Georgia House Passes Bill to Cap Annual Property Tax Increases

New legislation limits tax hikes to 3% or inflation rate, whichever is higher

Mar. 10, 2026 at 11:05pm

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The Georgia House has passed a bill that would cap annual property tax increases at 3% or the rate of inflation, whichever is higher. The legislation, known as HB 1116, now heads to the state Senate. The bill also allows local governments to redirect one penny of sales tax to directly offset homestead property taxes, which could eliminate property tax bills entirely for some homeowners in certain parts of the state.

Why it matters

Rapidly rising property taxes have been a major concern for many Georgia homeowners, forcing some to make difficult financial decisions. This bill aims to provide more predictability and affordability for homeowners by limiting the annual increases in property taxes.

The details

HB 1116 passed the Georgia House by a vote of 98-68 on Crossover Day, the deadline for bills to move from one chamber to the other. The legislation caps annual property tax increases at 3% or the rate of inflation, whichever is higher. Local governments could still exceed that cap, but only with voter approval or through a local act by the General Assembly. The bill also allows local governments to redirect one penny of sales tax to directly offset homestead property taxes, a move that could eliminate property tax bills entirely for some homeowners in certain parts of the state.

  • HB 1116 passed the Georgia House on March 10, 2026.
  • The bill now heads to the Georgia Senate.

The players

Shaw Blackmon

The Republican representative from Bonaire, Georgia, who sponsored HB 1116.

John Coates

A Monroe County, Georgia homeowner who supports the idea of predictable, gradual increases in property taxes.

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What they’re saying

“Obviously, one of the top calls that we're getting from constituents is regarding property tax. I think that's true all over the state, and we've been hearing that for quite some time.”

— Shaw Blackmon, State Representative

“Incremental growth or raising the taxes incrementally is OK because people can kind of handle that and they know what to expect. But when you double taxes without any concern for your constituents, that's just bad policy.”

— John Coates, Homeowner

What’s next

The bill now heads to the Georgia Senate for consideration.

The takeaway

This legislation aims to provide more predictability and affordability for Georgia homeowners by limiting the annual increases in property taxes, which have been a major concern for many residents. The bill's passage in the House represents a significant step in addressing the state's housing affordability challenges.