CA SB723

Raises the maximum property tax exemption threshold for low-value properties from $10,000 to $20,000 for lien dates occurring on or after January 1, 2026, and before January 1, 2031

Applies to both real property (based on adjusted base year value) and personal property (based on full value) that county boards of supervisors may exempt when assessment and collection costs exceed potential tax revenue

Increases the new construction exemption limit from $10,000 to $20,000 for the same time period, allowing exemption only if the total property value including new construction remains at or below the threshold

Requires the State Board of Equalization to annually report to the Legislature by June 1 on the amount of assessed value exempted and the number and type of taxpayers receiving the expanded exemption

State will not reimburse local agencies for property tax revenues lost due to this expanded exemption