SB2002 amends Tennessee's property tax laws to limit tax rate increases and require public referendum for higher rates.

SB2002 amends Tennessee's property tax laws by setting a two percent limit on annual tax rate increases for counties, municipalities, and metropolitan governments. Exceptions allow for higher rates if additional revenues are needed, but require a public referendum with a 60% approval threshold. The bill also mandates that any additional revenue from new or reassessed properties be excluded from the tax rate calculation. The changes apply to tax years beginning on or after July 1, 2026.

SB2002 amends Tennessee's property tax laws to limit tax rate increases and require public referendum for higher rates.

SB2002 amends Tennessee's property tax laws by setting a two percent limit on annual tax rate increases for counties, municipalities, and metropolitan governments. Exceptions allow for higher rates if additional revenues are needed, but require a public referendum with a 60% approval threshold. The bill also mandates that any additional revenue from new or reassessed properties be excluded from the tax rate calculation. The changes apply to tax years beginning on or after July 1, 2026.