ATLANTA – A growing ambition among anti-tax advocates is to completely abolish property taxes for homeowners.

As property values surge, tax bills have swollen in numerous states. Although the idea of eliminating homeowner taxes is gaining traction, it presents a financial challenge, potentially costing states billions. This raises concerns about the potential impact on schools and local governments that depend heavily on these funds for essential services.

North Dakota officials claim they’re progressing toward this goal, leveraging state oil revenues. Meanwhile, Georgia House Republicans have introduced a detailed plan to gradually eliminate property taxes for homeowners by 2032. In Florida, Governor Ron DeSantis, a Republican, is pushing for a similar initiative, aiming to phase out non-school-related property taxes over a decade. Texas Governor Greg Abbott also shares this vision, expressing a desire to remove school-related property taxes.

Many Republicans resonate with the sentiment that taxation undermines true ownership, especially when unpaid taxes could lead to home forfeiture.

Georgia House Speaker Jon Burns, a Republican from Newington, voiced this perspective, stating, “No one should ever lose their home because they can’t afford to pay what feels like government-imposed rent.”

An election-year tax revolt

These audacious election-year efforts could be joined by ballot initiatives in Oklahoma and Ohio to eliminate all property taxes. Such initiatives were defeated in North Dakota in 2024 and failed to make the ballot in Nebraska that year, although organizers there are trying again. Another initiative in Michigan may also fail to make the ballot.

“We’re very much in this property tax revolt era, which is not unique, it’s not it’s not new. We’ve seen these revolts in the past,” said Manish Bhatt, vice president of state tax policy at the Tax Foundation, a Washington D.C., group that is generally skeptical of new taxes.

Previous backlashes led to laws like California’s Proposition 13, a 1978 initiative that limited property tax rates and how much local governments could increase property valuations for tax purposes.

The efforts are aimed at voters like Tim Hodnett, a 65-year-old retiree in suburban Atlanta’s Lawrenceville. Hodnett’s annual property tax bill rose from $2,000 to $3,000 between 2018 and 2024. He sees those figures starkly because he paid off his mortgage years ago, and he pays his taxes all at once, instead of making monthly payments.

Hodnett said he is disabled and living on $30,000 a year. He is about to get a big property tax break, because seniors in Gwinnett County are exempt from school property taxes, about two thirds of his bill. But he would love to not pay that other $1,000 too.

“It would be nice to be exempt from property taxes,” Hodnett said.

Will there be replacement revenue?

The question is whether local governments and K-12 schools should be expected to cut spending, or whether they will be allowed to make up revenue from some other source.

“I think the complete elimination of the property tax for homeowners is really going to be very difficult in most states and localities around the country, and undesirable in most places,” said Adam Langley, of Lincoln Institute of Land Policy, a Massachusetts nonprofit that studies land use and taxation.

Florida Chief Financial Officer Blaise Ingoglia, a Republican, has been touring the state arguing that local governments are overspending, trying to show they don’t need the $19 billion in property taxes they collect from homeowners, meaning the house is their primary residence. Local governments have been disputing those figures.

North Dakota, by contrast, is using earnings from the state’s $13.4 billion oil tax savings account to gradually wipe out homeowner property taxes. Last year, North Dakota’s Republican-controlled Legislature expanded its primary residence tax credit from $500 to $1,600 a year. Officials in December said the tax credit wiped out property taxes for 50,000 households last year and reduced bills for nearly 100,000 more. That cost $400 million in state subsidies for the 2025 and 2026 tax years.

“It works, and we know we can build on it to provide even more relief and get property taxes to zero for the vast majority of North Dakota homeowners,” Republican Gov. Kelly Armstrong said.

The situation is murkier in Texas, which has been using state surplus funds to finance property tax reductions, and under the Georgia proposal, which calls for shifting taxes around.

A shift from property to sales taxes

Burns wants Georgia to wipe out $5.2 billion in homeowner property taxes — more than a quarter of the $19.9 billion in property taxes collected in 2024, telling cities, counties and school districts to fall back on current or new sales taxes.

Not only will Burns’ plan need the Republican-led Senate to agree, but it will require Democratic support to meet the two-thirds hurdle for a state constitutional amendment and then voter approval in November.

While most property taxes go to schools, the majority of sales taxes don’t in some communities. It is unclear if localities would redivide sales taxes. Also, local governments and schools would remain limited to a combined 5% sales tax rate, atop the state’s 4% rate. Some schools and governments might not be able to raise sales taxes enough to recover lost revenue.

Georgia would go from currently shielding $5,000 in home value from taxation to $150,000 in 2031 before abolishing most homeowner property taxes in 2032. The plan would limit yearly property tax revenue growth to 3% on other kinds of property.

Local governments would able to send homeowners a yearly bill for specified services such as garbage pickup, street lighting, stormwater control and fire protection, but lawmakers aren’t calling that a tax. Voters could also approve assessments for government or school improvements. Authors said they haven’t yet decided if property owners could lose homes for unpaid assessments.

Burns also wants to spend about $1 billion to cut property tax bills in 2026, but it is unclear whether Republican Gov. Brian Kemp will agree. A spokesperson declined comment.

Georgia previously tried to limit how much home values could rise for tax purposes, one common approach nationwide. But a majority of school districts and many other local governments have opted out. Georgia’s senators are still pursuing that approach, with a Senate committee on Wednesday scheduled to vote on making the limit mandatory.

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Associated Press writer Jack Dura in Bismarck, North Dakota, contributed.