A bill to reduce property taxes in Georgian schools and maintain state assistance.

In some school districts in Georgia, property tax rates may decrease due to a House bill that would allow districts with low property values to continue qualifying for state assistance even if property tax rates are reduced.

The chamber voted 161-12 in favor of House Bill 987 on Tuesday, sending it to the Senate for further debate. As the bill allows counties to reduce the minimum property tax rate to 10 mills from the current 14 mills, they will still be able to qualify for state equalization funds.

“This law could reduce property taxes for thousands of Georgia citizens across the state,” said Representative John Corbett, a Republican from Lake Park. This is one of several measures that Georgia lawmakers are considering this year to cut property taxes.

The chamber also wants to increase the nationwide tax exemption on housing, which would reduce tax bills for homeowners in certain counties. In turn, the Senate aims to limit future increases in property values for tax purposes.

Senators believe that such a move could, in turn, reduce future increases in property taxes. Some school districts have told voters in recent years that they cannot lower tax rates despite the rising cost of property taxes because they would lose millions in uniform funding.

According to the Georgia Department of Revenue, the total amount of property taxes increased by 41% from 2018 to 2022.

The Cannon bill will for the first time reduce the amount of uniform funds allocated to districts that fall below the 10-mill threshold. These districts will lose 25% of their uniform funds next year.