Homestead Property Tax Credit...what a ripoff

[Terry1040]

In Nebraska we also have a Homestead property tax credit. For people over 65, with NO real income up to 100% of the property Tax is credited off, but must be applied for each year. If their income is high enough, they get 0 % relief. Also most of our property taxes goes to schools. We can vote & vote and vote again & the taxes just go up ! Government has no desire to control their spending. Yes, taxes are out of line, not only on homes, but all real estate in Nebraska, including farms. RE taxes in Wyoming & Colorado are about 1/3 of Nebraska, and we are a few miles from Colorado & Wyoming.

 

[TractorGuy]

Reading some of this makes me feel a little better about our taxes. We get a 2 tier homestead exemption and it's available to all home owners for their primary residence. No age or income requirement. It's 25,000 off the assessed value on the school tax and 50K off the assessed value on the lesser taxes. Where my county has started screwing us is by tacking on fees for services we used to get wrapped in our property tax. Several years back they tacked on a Fire Services Fee and in the past couple of years they keep going up on the waste management and storm water fees. Mind you the waste management fee is not in lieu of garbage service. You either have to have a contract with an independent of their choosing or you can carry your garbage to the rural waste collection center for another fee. I'm paying about $1100 on a 1200 sq ft house and 7 acres. I got 5 acres zoned agricultural which saved a lot.

We also don't have state income tax but I pay about $250 a year for license plates on 4 vehicles and the sales tax is 7.5%. 1.5% of that is also county. Oh and our county raised their portion of gas tax to 12 cents a gallon. Not sure what the state charges on that.

There are so **** many different taxes we have no idea how much we are paying these days.

 

[gwstang]

Arrgghh, spell check busted me! :ashamed: Well, I was the spelling champion in the 5th grade .... lol. No art school, Cow College over in east Alabama. We got whooped bad by Bama this weekend.:thumbdown: Now I feel like Jethro Bodine, I dun gradeated 6th grade. Thanks. :confused2:

 

[wngsprd]

It's been eye-opening to read about all of the taxes and fees assessed in some locales.

I'm sure we have some taxes that others don't, but on real estate, it is a simple 81 cents per $100 of assessed value in my county...so $810 on a $100K house...that covers schools, fire, sheriffs, waste, etc. Seniors, disabled vets, and others totally disabled may qualify for discounts or total tax relief.

 

[Gunny]

I don't get too excited over the simple property tax, it's all the add ons that irk me

Here, the school, library and health districts can impose a 5% increase on their respective taxes without a vote, they don't even have to announce a public meeting over it. (School now accounts for about 62% of my total tax bill)
Now the county Extension Board has gotten into the act and from this year on, we'll have that little bit more added to the tax bill

What about towns and cities imposing a tax on your insurance policies, yep, we got them too (You know the insurance company is eating that and not passing it along to you in the premiums)

The town also gets a cut when you pay your vehicle taxes, they also get a bit of telephone and utility bills

 

[Fossil Farm]

If you don't like the tax structure, everyone could go to a usage fee system. You only pay the doctor or dentist when you make an appointment, or pay the tow truck when you call.

- All roads would be toll roads. Only pay for those you travel on.

- Only pay police, fire or EMS when you call. Credit cards accepted.

- Pay the parks or library, or schools when you use one of their services.

- Only pay for restaurant health inspections when you get sick from e. coli or mouse droppings.

- Only pay weights and measures when you get shorted on a gallon of gas or get charged for 2 pounds of lunchmeat when you bought only 1 pound.

- Only pay the military when your property is invaded or bombed.

Maybe that would even things out. :confused2:

 

[von-mil]

retiredguy sounds a lot like someone else that used to hang out here from Michigan.

If any of his posts get deleted, we will know for sure.

 

[ultrarunner]

If you don't like the tax structure, everyone could go to a usage fee system. You only pay the doctor or dentist when you make an appointment, or pay the tow truck when you call.

- All roads would be toll roads. Only pay for those you travel on.

- Only pay police, fire or EMS when you call. Credit cards accepted.

- Pay the parks or library, or schools when you use one of their services.

- Only pay for restaurant health inspections when you get sick from e. coli or mouse droppings.

- Only pay weights and measures when you get shorted on a gallon of gas or get charged for 2 pounds of lunchmeat when you bought only 1 pound.

- Only pay the military when your property is invaded or bombed.

Maybe that would even things out. :confused2:

After college I worked for a time in Austria and had the opportunity to appreciate their tax system... property tax is low compared to California standards... no one ever sell a home or farm because property taxes are too much... some property has stayed in families for hundreds of years...

The way it works there is property tax covers essentials like police, fire and road maintainece like snow plows in winter.

Income Tax is about the same as California...

To offset low property tax they have very high sales tax which also helps to keep imports in check...

The thing is Income and Sales tax require active participation on the person being taxes...

Property Tax just happens... almost like shooting fish in a barrel... no specific action is required by the person being taxes and it stop it... one must also get rid of the property...

If I don't want to pay Sales Tax... do without and/or keep purchases to a minimum...

 

[westcliffe01]

I fully agree with the OP. Property Taxes here in SE MI are a joke. I think it is a big factor in why our property values which have been in the toilet since about 2006 do not want to recover. I paid $203k for my house in 2006 and could not sell it for $160k, I know since several surrounding houses have sold, all for lower than that. The monthly property tax bill is about 60% of the value of the mortgage payment and would be more if I had a better interest rate.

In business we have to have compliance training annually on how illegal it is do to price fixing and other competition busting crimes. Yet it is perfectly legal for the county clerks to get together from around the state and strategize on how to arrive at "uniform millage schemes", precisely to disincentivize strategic relocation.

I for sure am cutting my losses and getting out of Dodge after this legal rape for the last 10 years. Especially when one considers that actual services have been cut back every year (snow plowing, road repairs, roadside litter cleanup etc), yet it costs me more every year.

There are still places where taxes are lower and usually the first thing you will recognise about them is the modesty of public institutions like school buildings and facilities, county offices, public employee payroll, and most of the time, the absence of a local college with their crony capitalism. There are counties in Colorado where the annual taxes on a similar property is between 10% and 25% of what I currently pay with no difference in the services which I would receive.

 

[Retiredguy2]

I fully agree with the OP. Property Taxes here in SE MI are a joke. I think it is a big factor in why our property values which have been in the toilet since about 2006 do not want to recover. I paid $203k for my house in 2006 and could not sell it for $160k, I know since several surrounding houses have sold, all for lower than that. The monthly property tax bill is about 60% of the value of the mortgage payment and would be more if I had a better interest rate.

In business we have to have compliance training annually on how illegal it is do to price fixing and other competition busting crimes. Yet it is perfectly legal for the county clerks to get together from around the state and strategize on how to arrive at "uniform millage schemes", precisely to disincentivize strategic relocation.

I for sure am cutting my losses and getting out of Dodge after this legal rape for the last 10 years. Especially when one considers that actual services have been cut back every year (snow plowing, road repairs, roadside litter cleanup etc), yet it costs me more every year.

There are still places where taxes are lower and usually the first thing you will recognise about them is the modesty of public institutions like school buildings and facilities, county offices, public employee payroll, and most of the time, the absence of a local college with their crony capitalism. There are counties in Colorado where the annual taxes on a similar property is between 10% and 25% of what I currently pay with no difference in the services which I would receive.

Well stated and I thank you for your contribution to this thread. BTW I currently pay nearly $4,000 in property taxes per year on a $115,300.00 assessed value...and that is a figure that went up $7,900 for this calendar year for no real reason. The real estate market locally has been dead for nearly a decade, yet they raise my assessment nearly 8 grand for this year? And don't anybody tell me to appeal, sales around here are so flat it is impossible to find comparables with which to appeal. Oh, and they call my assessment change "Market adjustment"...what a farce.