Maximum increase of homestead property tax bill.

SB 340 would limit annual property tax increases for primary residences (homesteads) to a maximum of 2% each year, regardless of changes in a property's assessed value. This directly affects homeowners who live in their primary residence, preventing their annual tax bill from rising faster than 2% even if local property values increase significantly. The bill's key mechanism sets a hard cap on the year-over-year growth of tax liability, ensuring steady, predictable costs for affected homeowners. The bill is currently pending in the Tax and Fiscal Policy Committee after being introduced on January 13, 2025.