When will the State of Texas enact some kind of property tax relief? (Austin: rent, mortgage)

[Seguinite]

Originally Posted by Dopo

I used to live by a house with a few acres with miniature donkeys on it
I always wondered what was the deal with that

Well, by doing that, they get an agricultural tax exemption

Well, it's not quite that simple.

[WRM20]

Originally Posted by Obrienlester

Ya, except for people like me who have alot of dividend assets. Ya, I don't need the State to start taxing my dividend income from the already 15% from the Gov.


NOPE!

The State could exempt dividend income, like many states do. There are many ways this could work to ensure total tax take stays the same, while decreasing taxes for folks who get laid off, retire, or have their income drop for some reason. I'll use my Dad as an example. He took an early retirement package at age 57, and had no wage income after that. He still paid the same amount of tax as before he retired, even though he had no money coming in for several years, as he and my Mom lived off of savings until he could take penalty free IRA withdrawals.

Originally Posted by Rakin

"Let's not take $2 from the People from Property Taxes".

"Let's take $2 from the people for Income taxes".

No thanks. Everyone 100% who lives in TX be they a Home owner, a Land owner, Commercial owner or a Renter pays property taxes. A renter pays it in his rent.

Only maybe 55% of the people pay income taxes. Business's get too many deductions based on Income Taxes. Amazon / Walmart / Kroger / ATT pays a lot of property taxes on those buildings. They would probably pay a whole lot less in Income Tax.

So let's jack up the Income Tax on the 55% who actually pay.

Sounds like CA and NY.

Businesses do not get too many deductions on income tax, unless you think businesses should not be able to deduct the costs of generating revenue.

We're not talking about eliminating property taxes, just get them reduced by using a mixture of income and property taxes.

Dan Patrick and his minions have handcuffed the ability of Texas to generate revenue by making an income tax effectively impossible. At some point, severance taxes will drop, and the state is going to be in a big bind.

[crone]

A friend near Round Top has a house almost identical to ours. Same size, number of rooms, etc. He has 20 acres a neighbor runs cattle on. Friend gets an ag exemption and the cows are not even his.

[Cuero]

Property tax and sales tax are extremely efficient because they are relatively easy to determine and collect. That means they are difficult to evade and require few state employees to assess and collect relative to the value. In contrast income taxes require large numbers of employees relative to the funds collected and there is always a bigger tax gap between what should be collected and what is.

Originally Posted by crone

A friend near Round Top has a house almost identical to ours. Same size, number of rooms, etc. He has 20 acres a neighbor runs cattle on. Friend gets an ag exemption and the cows are not even his.

Wait till he tries to sell the property. Let us know how that goes.

[Need4Camaro]

Personally I’d like to know what the state intends to do with its $40 Billion Surplus before I agree to an income tax.

[blameyourself]

Originally Posted by Rakin

"Let's not take $2 from the People from Property Taxes".

"Let's take $2 from the people for Income taxes".

No thanks. Everyone 100% who lives in TX be they a Home owner, a Land owner, Commercial owner or a Renter pays property taxes. A renter pays it in his rent.

Only maybe 55% of the people pay income taxes. Business's get too many deductions based on Income Taxes. Amazon / Walmart / Kroger / ATT pays a lot of property taxes on those buildings. They would probably pay a whole lot less in Income Tax.

So let's jack up the Income Tax on the 55% who actually pay.

Sounds like CA and NY.

It's funny reading so much whining about property tax. And yet people in Texas will never admit that California structure is much more effective in making sure retirees can live in their house until passing.

[supfromthesite]

It's probably the best aspect of California^

[Need4Camaro]

True. For retirees California is more tax friendly by far assuming that you locked in a long time ago and that you are not currently seeking property there as a retirement home.. TX is not a very tax friendly state for someone living on a retirement income.

The one caveat to CA tax though is if you try to move up in the housing market, you have to accept the current market tax rate for the property of interest so it has a tendency of leaving people locked into their homes, especially those looking to use equity to move up in the market, as not only do you have to pay for a significantly more expensive home, but also the market tax rate on that home value too. This also puts more strain on housing availability for potential buyers as potential sellers may think twice about moving.

If you are settled and in the home you want to be in though, it does work out much better.

Currently I have no issues with TX property tax. It’s a lot different than other tax systems I’ve been accustomed to but the actual annual monetary difference isn’t significant compared to states I have lived in the past.

[blameyourself]

Originally Posted by Need4Camaro

True. For retirees California is more tax friendly by far assuming that you locked in a long time ago and that you are not currently seeking property there as a retirement home.. TX is not a very tax friendly state for someone living on a retirement income.

The one caveat to CA tax though is if you try to move up in the housing market, you have to accept the current market tax rate for the property of interest so it has a tendency of leaving people locked into their homes, especially those looking to use equity to move up in the market, as not only do you have to pay for a significantly more expensive home, but also the market tax rate on that home value too. This also puts more strain on housing availability for potential buyers as potential sellers may think twice about moving.

If you are settled and in the home you want to be in though, it does work out much better.

Currently I have no issues with TX property tax. It’s a lot different than other tax systems I’ve been accustomed to but the actual annual monetary difference isn’t significant compared to states I have lived in the past.

Only if you're trying to move up. Otherwise you can transfer the tax base as per Prop 19.

[done working]

Originally Posted by WRM20

The State could exempt dividend income, like many states do. There are many ways this could work to ensure total tax take stays the same, while decreasing taxes for folks who get laid off, retire, or have their income drop for some reason. I'll use my Dad as an example. He took an early retirement package at age 57, and had no wage income after that. He still paid the same amount of tax as before he retired, even though he had no money coming in for several years, as he and my Mom lived off of savings until he could take penalty free IRA withdrawals.



Businesses do not get too many deductions on income tax, unless you think businesses should not be able to deduct the costs of generating revenue.

We're not talking about eliminating property taxes, just get them reduced by using a mixture of income and property taxes.

Dan Patrick and his minions have handcuffed the ability of Texas to generate revenue by making an income tax effectively impossible. At some point, severance taxes will drop, and the state is going to be in a big bind.

And thank you Dan for making it impossible to get more of our money through income taxes!