Posted on 02/04/2010 9:08:27 PM PST by Dubya
Special to the star-Telegram
If you're a homeowner in Texas, hopefully you've already paid your property taxes. Miss today's deadline, and what was already a hefty and growing tax bill will become even larger.
The Texas Legislature and our last two governors have acted in good faith to reduce property taxes, but the combination of rising property valuations and local government excesses has caused property taxes to continue their surge. So what can our state do to relieve this burden?
Last spring, the Texas Public Policy Foundation asked Arduin, Laffer & Moore Econometrics, LLC, to answer this question, "How can Texas eliminate the burden of property taxes and still meet the needs of Texans?" Their answer: a broad-based sales tax.
(Excerpt) Read more at star-telegram.com ...
BTW, what is Heflin doing now days since his little Helfin helped get him kicked out of office?
Your property taxes are lower than most other states. When we lived in Granbury, we had 7 acres with a 3300 sq ft house and paid $3600 in property taxes in 1997. We moved to Illinois , bought a 2500 sq ft house on 5 acres and paid $4900 in 1998. That same place now has $8500 in taxes.
You guys have it good down there, and I’m seriously considering moving back.
STOP SPENDING OUR MONEY ON BULLCRAP FIRST!
Not anymore.
From the above article:
“The major culprit in this increasing tax burden in Texas is the property tax. While the state imposes no property taxes, local property taxes have increased rapidly in recent decades, and are now among the highest in the nation. Property taxes are 3.53 per cent of personal income in Texas, ranking the state as the 12th highest in the nation.[vii] Property taxes are 1.82 percent of home values in Texas, ranking the state as the second highest in the nation.[viii] This means that Texas citizens could reduce their property tax burden by moving to any other state in the nation, except Wisconsin.
Property taxes in Texas are now about fifty percent above that for neighboring states and for the nation as a whole. Property taxes as a share of personal income are almost 90 percent above that for neighboring states.”
Done thank you.
There is nothing said about reducing taxes, just changing the way you pay them. They know you see your property tax as a lump sum and the sales tax as little bites that you never add up. So, how will paying $2500+ in sales tax on the new car work for you. Or how about $100 plus on the new TV. Sales tax is the preferred method for bleeding people dry.
It’s not all in Austin. Perry ave us a substantial cut in property tax. And that is one of the reasons I still support him. BUT,it didn’t take but a couple of years and greedy local districts had the tax right back up where it was and more through increased property valuations and increased rates per $100 of value There is a maximum cap on the rate, and nearly all the districts run at that, and then increase evaluations. I say get rid of govt. funded public schools altogether, but I probably won’t ever see that happen.
Actually, it was in ‘06/’07. The legislature dropped the max from $1.50/$100,000 to $1 - there were loop holes, so that the local districts could raise some money - Edgewood now has a de facto rate of just under $1.50, again.
In addition, as Heflin notes, the valuations went up.
The problem with the sales tax idea is that we don’t have a way of keeping those taxes in the district. Our sales taxes go to Austin, some portion comes back after a while, and after a fee is removed by the State for “handling.” Of course, the businesses that collect that tax from the consumers don’t get to assess a fee for their work.
What guarantee do we have that more of the money will stay in Austin? “Robin Hood” for schools, health, roads, etc., will be awfully tempting for Dallas, Houston, San Antonio, and El Paso reps and Senators.
You say that like the professional is getting away with something. It is you the consumer who would be paying the tax. The question becomes why should you be able to acquire some services without paying tax while others you have to pay tax. You want to pay tax on everything.
She’s for local collection, send it to Austin and see what comes back. And doesn’t seem to understand that the Legislature sets budgets and tax rates.
What will be the cost to the first time house buyer? Or the seller?
Will there be new class warfare waged - just as there has been for all the senior discounts over the last few years?
How are you going to satisfy the “progressive” vs. “regressive” tax proponents? Give some sort of rebate to some families?
She’s for local collection, send it to Austin and see what comes back. And doesn’t seem to understand that the Legislature sets budgets and tax rates.
What will be the cost to the first time house buyer? Or the seller?
Will there be new class warfare waged - just as there has been for all the senior discounts over the last few years?
How are you going to satisfy the “progressive” vs. “regressive” tax proponents? Give some sort of rebate to some families?
And watch your total tax burden skyrocket because wherever you move you will have state and city income taxes. The only thing that really matters is the total tax burden when you combine income, property, sales, excise and other taxes. Very few states have a lower total tax burden than Texas.
0% state. All property taxes are city/county/school district (with some special taxes for community colleges, hospitals, etc.) And yes, they're rather high, running between 2% and 3% in most places.
but the combination of rising property valuations and local government excesses has caused property taxes to continue their surge.
-—local government excesses——
Here in lies the problem. The locals especially school districts in some areas have gone wild with spending. So how do you cover those cost with a property tax? It seems to me it would take a major restructing of the state statutes and changes in the laws from the top down to get rid of the property taxes.
Now that said an all pay system such as a sale tax isn’t that bad as it gets anyone who spends a dime in the state to pay a portion of the taxes collected whether they are a resident, visitor, illegal, or what. But until you get majority of the people, local and state gov’t to buy into the process it’s a pipe dream. Medina isn’t a Queen to issue edicts anymore than the next person.
I like what Medina says, but I’m kinda “on the fence”about supporting her. She states things, and that is one of them that she can’t possibly do without getting revenue some other way. No one in Texas would like a 12.5% sales tax.
BUT, again, folks, maybe the 12.5% sales tax would at least make the illegals that own no property, and the welfare crowd pay up a little bit. There would be 12.5% on that 40 oz. and that pack of Kool as well.Just thinkin’
That is exactly why I am for a sales tax and not property tax. Everyone pays with a sales tax!
Here is how you can tell if your local politicians are screwing you on your propety taxes.
Focus on the constant yield tax rate.
This tell citizens and politicians how much the tax rate needs to be to bring in the same abount of revenue.
So, when assessments increase (some are still picking up gradually from the housing boom due to being gradually taken up)...it is possible for property tax rates to be cut and still hit the revenue needed.
Just like Nationally, the problem is a SPENDING PROBLEM.
The state doesn’t collect property taxes...city, county, schools.
The trouble is, if you don’t pay your property tax, they take your house. If you loose income, it is easier to cut back on expenses and be able to stay in your house. Property rights should come first.
It’s really about regaining control of government!
There was a time - not so long ago really - when one had to show proof of property ownership in order to vote in Texas. Property taxes were an equitable system at that time because the same folks who did the electing got the bills for what those they elected did. That changed when a federal judge somewhere rightly said that you may not exclude people from voting simply because they do not own property and the poll tax was eliminated but the taxing system remained the same so that now everyone gets to vote but property owners still get the bills! Not an equitable system at all and one which rewards bad behavior on the part of elected officials which otherwise would not be tolerated.
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