Amendment 1 details

Trish Bredfield from Fidelity National Title’s excellent commercial business Group (phone 727 502 7857) sent me this very informative bit on the new Amendment 1 and how it applies to Commercial Property.

Assessment Cap for Non-Homestead Property
This provision limits the annual growth in assessed value of non-homestead property to 10% per year. The 10% cap will sunset after 10 years, at which time it will be presented to voters for re-authorization. This cap does not apply to school taxes, and goes into effect January 1, 2009.

The cap will use a base year of 2008, which means the cap will begin shielding properties from taxation in 2009. Residential properties of nine (9) units or less will surrender accumulated protections at change of ownership or control. For all other properties – residential properties of ten or more units and business properties – the Legislature must define by general law how the property will surrender accumulated protections at change of ownership or control.

In addition to the wealth of information available on FAR’s website, the Florida Department of Revenue has created an excellent site consisting of “Amendment 1 Implementation Information”: http://dor.myflorida.com/dor/property/sb4d.html

Tangible Personal Property Tax Exemption
The amendment also includes a $25,000 tangible personal property tax exemption. Property and business owners with less than $25,000 worth of tangible personal property will no longer have to file returns, completely removing this administrative burden.  This provision takes effect retroactively to January 1, 2008.

 

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