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Is Utah next for a cap on home tax?
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Pay your taxes, quit complaining and continue the economic turnaround by cooling, heating, furnishing and keeping up with the Joneses with your monolithic, egomaniacally-charged living space.
Presently, we have an entire auditor's staff out re-evaluating property, which in and of itself, is a waste of taxpayer money.
Letting some auditor determine the taxable value allows for largely unseen manipulation. The taxing entity can raise more money by doing this, when they should be going to the voters and saying: Here is the budget, here is the mill levy rate, and here is what we expect to collect in taxes. This way, the public knows what is happening.
Allowing an auditor to raise taxes by inflating the taxable value is an underhanded way to raise more tax money without going to the public with a budget and the associated mill levy request.
Although you may consider a $600,000 house elitist, a main point of the article is that property values are going up. That is, the same (non-elitist) house now has an elitist-looking price. The $700,000 house in San Diego is probably a dinky little thing in an average neighborhood. The thing to realize is that Utah is becoming more like California. Home prices for average homes are getting very high without the homeowners doing anything to become elitist. So you're telling average people to pay exorbitant taxes without getting anything more in return and without having any more resources to pay the tax.
You ask why anyone would pay more than $250,000 for a house. I bought my house five years ago for exactly that much. What if I had bought it today? It would cost $450k. But would anything have changed in my nature or character to make me an elitist for needing the same house now that I needed then?
On another note, I am concerned about Prop. 13's effect of making someone's property taxes skyrocket when they move. Let's say I buy a house in Salt Lake for $200,000. Then I need to relocate to Provo after owning my home ten years. I sell it for $400,000 and buy an equivalent one in Provo for $400,000. Under Prop. 13 my property taxes would double instantly while my house and my government services haven't improved at all.
I know people who live near me in Huntsville, who have lived there for 30 or 40 years in a fairly modest house, and whose taxes went up 300% in one year! How are they supposed to budget for something like that? And the taxes are due 2-3 months from when the notice comes out. It seems to me there should be a cap on how much taxes can increase. One resident of Huntsville looked up the taxes for everyone in the town and figured out that the AVERAGE tax increase was 91%. That is insane.
Proposition 13 may be extreme, but there should be caps on increases per year, and appraisals should be more uniform.
On the other hand, I am thankful that Prop 13 passed in California - that's the only reason I can still afford to live in my house in San Diego. The government tax raisers would have auctioned it off years ago to pay the all the freebies the illegals want to have and the government bureaucrats want to give them at my expense.
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Rather than a proposition 13 bill, why not just change the way the State of Utah collects taxes. By introducing a FLAT SALES TAX and eliminating income and property tax, those who have will spend and those who have lesser, will also spend, just not as much. In the end, the state will still have plenty of income to fund programs and the distribution will be more fair including those who currently pay no taxes either by fraud or status.