It’s not quite time to vote, but I’m holding true to my word to keep my clients and friends informed on real estate issues…and this is a big one!
Proposition 1 will be on the ballot this November and you should get yourself to the poles to make sure it passes. Here are the benefits of passing the legislation:
- Increase of the homestead exemption from $15,000 to $25,000. The exemption from ad valorem taxation for public school purposes hasn’t been increased since 1997.
- Reduction of the ceiling on the total amount of ad valorem taxes for elderly or disabled persons to reflect the increased exemption amount. The Over 65 tax ceiling established when a homeowner reaches the age of 65 will be adjusted to reflect the increased homestead exemption.
- Prevent the reduction or elimination of an optional homestead exemption by a school district, municipality, or county through 2020.
- Prohibit the enactment of a real estate transfer tax.
The description of Proposition 1 on the ballot will read:
“The constitutional amendment increasing the amount of the residence homestead exemption from ad valorem taxation for public school purposes from $15,000 to $25,000, providing for a reduction of the limitation on the total amount of ad valorem taxes that may be imposed for those purposes on the homestead of an elderly or disabled person to reflect the increased exemption amount, authorizing the legislature to prohibit a political subdivision that has adopted an optional residence homestead exemption from ad valorem taxation from reducing the amount of or repealing the exemption, and prohibiting the enactment of a law that imposes a transfer tax on a transaction that conveys fee simple title to real property.”
Please give me a call if you have any questions or would like to discuss Proposition 1 in more detail (512) 413-3554.