Amendment 10
What does Amendment 10 mean to me as a taxpayer? Amendment 10 is a constitutional
revision which limits the annual increase in the value of homesteaded properties to 3% or the
National Consumer Price Index, whichever is less.
Is Amendment 10 a tax cap? No, it is a limit on the assessed value of the parcel, not the
taxes paid. The millage determined by the various taxing authorities may increase or
decrease as those taxing authorities determine their budgets.
What properties are affected? Only residential properties which have a homestead
exemption qualify.
Does a house with partial homestead qualify? Yes, but only the portion applicable under
the homestead guidelines.
Does Amendment 10 apply to homestead parcels with agricultural classification? Yes.
The residence and curtilage applicable to the homestead portion qualify.
What is curtilage? The land and structures on agricultural classified property immediately
surrounding the homesteaded residence.
What happens when I sell my property and buy a new home? If the properties are
capped, the 3% cap is removed and a new market value based on the sale and purchase is
established. If a new homestead exemption is filed, the newly established market value will
become subject to the limitations of the Amendment 10.
What happens to the value of my homesteaded property when I make additions or
improvements to the parcel? The additions or improvements are valued at market value in
the year of construction and that value is added to your capped assessment.
When certain changes in ownership between husband and wife, legal and equitable title, owner and natural dependent, and correction of errors occur; will I lose the benefits of Amendment 10? No. However, a new homestead application may be required to determine the eligibility of the related party to continue to receive the exemption.
When filing a petition to the Value Adjustment Board which value is challenged?
Assessed Value or Market Value? Market Value - this is the uncapped market value
estimate.
