No state income tax, a homestead exemption, and an assessment cap — how they add up for new First Coast homeowners.
Florida is one of a handful of states that levies no personal state income tax at all. For a family relocating from New York, New Jersey, California, or Illinois, this alone can represent thousands of dollars a year back in your pocket — no state withholding, no state return to file.
If a First Coast home becomes your permanent, primary residence, you can file for Florida's homestead exemption, which shields a portion of your home's assessed value from property taxes. You apply through your county property appraiser's office after closing — St Johns, Flagler, and Volusia counties each handle applications locally.
Once homesteaded, Florida's Save Our Homes law caps how much your home's assessed value (for tax purposes) can increase each year — generally 3% or the rate of inflation, whichever is lower — regardless of how much your home's market value actually rises. Over time, this can create a meaningful gap between market value and taxable value for long-term owners.
Millage rates (the actual tax rate applied to assessed value) vary by county and by the specific city, school district, and special taxing districts a property sits within. St Johns, Flagler, and Volusia counties each set their own rates annually — your closing disclosure and county property appraiser's site will show the exact number for a specific address.
Beyond no income tax, Florida also has no state-level estate or inheritance tax, which matters for retirees and families thinking about long-term wealth planning as part of a relocation decision.
Talk to a local expert about what a move to the First Coast means for your specific situation.