Alabama Constitution Section 214 Limitation on state property tax rate
Alabama Constitution – Section 214: Limitation on State Property Tax Rate
Text of Section 214:
“The legislature shall not have the power to levy, authorize or otherwise permit a greater rate of taxation than sixty-five one-hundredths of one percent (0.65%) of the value of the taxable property within this state as assessed for state taxation; provided, however, that to pay the debts of the state now existing and to pay any debts hereafter created by the state, the legislature may levy and collect an additional rate of taxation not to exceed thirty-five one-hundredths of one percent (0.35%).”
Summary:
Section 214 of the Alabama Constitution sets a constitutional cap on the state property tax rate:
The base limit for state property tax is 0.65% (or 6.5 mills) of the assessed value of taxable property.
The legislature may levy an additional 0.35% (or 3.5 mills) only to pay off existing or future state debts.
Therefore, the total maximum state property tax rate allowed under the Constitution is 1.0% (10 mills).
Key Points:
This limitation only applies to state-level property taxes, not to county or municipal property taxes.
Local governments in Alabama may have separate millage rates, which are not limited by this section but may be limited by other constitutional provisions or local laws.
Any attempt by the legislature to exceed this cap would likely require a constitutional amendment.
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