LFC911
WKR
Would a sales tax help take some of the burden off of property taxes or just give more money to the govt?
Completely agree...."Tradegy of the Commons"....theme for the US unfortunatelyIf there were only buyers and sellers this might be valid, but you've got hedge fund builders and investors (a new development near me was built by BlackRock) doing things to local economies via overbuilding and densifying that negatively affect the rest of the world. Sure, my house value goes up, but not enough to even get close to incentivize me to sell because i can afford nothing else in the area.
It is yet again the Tragedy of the Commons. Apparently we can't learn...
Yup, Florida has something similar called a homestead exemption. If it is your primary residence and you are a resident, the value at purchase gets locked in for property tax purposes (-50k) and can only rise 3% max a year.There will definitely be some folks in Montana (because they bought their home 20+ years ago) that simply won't be able to pay the property taxes, maybe already is.
Not sure if there other states, but California "freezes" your appraised value at the time you purchase your home—this is what they calculate your taxes with and as along as you continue to reside in it. This only applies to residents of the state and the home has to be your primary place of abode- not your second, third home.
We had a similar initiative come up last legislative cycle and evidently it didn't have required number of signatures—I never saw sign up sheets, but would gladly have signed. Local, county and state officials and legislators were up in arms about it and vowed to fight it in the courts, which told me the people that drafted the initiative were definitely on the right track.
Would a sales tax help take some of the burden off of property taxes or just give more money to the govt?
The percentage of a person’s income that goes to sales taxes is the least for high incomes and hurts lower income families. Sales taxes are known as one of the the most regressive. Eliminating sales tax on food and basic necessities goes a long way to help.Would a sales tax help take some of the burden off of property taxes or just give more money to the govt?