By Merrilee Glaser, The Center Square
In Summary:
The 2026 Florida legislative session begins Tuesday with major proposals aimed at reducing property taxes, reforming insurance, addressing housing affordability, and setting the state’s next budget. Several bills advancing in the House would eliminate or reduce property taxes, while lawmakers also consider changes to corporate taxes, auto insurance, and housing policy. Gov. Ron DeSantis has proposed a $117.4 billion budget that includes tax relief, pay raises for public employees, and increased funding for education.
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Property taxes, insurance reform, housing affordability, and education funding are on Florida lawmakers’ agenda as the 2026 legislative session begins Tuesday.
Four bills that eliminate or reduce property taxes have advanced through a House committee. If approved by the full legislature, they would move to an election ballot for voters to consider.
Related: Study warns proposed property tax cuts could destabilize city budgets across Florida.
The proposals include eliminating non-school property taxes for homesteads, allowing a $100,000 exemption for owners with property insurance, and increasing the maximum value of the Save-Our-Homes benefit that can be transferred to a new homestead.
Local governments have warned that the tax reductions would result in a significant loss of revenue to fund essential services. The bills under consideration seek to provide relief for homeowners while maintaining funding for police and schools.
Florida’s corporate income tax structure could be overhauled by Senate Bill 238, which would require combined reporting for businesses.
Florida Policy Institute, an Orlando-based nonprofit that supports the measure, says it would generate nearly $2.4 billion annually.
“Currently, corporations can avoid paying Florida’s corporate income tax by shifting profits off to other entities in tax havens such as Delaware, Ireland or the Cayman Islands,” the group said. “Florida should require these corporations to add together profits of all subsidiaries, regardless of their location, into one combined report.”
Property insurance could also see changes this session. Bills would eliminate sales taxes for impact-resistant windows and doors, limit annual property insurance rate increases and create an Emergency Residential Property Insurance Assistance Trust Fund to offer financial assistance to eligible homeowners with a total household income of $250,000 or less.
The state’s motor vehicle no-fault insurance law is up for debate again. The no-fault system is meant to ensure that accident-related costs are covered regardless of who is at fault. Gov. Ron DeSantis has vetoed lawmakers’ attempts to scrap the law and replace it with a fault-based one instead.
Twin bills in the House and Senate target housing costs by expanding affordable rental housing and lowering barriers to homeownership through zoning benefit requirements and tax incentives.
Lawmakers also need to nail down a state spending plan. DeSantis has proposed a $117.4 billion budget that includes $9.7 billion in tax relief for residents and businesses, a 2% pay raise for state employees, a 5% pay increase for law enforcement officers, park rangers, judges, attorneys, and IT professionals, plus $30.6 billion for the K-12 public education system.
His proposed education budget would set aside $1.56 billion for teacher pay raises and $1.71 billion for early childhood education, among other things.
The legislative session is the last regular one for DeSantis, who is term-limited.
He has scheduled a special session in April, after the regular session ends, to focus on redistricting. Florida is joining a growing list of Republican-led states looking to redraw congressional maps before the November midterm elections.
Key Points:
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Four House-backed proposals would eliminate or reduce property taxes and require voter approval if passed.
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Senate Bill 238 would overhaul Florida’s corporate income tax by requiring combined reporting, which supporters say could generate $2.4 billion annually.
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Lawmakers are considering insurance reforms targeting property insurance rates, sales taxes on impact-resistant upgrades, and homeowner assistance.
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Housing bills aim to expand affordable rental options and reduce barriers to homeownership through zoning and tax incentives.
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DeSantis’ proposed budget includes $9.7 billion in tax relief and $30.6 billion for K-12 education, with the session marking his final regular term.
