Taxes, Real Property - As introduced, requires a local governmental entity to hold a referendum to approve a property tax increase that exceeds specified thresholds. - Amends TCA Title 48 and Title 67, Chapter 5.

HB 1873 requires Tennessee counties, cities, towns, and special taxing districts to hold a voter referendum before raising property taxes if the increase would cause total tax revenue to exceed inflation plus 2% in one year or inflation plus 6% over three years. Local governments must first secure a two-thirds vote from their governing body to call a referendum, which would be held at a regular November election, and then obtain majority voter approval for the tax hike. Exceptions include taxes for bond payments, state treasury actions, and utility rates. The law, effective July 1, 2026, aims to limit property tax increases without direct voter input.