Move to end property taxes fails — for now
North Dakota voters overwhelmingly rejected a constitutional amendment that would end property taxes. But the issue is also percolating in several other states.
North Dakota decided this week not to become the first state to eliminate property taxes.
But the issue is unlikely to die. The backers of the state measure have vowed to bring it up again, and talk of eliminating property tax is stirring in several other states, too.
"No tax should have the power to leave you homeless," Jim Cox, a state representative who has filed a bill to eliminate the school property tax in Pennsylvania, told The New York Times.
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Ending property taxes has also been discussed in Texas and North Carolina.
Advocates of eliminating property taxes argue that the tax makes homeowners perpetual renters and that their homeownership is dependent on the actions of local governments. People who can't pay those taxes lose their homes. You can see the property tax rates in various states here.
The flip side, of course, is that if cities and counties no longer have property-tax revenues to run schools, libraries, police departments and other municipal services, they are going to have to find the money somewhere. The real-estate bust has left many municipalities struggling to make ends meet as tax collections have declined with property values.
"I would like to be able to know that my home, no matter what happens to my income or my life, is not going to be taken away from me because I can’t pay a tax," Susan Beehler, who advocated the end to the property tax in North Dakota, told The Times.
But, as Alison Rogers of Time's Moneyland pointed out, rising property taxes aren't the only reason a homeowner could lose a home. She writes: "This argument, of course, neglects to acknowledge that a citizen could just as easily be forced to sell his or her home to pay escalating income or sales tax bills."
What do you think? Is eliminating property taxes a good idea?
Paying in a share in the social safety net in your State. The point is, if you know what the tax is for you can accept it, justify it, or fight it. Property tax is renting a piece of land form the State; but guess what no one owns land, not really.
For some reason this site seems to think I am spam or I have a hyperlink. I don't so what's the problem.
Taxes should be charged for what they are used for- Municipals.
Delivery and disposal of trash the piping, for water and sewage handling that leads to and from the house. Paying taxes for standards to update the power grid, for electricity, gas, communication going to your home. The need for good education and training, paying for schools and education for your area. For protection, seems like extortion doesn't it? Police, fireman (not volunteers or private organizations) seems like this goes to private companies and you're still paying the same high tax
No, there should not be property taxes; it's renting from the government to allow the house you have to sit on the property. Where else is it going to go, on a pallet?
There is no real home ownership as long as there is property tax, only renting from the government.
The rich have the power to run for office where they have the power to make and pass any laws that will not affect their pockets. In my opinion I think we should have some poor people included in making and passing some laws. As usual, money talks and BS walks.
Property portion tax amendment 06 23 2012)
This my idea of what the answer to this problem should be,...... a ceiling on the tax,,,,once a city has reached the limit,,,taxes stop for homeowners that have paid up to a certain percentage of their homes value.....then whenever the city grows or needs expansions....this needs to be voted on to include more tax......if however you are a new resident in the city you should have to pay a portion of taxes until you reach a percentage that goes to equal what others have paid until a certain point ;..but the tax is low and set out for a long period of time,.....so as to be affordable....Now if you lose your jobs then the extra monies collected could be used for making up the difference until the rate of time for unemployment is over for certain individuals who have paid in a certain percentage...The only positive of property taxes is it keeps a certain levels of integrity from not just having anyone from move in....and it keeps a lot of slum lords out form buying properties........and loading them up with anyone who is unemployed.......research has shown that these types of properties drive down the property values of anyone who wants to sell their house or property...and crime rises in the area…
About Teresa Mears
Teresa Mears is a veteran journalist who has been interested in houses since her father took her to tax auctions to carry the cash at age 10. A former editor of The Miami Herald's Home & Design section, she lives in South Florida where, in addition to writing about real estate, she publishes Miami on the Cheap to help her neighbors adjust to the loss of 60% of their property value.