In short, beware of politicians who claim they lowered tax rates. It may not have actually lowered overall taxes.

Good or bad deal?

While paying property tax may seem painful, it is still lower in Utah than the national average. But local governments tend to make up for that with other types of taxes that are higher than average.

"Among the major types of tax — income, sales and property tax — property tax is the only one that is below the national average in Utah," says Mike Jerman, vice president of the Utah Taxpayers Association. Figures from his group show property taxes on residences rank a low 43rd among the states, and cost only about 60 percent of the national average.

However, when all types of taxes are combined, Jerman said that Utah and its local governments rank 13th highest among the 50 states — when measured as a percentage of personal income based on the most recent Census Bureau data available.

He said Utahns pay 10.67 percent of their personal income in state and local taxes, compared to a national average of 10.29 percent.

Jerman said two major reasons that overall taxes may be higher than average in Utah are that its families tend to be big — so the state must educate more children. "Education spending is the largest single expenditure of state and local taxes in Utah and any state," and Utah's large families create a bit bigger burden, he said.

Also, he said another factor behind higher overall taxes is that the federal government owns a huge share of land in Utah and pays no tax on it — but still creates need for such things as search-and-rescue and law enforcement, for which residents must pay taxes.

Jerman also said one reason property tax, at least, tends to be a bit lower is the state law that discounts the market value of residences, not businesses, by 45 percent before multiplying it by the tax rate to figure taxes.

"That is more generous than most states," he said.

---

E-mail: lee@desnews.com