Property Taxes — Sebastian, Florida

A Sebastian property tax bill is not a single city tax. The Indian River County Tax Collector describes the real estate tax bill as a combined notice of ad valorem taxes and non ad-valorem assessments. Ad valorem taxes are based on the value of the land and any buildings on it, while non-ad valorem assessments are based on other factors, such as acreage or number of units. For a parcel inside Sebastian city limits, the bill mailed each November gathers the levies of several independent taxing authorities onto one page, and the Tax Collector distributes the money back to each of them.

Three offices handle the process for Sebastian parcels. The Indian River County Property Appraiser, led as of 2026 by Property Appraiser Wesley Davis, sets each parcel's value and decides exemptions. Each taxing authority, including the Sebastian City Council, sets its own millage rate at public hearings. The Tax Collector, Carole Jean Jordan as of 2026, mails the bills and collects payment. Both the Tax Collector and the Property Appraiser keep a Sebastian office at 1921 U.S. Highway 1, in the Sebastian Corners center, in addition to their main offices at 1800 27th Street in Vero Beach.

Homeownership makes these rules relevant to most Sebastian households. The U.S. Census Bureau ACS 2023 counted 25,759 residents in Sebastian, a median home value of $281,700 and an owner-occupied share of 83.5 percent of occupied housing units, so the homestead exemption and the 3 percent homestead assessment cap shape a large share of local bills.

The Tax Collector's list of ad valorem taxing authorities for Indian River County names the Board of County Commissioners (with separate lines for the General Fund, Municipal Service, Land Acquisition Bond and Emergency Services District), the Indian River County School Board, the St. John's River Water Management District, the Sebastian Inlet Tax District, the I.R. Mosquito Control District, the I.R. County Hospital District, the Florida Inland Navigation District and the City of Sebastian. The cities of Fellsmere and Vero Beach and the towns of Indian River Shores and Orchid appear on the same list, but a parcel carries only the municipal levy for the city it sits in.

Each authority sets its own rate. A millage rate, the Tax Collector explains, is the rate of tax per thousand dollars of taxable value, and the tax is the taxable value multiplied by the millage rate. Its worked example: $100,000 in taxable value with a millage rate of 5.0000 would generate $500 in taxes. The Sebastian Inlet Tax District line exists because the district that maintains Sebastian Inlet is funded partly by property owners in its area.

Recent published rates show how the pieces differ in size. The School District of Indian River County adopted an aggregate rate of 5.6740 mills for 2026-27, down from 5.7530 mills, at its final hearing on Sept. 8, 2026, according to Sebastian Daily. The Indian River County Hospital District set its rate at 74.5 cents per $1,000 of taxable value at its Sept. 18, 2025 hearing, Sebastian Daily reported. For the city itself, Sebastian Daily, describing the City of Sebastian's February 2026 tax workshops, explained that a 3.45 rate represents $3.45 in city taxes per every $1,000 of assessed valuation, with the rate set by the City Council at public hearings.

Non-ad valorem assessments are the second half of the bill. The Tax Collector's list of levying authorities includes the Sebastian Stormwater Services Assessment, the Sebastian Waste Collection Assessment, the Sebastian River Improvement District, the North County Water Assessment and the Roseland Road Street Light District. According to the Tax Collector, the City of Sebastian waste collection assessment has been included on tax bills since tax year 2024.

The Truth in Millage process is how the rates on a Sebastian bill get set. According to the Florida Department of Revenue, before adopting a budget and setting a millage rate, taxing authorities must hold public hearings and follow the statewide Truth in Millage requirements. In August, the property appraiser mails the Notice of Proposed Property Taxes, known as the TRIM notice. In Indian River County that notice comes from the Property Appraiser, and the Property Appraiser notes that owners can track market value, assessed value and homestead exemption on the annual Notice of Proposed Taxes received in August.

The Department of Revenue calendar continues from there. Owners who want to appeal a property value to the value adjustment board must file a petition with the clerk of the court within 25 days of the Notice of Proposed Property Taxes. Taxing authorities hold hearings on tentative budgets and millage rates in September and October and adopt final rates in October and November, and the tax collector sends tax bills in November. For Sebastian, that means the City Council, the Indian River County Commission, the School Board and the special districts each hold their own hearings in the same weeks.

The taxable value on a Sebastian bill is usually lower than market value. The Department of Revenue states that a homestead exemption can decrease a property's taxable value by as much as $50,000. The Indian River County Property Appraiser requires permanent Florida residency on January 1 and an application to the property appraiser by March 1, and its website noted in 2026 that applications submitted after September 6 would apply to the 2027 tax year.

Homestead also triggers the homestead assessment cap, which the Property Appraiser says is commonly known as Amendment 10. According to the Property Appraiser, effective January 1, 1994, any change from the prior year's value on a homestead will not exceed 3% or the percentage change in the Florida Consumer Price Index, whichever is lower, and the value resets to market value when the property is sold. Portability, in effect since Jan. 1, 2008, permits an owner to transfer up to $500,000 of that capped amount to a newly purchased Florida homestead within set time limits.

Non-homestead property in Sebastian, such as rentals, second homes and commercial buildings, follows a 10 percent cap that has applied since January 2008. The Indian River County Property Appraiser notes that the 10% cap does not apply under any circumstances to school related levies, so the school portion of a non-homestead bill follows market value. Sebastian Daily's September 2026 example shows the effect on a homestead: a home taxed on $300,000 and then on $309,000 would owe about $27 more in school taxes even with the lower 2026-27 school rate.

The Indian River County Tax Collector mails tax bills by November 1st each year, with early payment discounts set by Florida law: 4% if paid in November, 3% in December, 2% in January and 1% in February, with gross taxes due in March. Bills go to the owner at the address on the certified tax roll, and the Tax Collector's Sebastian Corners office at 1921 U.S. Highway 1 lists property tax among its services.

Owners can also spread the next year's taxes across four payments. Under the Tax Collector's installment plan, the first bill is due in June with a 6% discount, the second in September with 4.5%, the third in December with 3% and the final bill in March with no discount. For the 2026 tax year, the Indian River County Tax Collector accepts applications from November 1, 2026 through April 30, 2027. A separate tax deferral plan lets homestead owners who meet age and household income conditions defer some or all taxes as a lien on the property, with applications due by March 31.

Unpaid bills follow a fixed sequence. According to the Tax Collector's delinquency page, Indian River County property taxes become delinquent on April 1 of the year after the tax year, a 3% penalty is added on that date, unpaid accounts are advertised in May, and a tax certificate, which is a first lien against the real property, must be sold on or before June 1.

Statewide proposals to cut property taxes have been a local topic through 2026. In February 2026, the City of Sebastian held public workshops at City Council Chambers, 1225 Main Street, on how property taxes fund city services. At one of them, City Manager Brian Benton described a potential $4.7 million gap, about 24 percent of the general fund, if the state eliminated or drastically capped property taxes, and listed new user fees and special assessments among the possible responses, Sebastian Daily reported.

The measure on the Nov. 3, 2026 ballot is Amendment 3. According to Sebastian Daily, it would raise the homestead exemption on non-school property taxes from $50,000 to $150,000 in 2027 and to $250,000 in 2028, cut the non-homestead assessment cap from 10% to 5%, and needs 60% voter approval. Indian River County administrators estimated it could reduce county collections by about $22 million in fiscal 2027-28 and about $41 million the year after, and scheduled public forums on Oct. 9 and Oct. 14, 2026. In June 2026, Sebastian Daily reported that Indian River County fire rescue receives 79.1% of its funding from property taxes. The county stated that the estimates are not adopted service cuts.