Council voted unanimously, 7-0, to approve a 7% homestead exemption for fiscal year 2024-25.
“The reason we are doing it now is to provide a little bit of tax relief,” Mayor Bobby Lindamood said. “We are just tip-toeing into it and we are trying it.”
Finance Director Matt Poston said the city looked at adding the homestead exemption to mitigate the impact of necessary tax increases for critical public safety equipment, which includes a new fire truck.
“We are shifting the burden away from residential and more to non-homestead and commercial property,” he said.
The details
The 7% homestead exemption is lower than several neighboring cities, according to Deputy Mayor Pro Tem Scotty Richardson. Lindamood, in a video posted on social media after the first reading of the ordinance on June 4, said the city felt like it was the right time to bring tax relief. He also said the goal was to get the city to 20% in the coming years.
On an average home valued at a little more than $804,000, the average homeowner would save $16 a year, according to Poston’s presentation. On the other side, commercial property valued at $1 million would pay an extra $168 per year in taxes, Poston said.
Zooming in
General homestead exemptions are available to taxpayers who own and reside at a property as of Jan. 1 of the year. Exemptions are also granted to people age 65 or older and homeowners with disabilities.
A full list of the types of exemptions available can be found at the Tarrant Appraisal District website.
Quote of note
Former council member George Dodson spoke against the homestead exemption.
“The cities near [that have 20% exemptions] have three, or five or 10 more commercial properties,” he said. “Easily Grapevine and Southlake have significantly more commercial. We are putting more load on non-homestead and commercial owners and I don’t like to see that happen.”
