A new proposed Florida constitution amendment draws drawbacks from Stuart Residents.
A recent proposal has hit Florida’s state legislature and has been gaining impressive traction. This proposal includes not only the exemption of homesteads from property tax, but also excludes school district taxes. A version of this bill has already passed the Florida (FL) House and is now on its way to pass the Senate.
Too good to be true?
Many residents of Stuart, FL are hesitant about these proposed tax breaks due to concerns about where these tax breaks will cause a loss in government revenue.
As reported on by WPTV, Al Roberts, “Snowbird” resident of Stuart FL, stated, “What other things take a hit as far as police protection, infrastructure, how they’re going to pay for all that?” Residents like Roberts welcome the much appreciated tax breaks, however not when it may come at the expense of critical infrastructure.
Further, Stuart Mayor Christopher Collins is in alignment with his residents’ sentiments. Collins describes how homestead property tax revenue makes up almost 20% of the city’s tax revenue. That loss would make a major difference, most notable in the rural areas of Stuart where the local economy relies on police and fire related expenses.
Questions still remain concerning how the elimination of property taxes on homesteads will be accounted for. Many residents fear that it may lead to an increase in income or sales tax, which would affect citizens who do not have homesteads. If this is the case, businesses in FL could face stagnation, negatively impacting all of FL’s economy.
If this bill passes the Senate, safeguards should be put in place to protect residents, this responsibility would be the State’s responsibility. Mayor Collins mirrors this idea and hopes that the State covers any shortfall that the city could face if this proposal is passed by the legislature and later, receives 60% approval from FL voters.
Therefore, although almost all residents want a much needed tax break, the second order effects of this proposal may do more harm than good.
