1. Welcome! Please take a few seconds to create your free account to post threads, make some friends, remove a few ads while surfing and much more. ClutchFans has been bringing fans together to talk Houston Sports since 1996. Join us!

Citizens Revolting Against Increased Property Taxes

Discussion in 'BBS Hangout' started by Refman, Nov 19, 2002.

Tags:
  1. Refman

    Refman Member

    Joined:
    Mar 31, 2002
    Messages:
    13,674
    Likes Received:
    312
    http://foxnews.com/story/0,2933,70920,00.html

    NEW YORK — Financial crises in many states have led local and state legislatures to return to an easy source of revenue: increased property taxes on the nation's homeowners.

    But homeowners — and some politicians — are steaming mad and in one town, they have decided to revolt.

    Homeowners in Millburn Township, N.J., have decided they would rather secede to a neighboring county where taxes are lower than to face hikes in property taxes that could reach $3,000 per household.

    Thomas McDermott, the mayor of Millburn, said something is seriously wrong with the government's solutions when homeowners are forced to resort to this kind of measure.

    "If every town is that dissatisfied, then something's wrong with the system so you have to re-examine the system. So, I think just because we're doing it and more towns want to get on board and do it themselves, then I think that's an indictment on the way we tax people in this country," McDermott said.

    But states are having a tough time finding money. With a collective budget gap of $49 billion, the National Governors Association and the National Association of State Budget Officers reported last week that state budgets are in the worst fix in 20 years. And few revenue-raising alternatives exist.

    "Now, we've had a combo of a big decline in the economy and a big decline in the stock market. Those two factors don't usually come together, but the fact that they've come together now is a very bad hit for state revenues," said Nick Johnson of the Center on Budget and Policy Priorities.

    And while the revolt trend may be picking up momentum, city officials say property taxes pay for valuable services that would otherwise be lost without the imposition of tax increases to fill in the gap during these tough economic times.

    The New Jersey state Legislature still has to approve the move by Millburn. In the meantime, other towns are also staging revolts. In Houston, Texas, where property taxes are up 44 percent, thousands of folks are now learning how to fight their tax bill in court. One anti-tax group in Washington put together a book to help homeowners fight property taxes.

    In Maine, hundreds of protesters are rallying to demand property tax relief. And in one Atlanta suburb, homeowners angry over a nearly 70 percent property tax increase protested at city hall, where they likened the town's financial management to the now-bankrupt Enron and Worldcom corporations.
     
    #1 Refman, Nov 19, 2002
  2. Cohen

    Cohen Member

    Joined:
    Oct 1, 1999
    Messages:
    10,751
    Likes Received:
    6
    Why are taxes up 44% in Houston? Is it due to Robinhood?
     
    #2 Cohen, Nov 20, 2002
  3. robbie380

    robbie380 ლ(▀̿Ĺ̯▀̿ ̿ლ)
    Supporting Member

    Joined:
    Aug 16, 2002
    Messages:
    24,098
    Likes Received:
    11,399
    glad to see this happening. nothing like good grassroots activity when the government does stupid crap like bloomberg. and to think this guy calls himself a republican and raises taxes like a democrat would
     
    #3 robbie380, Nov 20, 2002
  4. Refman

    Refman Member

    Joined:
    Mar 31, 2002
    Messages:
    13,674
    Likes Received:
    312
    Good question. Some of it is due to the tremendous increase in property values. That is a major problem particularly in West U.

    Example: A married couple purchases a home in West U in 1965 for $25,000. They work their whole careers and retire, haveing paid off the house in 1995. Well in 2002 this 4 bedroom house is worth $400,000 to $500,000 and sometimes more. Obvious result...they can't pay the taxes. The valuation has driven up the taxes so high that their only recourse is to sell the home they worked their entire lives to own and retire in. All just to pay the taxes.

    This is an outrage IMO.
     
    #4 Refman, Nov 20, 2002
  5. Deckard

    Deckard Blade Runner
    Supporting Member

    Joined:
    Mar 28, 2002
    Messages:
    58,458
    Likes Received:
    42,664
    High property taxes... a revolting development.

    Austin's are getting out of sight. There's a TON of prime State and UT property off the tax rolls here. Home prices are the highest in Texas for a major city. There's a cap on how much property taxes can go up each year and my place always hits the limit.

    We should have a state income tax for people making over $200k a year (per person). That would be $400k per family. Say 3%. Give the people who qualify a 10% break on their property taxes. Couple that with a 10% state-wide property tax rollback and a freeze on increases for 5 years. Give teachers and state employees a 10% wage increase. Increase aid to poor families with dependent children. (our stipend in Texas is one of the lowest in the country) Juggle the numbers to make the budget balance. (we're in the middle of a budget crisis in Texas, in case anyone doesn't know) See how it works out. Yup, sounds good to me. :)

    (1, 2, 3,.... ;))
     
    #5 Deckard, Nov 20, 2002
  6. Refman

    Refman Member

    Joined:
    Mar 31, 2002
    Messages:
    13,674
    Likes Received:
    312
    Actually wouldn't it make sense to have the home value to be used in determining property tax set at purchase?

    Example: Couple in West U from my earlier example. Even in 2002, the value to be used to determine tax would be $25,000. Or we could increase it 3% a year to keep up with inflation.
     
    #6 Refman, Nov 20, 2002
  7. ROXRAN

    ROXRAN Member

    Joined:
    Oct 12, 2000
    Messages:
    19,162
    Likes Received:
    5,545
    oops...
     
    #7 ROXRAN, Nov 20, 2002
    Last edited: Nov 20, 2002
  8. ROXRAN

    ROXRAN Member

    Joined:
    Oct 12, 2000
    Messages:
    19,162
    Likes Received:
    5,545
    I hate it, my house is paid for here in Atascocita, yet I pay $306 per month on taxes (culmulatively)...It's almost like a house note...:mad: I hate it!
     
    #8 ROXRAN, Nov 20, 2002
  9. Cohen

    Cohen Member

    Joined:
    Oct 1, 1999
    Messages:
    10,751
    Likes Received:
    6
    Sounds like they are at retirement age, don't thay have some protection? I don't know how much it accounts for percentage-wise, but I think they don't have to pay school taxes, maybe more.

    They may also have caps based on the original price and annual increase rates, no?
     
    #9 Cohen, Nov 20, 2002
  10. codell

    codell Member

    Joined:
    Aug 26, 2002
    Messages:
    19,312
    Likes Received:
    716
    Its even worse when you live in a good school district and have MUD taxes.

    MUD taxes are the worst. I dont know if any of you homeowners live in a MUD district. If so you can vouch for me on this. When I buy my next house, Im finding one in a non MUD disctrict or will build one with a water well and septic tank.
     
    #10 codell, Nov 20, 2002
  11. codell

    codell Member

    Joined:
    Aug 26, 2002
    Messages:
    19,312
    Likes Received:
    716
    The elderly do have a little bit of protection. They can file whats called an "Over 65" homeowners excemption. Not sure what kind of discount that entitles them to. Also, Im not sure if this can be filed in addition to a regular homestead exemption or if it has to be one or the other.

    Maybe Refman can answer that one.
     
    #11 codell, Nov 20, 2002
  12. Pole

    Pole Lies, damn lies, stats, and peer reviewed studies
    Supporting Member

    Joined:
    Feb 15, 1999
    Messages:
    8,611
    Likes Received:
    2,792
    The over 65 exemption caps the value of the house at the time of the expemption (i'm pretty sure....my parents have it). Therefore, there are no increases after that point. Of course, it kind of encourages them to stay in that one house for the rest of their lives.

    There are yearly rate caps, but I'm pretty sure they're 10 percent, so in Refman's example of an intitial price of 25K at 37 years ago, that house could actually increase to over 800K without busting the cap. Needless to say, that isn't much protection.

    Nevertheless, the appraised for tax purposes value is almost always a little less than what you can sell the house for and property taxes on your home are deductible from your Federal income taxes. Don't get me wrong, I think I pay too much in taxes.....but homes are still a pretty darn good investment.
     
    #12 Pole, Nov 20, 2002
  13. codell

    codell Member

    Joined:
    Aug 26, 2002
    Messages:
    19,312
    Likes Received:
    716
    Right. My wife is a real estate agent and it was interesting stuff to learn first hand.

    The thing that sucks as far as exemptions goes is, it mostly applies to property and only a small amount is applied to school district taxes. Also, you receive no exemptions on MUD taxes. And thats the bad part of it. In most of the suburbs, MUD taxes are more than the property taxes. Also, school district taxes are more than property taxes. Furthermore, as far as I know, you can write off property taxes, but not MUD or school district taxes (if im wrong on this, somebody please clarify and correct me)

    As I have learned, homeowners exemptions do not save you as much as some people might think. My homeowners exemption this year only saved me only about $1,000 on all my tax bills combined.
     
    #13 codell, Nov 20, 2002
(You must log in or sign up to post here.)

Share This Page