- Published on Thursday, 23 July 2015 10:26
Senate Bill 1 is effective as of January 1, 2015, subject to final approval of the constitutional amendment proposed by Senate Joint Resolution 1 by the voters in November 2015. The homestead exemption mandated for school districts is increasing from $15,000 to $25,000. The net effect of the higher exemption amount is the lowering of school taxes in the range of -$135 to -$160 for 2015, compared to what the 2015 taxes would have been without the increase to the exemption. What many homeowners will see is “less of an increase”, not a reduction compared to what they paid last year. This is dependent on two factors, how much the appraised value of their home increased for 2015 and the final tax rate adopted by the school district. The exception to this would be those qualified for a 65&over or Disabled Person homestead, with a tax limitation (freeze ceiling in place), since their 2015 “frozen tax” will be based on a formula using the 2014 “frozen tax”, less the tax savings caused by the increased exemption amount.