UPDATED june 2023
Florida’s New “Live Local Act” Creates New Property Tax Exemptions For Affordable Housing
The Florida legislature passed sweeping reform encouraging development of more affordable housing. One aspect of the bill is the creation of new property tax exemptions for affordable housing. The Live Local Act, which takes effect in July 2023 (but won’t apply until the 2024 tax year with regard to the tax exemptions), creates three new exemptions for affordable housing. There is a new exemption of either 75% or 100% of the assessed value, for affordable housing completed within the past 5 years, that has at least 71 units, and does not receive Federal Income Tax Credits. If tenants are at 80% AMI or below, there is a full 100% exemption. If tenants are between 80% and 120% AMI, the exemption is 75% of the assessed value. The bill also empowers cities and counties to authorize their own exemptions for lower income tenants, earning up to 60% AMI. These local exemptions can be applied to older properties with at least 50 units. The third exemption is for land owned by a non-profit that is leased for affordable housing. These exemptions provide a powerful incentive to developers and landowners to build more affordable housing units in Florida.
Julie M. Schwartz, Esq.
Rennert Vogel Mandler & Rodriguez, P.A.
American Property Tax Counsel (APTC)