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Tennessee Prohibit State Property Taxes Amendment (2026)
Tennessee Prohibit State Property Taxes Amendment | |
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Election date |
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Topic Property taxes and State legislative authority |
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Status On the ballot |
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Type Legislatively referred constitutional amendment |
Origin |
The Tennessee Prohibit State Property Taxes Amendment is on the ballot in Tennessee as a legislatively referred constitutional amendment on November 3, 2026.
A "yes" vote supports amending the state constitution to prohibit the legislature from enacting taxes on property. |
A "no" vote opposes amending the state constitution to prohibit the legislature from enacting taxes on property. |
Overview
What would this amendment change about state property tax?
- See also: Text of measure
The constitutional amendment would prohibit the Tennessee General Assembly from imposing a tax on property. There is currently no state property tax in Tennessee, but the General Assembly has the authority to create one. Local and municipal governments in Tennessee have imposed various forms of property tax in their jurisdictions.[1] The amendment would not prohibit local governments from imposing a property tax, only the General Assembly. If the amendment is approved by voters, the legislature would not be able to create a property tax without first amending the state constitution again. This would require a two-thirds (66.67%) vote in two legislative sessions and majority approval by voters.
What do supporters and opponents say about the amendment?
- See also: Support and Opposition
Tennessee Stands, a political activist organization, supports the amendment. In a statement on Senate Joint Resolution 1 (SJR 1), they called the amendment a protection for property owners. The statement said that the amendment "reinforces the principle that private property rights should never be subject to excessive government taxation or the threat of confiscation."[2] State Rep. Tandy Darby (R-76), the House sponsor of the amendment, said "This amendment ensures that the state cannot impose property taxes again, putting taxpayers’ interests first and reinforcing local control."[3]
State Sen. Heidi Campbell (D-20) opposes the amendment, stating that the lack of property taxes at the state level should stay in state statute instead of creating a constitutional amendment. She also said the amendment could have unexpected consequences, saying, "[Tennessee] hasn’t taxed property for decades. If we pass this and somebody decides that this is legally applicable to that then we could lose millions in revenue, and every time we do something like that it also threatens our bond rating."[4]
Has a similar measure been on the ballot before?
- See also: Property taxes ballot measures
No similar measure has appeared on the ballot in Tennessee. However, five other states - Oklahoma, Michigan, California, North Dakota, and Ohio - have seen similar constitutional amendments introduced and placed on the ballot. Most recently, in North Dakota, an initiated constitutional amendment was on the ballot in 2024. It would have prohibited both the state and local governments from levying a tax on any real or personal property except for those designed to pay for bonded indebtedness. The ballot measure was defeated, with 63.5% of voters voting no.
Ballot measures concerning property tax regulations and exemptions are often seen at elections. During even-numbered years since 2014, there were an average of nine property tax measures on the ballot. As of August 25, 2025, nine property tax ballot measures are on the ballot in 2025 and five, other than the Tennessee measure, are on the ballot in 2026.
Text of measure
Constitutional changes
The ballot measure would amend Section 28 of Article II of the Tennessee Constitution. The following underlined text would be added and struck-through text would be deleted:[5]
Note: Hover over the text and scroll to see the full text.
In accordance with the following provisions, all property real, personal or mixed shall be subject to taxation, but the Legislature In accordance with the following provisions, all property real, personal, or mixed shall be subject to taxation, but the Legislature shall not levy, authorize, or otherwise permit any state tax upon such property, and the Legislature may except such as may be held by the State, by Counties, Cities or Towns, and used exclusively for public or corporation purposes, and such as may be held and used for purposes purely religious, charitable, scientific, literary or educational, and shall except the direct product of the soil in the hands of the producer, and his immediate vendee, and the entire amount of money deposited in an individual’s personal or family checking or savings accounts. For purposes of taxation, property shall be classified into three classes, to wit: Real Property, Tangible Personal Property and Intangible Personal Property.
Real property shall be classified into four (4) subclassifications and assessed as follows:
- (a) Public Utility Property, to be assessed at fifty-five (55%) per cent of its value;
- (b) Industrial and Commercial Property, to be assessed at forty (40%) per cent of its value;
- (c) Residential Property, to be assessed at twenty-five (25%) per cent of its value, provided that residential property containing two (2) or more rental units is hereby defined as industrial and commercial property; and
- (d) Farm Property, to be assessed at twenty-five (25%) per cent of its value. House trailers, mobile homes, and all other similar movable structures used for commercial, industrial, or residential purposes shall be assessed as Real Property as an improvement to the land where located.
The Legislature shall provide, in such a manner as it deems appropriate, tax relief to elderly low-income taxpayers through payments by the State to reimburse all or part of the taxes paid by such persons on owner-occupied residential property, but such reimbursement shall not be an obligation imposed, directly or indirectly, upon Counties, Cities, or Towns.
By general law, the Legislature may authorize the following program of tax relief:
- (a) The legislative body of any county or municipality may provide by resolution or ordinance that:
- 1. Any taxpayer who is sixty-five (65) years of age or older and who owns residential property as the taxpayer’s principal place of residence shall pay taxes on such property in an amount not to exceed the maximum amount of tax on such property imposed at the time the ordinance or resolution is adopted;
- 2. Any taxpayer who reaches the age of sixty-five (65) after the time the ordinance or resolution is adopted, who owns residential property as the taxpayer’s principal place of residence shall thereafter pay taxes on such property in an amount not to exceed the maximum amount of tax on such property imposed in the tax year in which such taxpayer reaches age sixty-five (65); and
- 3. Any taxpayer who is sixty-five (65) years of age or older who purchases residential property as the taxpayer’s principal place of residence after the taxpayer’s sixty fifth birthday shall pay taxes in an amount not to exceed the maximum amount of tax imposed on such property in the tax year in which such property is purchased.
- (b) Whenever the full market value of such property is increased as a result of improvements to such property after the time the ordinance or resolution is adopted, then the assessed value of such property shall be adjusted to include such increased value and the taxes shall also be increased proportionally with the value.
- (c) Any taxpayer or taxpayers who own residential property as their principal place of residence whose total or combined annual income, or wealth exceeds an amount to be determined by the General Assembly shall not be eligible to receive the tax relief provided in subsection (a) or (b).
The Legislature may provide tax relief to home owners totally and permanently disabled, irrespective of age, as provided herein for the elderly.
Tangible Personal Property shall be classified into three (3) subclassifications and assessed as follows:
- (a) Public Utility Property, to be assessed at fifty-five (55%) per cent of its value;
- (b) Industrial and Commercial Property, to be assessed at thirty (30%) per cent of its value; and
- (c) All other Tangible Personal Property, to be assessed at five (5%) per cent of its value; provided, however, that the Legislature shall exempt Seven Thousand Five Hundred ($7,500) Dollars worth of such Tangible Personal Property which shall cover personal household goods and furnishings, wearing apparel and other such tangible property in the hands of a taxpayer.
The Legislature shall have power to classify Intangible Personal Property into subclassifications and to establish a ratio of assessment to value in each class or subclass, and shall provide fair and equitable methods of apportionment of the value of same to this state for purposes of taxation. Banks, Insurance Companies, Loan and Investment Companies, Savings and Loan Associations, and all similar financial institutions, shall be assessed and taxed in such manner as the Legislature shall direct; provided that for the year 1973, or until such time as the Legislature may provide otherwise, the ratio of assessment to value of property presently taxed shall remain the same as provided by law for the year 1972; provided further that the taxes imposed upon such financial institutions, and paid by them, shall be in lieu of all taxes on the redeemable or cash value of all of their outstanding shares of capital stock, policies of insurance, customer savings and checking accounts, certificates of deposit, and certificates of investment, by whatever name called, including other intangible corporate property of such financial institutions.
The ratio of assessment to value of property in each class or subclass shall be equal and uniform throughout the State, the value and definition of property in each class or subclass to be ascertained in such manner as the Legislature shall direct. Each respective taxing authority shall apply the same tax rate to all property within its jurisdiction.
The Legislature shall have power to tax merchants, peddlers, and privileges, in such manner as they may from time to time direct, and the Legislature may levy a gross receipts tax on merchants and businesses in lieu of ad valorem taxes on the inventories of merchandise held by such merchants and businesses for sale or exchange. The portion of a Merchant’s Capital used in the purchase of merchandise sold by him to non-residents and sent beyond the State, shall not be taxed at a rate higher than the ad valorem tax on property. The Legislature shall have power to levy a tax upon incomes derived from stocks and bonds that are not taxed ad valorem.
Notwithstanding the authority to tax privileges or any other authority set forth in this Constitution, the Legislature shall not levy, authorize or otherwise permit any state or local tax upon payroll or earned personal income or any state or local tax measured by payroll or earned personal income; however, nothing contained herein shall be construed as prohibiting any tax in effect on January 1, 2011, or adjustment of the rate of such tax.
This amendment shall take effect on the first day of January, 1973. [6]
Full text
The full text of the ballot measure is available here.
Support
Supporters
Officials
- State Sen. Ferrell Haile (R)
- State Sen. J. Adam Lowe (R)
- State Sen. Brent Taylor (R)
- State Rep. Tandy Darby (R)
Organizations
Arguments
Opposition
Ballotpedia has not located a campaign in opposition to the ballot measure. You can share campaign information or arguments, along with source links for this information, with us at editor@ballotpedia.org.
Opponents
Officials
- State Sen. Heidi Campbell (D)
Arguments
Campaign finance
- See also: Ballot measure campaign finance, 2026
Ballotpedia has not found any campaigns that have registered in support or opposition to this ballot measure.[7] If you are aware of a committee registered to support or oppose this measure, please email editor@ballotpedia.org.
Cash Contributions | In-Kind Contributions | Total Contributions | Cash Expenditures | Total Expenditures | |
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Support | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 |
Oppose | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 |
Total | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 |
Background
Property tax in Tennessee
Tennessee first abolished a form of property tax in 1931.[8] That year, the state legislature repealed the statute that created the general fund property tax. The property tax funding the public education system remained. The Tennessee General Assembly then effectively ended all state taxation of property by passing a bill that reduced the educational property tax rate to zero in 1949.[8] This was two years after adopting the state's first general state sales tax.[9]
According to Investopedia, Tennessee has the fifth-lowest effective property tax rate in the nation, behind only Hawaii, Arizona, Alabama, and Delaware.[10]While the state legislature does not levy a property tax, counties and cities levy their own property taxes. Because of this, rates vary across the state. Gibson County has the lowest property tax rate at 0.8345% of the property's assessed value, while Shelby County has the highest at 3.39%. The city with the lowest tax rate is McMinn with 1.4168%. The city with the highest tax rate is Memphis with 6.5854%.[11]
Attempts to abolish property taxes through ballot measures in other states
Only one state, Texas, has prohibited the state government from levying a property tax. In 1982, Texas voters approved Proposition 1, a constitutional amendment which repealed the state property tax. The amendment did not repeal local and municipal property taxes.
Five other states have seen constitutional amendments introduced and placed on the ballot that would have prohibited a state property tax:
- In 1932, Oklahoma voters decided a constitutional amendment which would have prohibited state taxes on property based on its assessed value. Voters defeated the amendment with 54.03% voting no.
- Proposal 4 was on the 1936 Michigan ballot, which would have prohibited the taxation of real and personal property. Voters defeated the amendment with 72.9% voting no. In 2024, AxeMITax, Inc. filed a citizen-initiated constitutional amendment which would have prohibited taxation of real and personal property in Michigan. The organization failed to submit sufficient signatures to place the initiative on the ballot.
- In 1950, California voters decided Proposition 1. It would have prohibited all taxation of personal property by either the state local governments. Voters defeated the measure with 80.7% voting no.
- In North Dakota, Initiative Measure 4 was on the ballot in 2024. It would have prohibited both the state and local governments from levying a tax on any real or personal property, except for those designed to pay for bonded indebtedness. The ballot measure was defeated, with 63.5% of voters voting no.
- A constitutional amendment may appear on the Ohio ballot in 2025, which would prohibit the taxation of real property. As of June 2025, it had been cleared to gather signatures in support of the initiative.
Property tax ballot measures, 2025 and 2026
As of August 25, 2025, 15 ballot measures concerning property taxes are on the ballot in five states for the 2025 and 2026 election years.
2026
State | Year | Type | Title | Description |
---|---|---|---|---|
FL | 2026 | Exempt Tangible Personal Property Used for Agriculture or Agritourism from Property Taxes Amendment | Exempt agricultural-related tangible personal property, such as farm equipment or tools, from property taxes | |
GA | 2026 | Increase Acre Limit for Agriculture and Timber Conservation Use Property Tax Classification Amendment | Increase the maximum acreage of agricultural and timber property that can be classified as bona fide conservation use property, which is taxed at 40% of the land's value, from 2,000 acres to 4,000 acres | |
LA | 2026 | Allow Parishes to Exempt Business Inventory from Property Taxation Amendment | Allow parishes to exempt business inventory from property taxes | |
LA | 2026 | Raise Income Limit to $150,000 for Special Property Tax Assessment Amendment | Raise the income limit to qualify for the property tax special assessment level from $100,000 to $150,000 | |
TN | 2026 | Prohibit State Property Taxes Amendment | Prohibit the legislature from enacting taxes on property | |
WY | 2026 | Homeowner’s Primary Residence Property Tax Exemption Initiative | Create a homeowner's property tax exemption to exempt 50% of a primary residence's assessed value |
2025
State | Year | Type | Title | Description |
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LA | 2025 | Amendment 2 | Revise state constitutional provisions governing tax policy and various state funds | |
TX | 2025 | Proposition 10 | Provide a temporary homestead exemption for improvements made to residences destroyed by fire | |
TX | 2025 | Proposition 11 | Increase the property tax exemption from $10,000 to $60,000 of the market value for homesteads owned by elderly or disabled individuals | |
TX | 2025 | Proposition 13 | Increase the property tax exemption from $100,000 to $140,000 of the market value of a homestead | |
TX | 2025 | Proposition 17 | Authorize the state legislature to provide for a property tax exemption for the construction of border infrastructure on property located in a county that borders Mexico | |
TX | 2025 | Proposition 5 | Establish a property tax exemption on animal feed held by the owner of the property for retail sale | |
TX | 2025 | Proposition 7 | Establish a property tax homestead exemption on all or part of the market value of the homestead of a surviving spouse of a veteran who died from a service-connected disease | |
TX | 2025 | Proposition 8 | Prohibit the state legislature from enacting laws imposing taxes on a decedent's property or the transfer of an estate | |
TX | 2025 | Proposition 9 | Authorize the state legislature to exempt $125,000 of the market value of personal tangible property used for income production from taxes |
Constitutional amendments in Tennessee
In Tennessee, a total of 15 constitutional amendments have been placed on statewide ballots by the General Assembly between 1985 and 2024. Voters approved all 15 ballot measures.
Tennessee statewide ballot measures, 1985-2024 | |||||||
---|---|---|---|---|---|---|---|
Total number | Annual average | Annual minimum | Annual maximum | Approved | Defeated | ||
# | % | # | % | ||||
Path to the ballot
Amending the Tennessee Constitution
- See also: Amending the Tennessee Constitution
In Tennessee, the state Legislature must pass a constitutional amendment during two successive legislative sessions with an election in between. During the first legislative session, a simple majority vote is required in both legislative chambers. During the second legislative session, a two-thirds vote is required in both legislative chambers. Amendments do not require the governor's signature to be referred to the ballot. In Tennessee, amendments must be placed on general election ballots in which there is also a gubernatorial election.
The required legislative votes per session, assuming no vacancies, are listed below:
Requirements to refer constitutional amendments in Tennessee | ||||||
---|---|---|---|---|---|---|
Session | Requirement | Senate | House | |||
First | Simple majority vote | 17 | 50 | |||
Second | Two-thirds vote | 22 | 66 |
House Joint Resolution 81 (2023-2024)
State Rep. Tandy Darby (R-76) introduced the constitutional amendment as House Joint Resolution 81 on January 26, 2024. The constitutional amendment moved through the legislature between January 26, 2023 and April 8, 2024.[12]
- April 21, 2023: The Tennessee House of Representatives voted 81-11 to pass the amendment.
- March 28, 2024: The Tennessee State Senate voted 26-6 to pass the amendment.
Votes Required to Pass: 50 | |||
Yes | No | NV | |
---|---|---|---|
Total | 81 | 11 | 0 |
Total % | 88.1% | 11.9% | 0.0% |
Democratic (D) | 10 | 11 | 0 |
Republican (R) | 71 | 0 | 0 |
Votes Required to Pass: 17 | |||
Yes | No | NV | |
---|---|---|---|
Total | 26 | 6 | 0 |
Total % | 81.2% | 18.7% | 0.0% |
Democratic (D) | 0 | 6 | 0 |
Republican (R) | 26 | 0 | 0 |
Senate Joint Resolution 1 (2025-2026)
State Sen. Ferrell Haile (R-18) introduced the amendment as Senate Joint Resolution 1 on November 6, 2024. The constitutional amendment moved through the legislature between November 6, 2024 and April 21, 2025.[13]
- March 26, 2025: The Tennessee State Senate voted 26-5 to pass the amendment.
- April 21, 2025: The Tennessee House of Representatives voted 89-6 to pass the amendment.
Votes Required to Pass: 22 | |||
Yes | No | NV | |
---|---|---|---|
Total | 26 | 5 | 1 |
Total % | 81.2% | 15.6% | 3.1% |
Democratic (D) | 0 | 5 | 1 |
Republican (R) | 26 | 0 | 0 |
Votes Required to Pass: 66 | |||
Yes | No | NV | |
---|---|---|---|
Total | 89 | 6 | 0 |
Total % | 93.7% | 6.3% | 0.0% |
Democratic (D) | 17 | 6 | 0 |
Republican (R) | 72 | 0 | 0 |
How to cast a vote
- See also: Voting in Tennessee
See below to learn more about current voter registration rules, identification requirements, and poll times in Tennessee.
See also
View other measures certified for the 2026 ballot across the U.S. and in Tennessee.
Explore Tennessee's ballot measure history, including constitutional amendments.
Understand how measures are placed on the ballot and the rules that apply.
External links
Footnotes
- ↑ Fox 17, "Tennessee Senate advances amendment to ban state property tax," accessed May 9, 2025
- ↑ Tennessee Stands, "Take Action on SJR 1," accessed May 23, 2025
- ↑ Tennessee House Republican Caucus, "Rep. Elaine Davis’s Capitol Report | March 28, 2025," accessed May 23, 2025
- ↑ The Tennessee Conservative, "Initiative Permanently Banning Tennessee Statewide Property Tax Anticipated For Upcoming Legislative Session," accessed May 23, 2025
- ↑ Tennessee General Assembly, "Senate Joint Resolution 1," accessed May 9, 2025
- ↑ 6.0 6.1 Note: This text is quoted verbatim from the original source. Cite error: Invalid
<ref>
tag; name "quotedisclaimer" defined multiple times with different content - ↑ Tennessee Bureau of Ethics and Campaign Finance, "Registered Referendum Committees 2025," accessed July 21, 2025
- ↑ 8.0 8.1 The Tennessee Advisory Commission on Intergovernmental Relations, "Local Property Tax in Tennessee," accessed May 23, 2025
- ↑ Tennessee Department of Revenue, "Sales and Use Tax Guide," accessed May 23, 2025
- ↑ Investopedia, "These States Have the Lowest Property Taxes," accessed May 23, 2025
- ↑ Tennessee Comptroller of the Treasury, "2024 Tennessee Property Taxes," accessed May 23, 2025
- ↑ Tennessee General Assembly, "HJR 0081," accessed April 22, 2025
- ↑ Tennessee General Assembly, "SJR 1," accessed March 27, 2025
- ↑ LexisNexis, "Tenn. Code Ann. § 2-3-201," accessed July 15, 2025
- ↑ LexisNexis, "Tenn. Code Ann. § 2-7-127," accessed July 15, 2025
- ↑ 16.0 16.1 16.2 Tennessee Secretary of State, "Register to Vote," accessed July 15, 2025
- ↑ National Conference of State Legislatures, "Automatic Voter Registration," accessed July 15, 2025
- ↑ National Conference of State Legislatures, "Same-Day Voter Registration," accessed July 15, 2025
- ↑ Tennessee Secretary of State, "Tennessee Mail-In Application For Voter Registration," accessed July 15, 2025
- ↑ LexisNexis, “Tenn. Code Ann. § 2-2-141,” accessed July 15, 2025
- ↑ Under federal law, the national mail voter registration application (a version of which is in use in all states with voter registration systems) requires applicants to indicate that they are U.S. citizens in order to complete an application to vote in state or federal elections, but does not require voters to provide documentary proof of citizenship. According to the U.S. Department of Justice, the application "may require only the minimum amount of information necessary to prevent duplicate voter registrations and permit State officials both to determine the eligibility of the applicant to vote and to administer the voting process."
- ↑ 22.0 22.1 Tennessee Secretary of State, "What ID is required when voting?" accessed July 16, 2025
- ↑ 23.0 23.1 23.2 Tennessee Secretary of State, "Guide on ID Requirements when voting," accessed July 16, 2025