property tax; limited property value

SB 1224 amends Arizona's property tax law to clarify how limited property value (a tax protection for certain properties) is recalculated after specific changes to a property. It directly affects property owners whose properties experience qualifying events like being omitted from tax rolls, undergoing major construction (15%+ of full value), splitting/subdividing, or changing use (with exceptions for single-family homes and guest ranches). Key provisions establish that limited value must align with similar properties after these changes, with different rules for splits occurring before or after September 30 each year. The bill ensures consistent tax treatment during property modifications while preserving existing valuation protections where applicable. It became law after passing the Arizona Legislature and being signed by the governor in May 2025.