Tennessee Senate approves constitutional amendment to bar state property tax; heads to ballot

The Tennessee Senate voted to send a proposed constitutional amendment to the ballot that would prohibit the state from levying a property tax.

Senate Joint Resolution 1, sponsored by Senator Shane Hale, passed on third and final reading by a vote of 26-5. The resolution would amend Article II, Section 28 of the Constitution of the State of Tennessee to add language that "the legislature shall not levy, authorize, or otherwise permit any state tax upon such property," and, if adopted by the legislature, would be submitted to voters at the next gubernatorial general election.

The amendment’s sponsor, Senator Shane Hale, presented the resolution for final reading and asked the clerk to read the full text before debate. The proposal would formally prevent the state from imposing a property tax while leaving local property taxation authority in place.

Opponents, including Senator Raumesh Yarbrough, argued that embedding such a restriction in the state constitution would remove the legislature’s long‑term fiscal flexibility and could harm Tennessee’s creditworthiness. "This is a bad idea," Yarbrough said on the floor, adding that the proposal "locks in policy decisions or handcuffs unnecessarily" and could limit options during war or economic crisis. Senator Charlane Oliver warned the measure would further erode the state’s revenue-raising capacity, citing past changes to state taxes and recent tax exemptions that, she said, had reduced state revenue.

Supporters said the measure properly puts the question to voters. Senator Lowell Lowe, a cosponsor, said Tennesseans should decide the issue through referendum, citing the state’s past decision against an income tax. Senator Page Taylor called property tax "the most egregious tax" and said voters should decide whether they want a state property tax.

Members asked procedural and legal questions on the floor. Leader Ackbary pressed the sponsor about remedies if the state faces a fiscal emergency; Senator Hale replied the state could consider reducing funds it currently provides to counties if necessary, and stressed that the resolution seeks to let voters decide the question in 2026.

The clerk recorded the vote after debate: Ayes 26, Nays 5. The clerk then confirmed the resolution had been properly read and would be placed on the ballot in accordance with Article XI, Section 3 of the Tennessee Constitution.

If approved by voters, the amendment would change the constitution’s tax language; the resolution text as read cites Article II, Section 28 and Article XI, Section 3 of the Constitution of the State of Tennessee.

Votes at a glance: Senate Joint Resolution 1 — Vote: Aye 26, Nay 5; outcome: passed (sent to ballot).