in the potential for higher property taxes when deciding whether to move forward with a serious improvement.

Reducing Taxes and Exemptions

Once you receive your property tax bill for the year, the cost might not necessarily be set in stone. Some ways to reduce your tax burden include:

Appeals: Florida taxpayers have the right to appeal the property appraiser’s assessment by petitioning the county value adjustment board (VAB). The specific date and process for filing an appeal vary by county. Typically, you must file by September or within 25 days of receiving the county’s Notice of Proposed Property Taxes.

Aside from appealing proposed property taxes, Florida homeowners also have several possible exemptions available, including:

Senior citizen: If you’re over 65 and meet certain income restrictions, you can apply through your county’s property appraiser’s office for an additional $50,000 homestead exemption off the assessed value of your home.

Disabled veteran: Veterans with a permanent, service-connected disability, as well as their spouses, may qualify for an extra homestead exemption after age 65. The exemption matches the percentage of the veteran’s disability, as determined by the Department of Veterans Affairs.

Gold Star spouse: Spouses of veterans killed while serving in the military may also be eligible for an additional homestead exemption and should apply with the county to determine eligibility.

Organization-specific: Florida offers property tax exemptions to schools, churches, hospitals, nonprofits, and some science agencies. These exemptions can vary, so check with your county’s tax assessor’s office to determine your eligibility.

Property Tax Deductions

Tax deductions: Property taxes paid on rental properties are typically deductible from rental income, reducing landlords’ overall taxable income. When combined with other rental property tax deductions, such as insurance premiums, depreciation, and maintenance expenses, landlords have options to reduce their tax burden significantly.

Forms: Taxpayers should report deductions from rental income on Schedule E, which details the rental income and expenses.

How Often You Pay Taxes

Payment frequency: Property taxes in Florida must be paid annually as a single payment, but state law allows homeowners to make up to five partial payments between November 1st and March 31st. Discounts are available for early payment.

Due dates: Property taxes are due on November 1st each year, and owners must pay them on or before March 31st. The bill becomes delinquent if not paid by April 1st.

Late payments: Starting April 1st, if you have a remaining balance, a 3% delinquency interest fee will be added to the total bill.

How to pay: Florida property taxes can be paid online by e-check (with no fee), credit or debit card, mail, at the tax collector’s office, or some banks, depending on the county.

What do property taxes pay for in Florida?

Property taxes directly fund important community projects and services in Florida and provide much-needed support for state and local agencies.

Education: Florida property taxes help maintain schools, pay teacher and staff salaries, and support general educational resources.

Public safety: Property tax dollars fund many public interest services, including local fire and police departments, emergency medical services, and initiatives for hurricane preparedness and response.

Infrastructure: Infrastructure is critical to a functional community. Property taxes fund the maintenance and improvement of bridges, roads, water systems, public transportation, and coastal management in a state bordered by water on three sides.

Government services: Property taxes also fund local administrative services, libraries, parks and recreation facilities, waste management, environmental conservation efforts, and tourism-related services to support Florida’s large influx of visitors each year.

Resources and Contacts

• Florida landlord-tenant laws
• Tampa Housing Authority
• Orlando Housing Authority
• Palm Beach County Housing Authority
• Florida Fair Housing Legal Services
• Broward County Housing Rights Services
• Florida Apartment Association
• Florida Landlord Network
• Orange County Eviction Court
• Palm Beach Eviction Court
• Seminole County Eviction Court