Relating to Property Tax; amending the cap on the assessed value of real property

HB 475 changes Alabama's property tax assessment cap from a fixed 7% annual increase to a cap tied to the Consumer Price Index (CPI) for inflation. This affects homeowners and property owners with Class II and III properties (typically residential and commercial) by linking annual tax assessment increases to actual inflation rates instead of a flat percentage. Key provisions include applying the CPI-based cap starting October 1, 2024, while exempting new construction, property transfers between family members, and property in tax increment districts. The bill retroactively applies to assessments beginning October 1, 2024, and will remain in effect through the 2027 fiscal year.