Property tax moment of truth

June 28, 2007
Back to TopCommentsE-mailPrintBookmark and Share
Marion County will begin sending out property tax bills tomorrow, filling hundreds of mailboxes with bad news. Property TaxesHomeowners are bracing for higher bills thanks in large part to the state's decision a few years ago to abolish the business inventory tax. Even with rebates approved by the General Assembly, some homeowners could see their bills go up 50 percent. Read full coverage from IBJ here. Government officials are bracing for a backlash and deflecting blame. The mayor has called a press conference today to address steps the state could take to reduce property taxes. Who has an opinion?
ADVERTISEMENT
  • The majority of property tax goes to schools. Get them under control. IPS bonded a billion dollars in the last few years that will be paid off by decades of property tax increases. A billion dollars.
  • ITA. School Boards need to be held accountable for the MASSIVE structures and facilities they are building. Most have no regard for the citizens that have to pay for these things. I didn't go to a school that had a 5,000 seat natatorium or theatre and I like to think I am relatively intelligent person.
  • Well, the good news is that the county income tax isn't very hi... oh, wait. Nevermind.

    I'm just glad that someone finally figured out that it's all IPS' fault that property values were under-assessed for so many years. Say wha?
  • This is going to be a disaster.

    1-This will lower demand for new and existing housing
    2-could blow up the downtown real estate market
    3-foreclosures will increase
    4-taxpapers are getting squeezed

    My understanding is that there are a lot of entities to blame, from the Governor/State to local assessors to schools. Apparently there were NO reassessments of center township commercial properties, only residential. that means homeowners are getting hit hard and not businesses sharing in the taxes.

    I know my taxes are tripling. That means they're going from around 3K to 9K per year. That is a CRAPLOAD!!!!!

    I want someone to do something about this!!!!!
  • Bradshaw - market based assessments took place in the IPS district in 2003. Bart knows it's the schools.
  • Tax amount = (assessed value) x (tax rate)

    For many years assessed values were stable, and it was easy to know that tax rates were going up when taxes increased. Now both are moving targets, and it's impossible to tell if it's increased rates or increased values to blame. To complicate things further, any particular property in Marion County has multiple taxing authorities that independently levy taxes: city, county, schools, township, library, Health & Hospital, etc.

    I'd like to see a circuit breaker that prevents any taxing authority from increasing its total revenue more than 3-4% per year without a referendum. That way if assessed value rises a lot through reassessment, rates would go down and overall tax bills would not take these huge leaps unless the taxing authority explains why it needs the money and gets its voters to agree.
  • I hope this is good news for me, but we'll see if the assessed values are fair. The prices of homes in my neighborhood have taken a beating, with nobody selling in the last year getting what they paid for them.
  • Don: Where do you live? What neighborhood, area?

    Thundermutt: GREAT idea


    Everyone: IPS sucks the big one. Absolutely no accountability, and the T-ship schools are just as bad if not worse. I hate to say this, but I will: You get what you pay for with FREE* education. nobody I know sends their kids to those crappy schools and yes I live in washington Township, and they are no better than anyplace else in Indy.


    Thanks - I feel better now :)
  • Tax burdens should always be directed at consumers, not businesses. Ultimately, if businesses are taxed, it is passed on to consumers in the form of higher costs. So, what is the point in doing so.

    In this particular situation, we have had far too many lawmakers that have avoided this situation for too many years. And, in spite of the fact that they knew it was coming, they did little or nothing.

    State lawmakers have many issues to deal with regarding taxes. They should take the lead and create a version of the fair tax, eliminating income and property taxes for Hoosiers. Granted, that means that we'll pay a consumption tax. However as the book The Fair Tax points out, when you factor out the imbedded taxes, we'll be far better off than we are now.

    Be forewarned, if you think what we're facing locally is bad, just wait until the federal lawmakers finally take responsibility for the mess they've made with underfunding federal programs and overspending. But then, like the State of Indiana, they will likely wait until the issues totally blow up, much like the porous borders we continue to endure.

    Lastly, let's look at good 'ol Bart. He's very busy pointing fingers elsewhere. At the same time he championed the police/sheriff merger claiming all sorts of benefits and cost savings. Ask those involved about the effectiveness. Where are the savings? How much did the city spend for new paint schemes, badging, uniforms, letterhead, etc.? The list goes on and on.
  • Consumption taxes are inherently regressive. That is, they take a higher proportion of the income of lower-income folks. Unless food, clothing, housing and medicine are exempted, they're not fair at all.

    Property taxes are unfair because they are wealth taxes. They tax accumulated income, not current income.

    A flat (i.e. non-progressive) income tax is one of the fairest of all, because it takes the same proportion of everyone's income, and takes it once when the income is earned.
  • Thurdermutt:

    Read Neal Boortz book The Fair Tax. It is a good read and shows clearly how fair consumption taxes can be, if done correctly. For example, everyone starts out with a prebate, in other words, they get the value of the federal poverty level before they pay any tax. Secondly, no one is exempt. That includes drug dealers and illegals. Since they will buy goods, they will pay the tax. Lastly, the amount of wealth that has been taken out of our country because of the overwhelmingly cumbersome and punitive tax code would likely come back if this were done at the federal level. Check it out before you make up your mind.
  • ditch mitch.
  • It is time, short of anarchy, to call for a constituional amendment to vote on property taxes. Alternatives such as the Flat Tax or Fair Tax (income and sales tax alternatives) must be reviewed now and implemented.

    In addition citizens must become involved in the decision making process. I was encouraged to run for a seat in our local government. I stepped up to the challenge, ran and won. I now have the ability the effect the outcome of how my moneys are spent.

    I encourage everyone to get involved. The property tax bill were received in homes a week prior to the election in Hendricks County yet 12% of the voters showed up at the polls. With an average 30% increase in taxes a mere 12% of voters showing at the polls is disappointing. Solving the problems that lie before us require input from everyone. Let's turn apathy into advocacy. IT is the only way we will survive these challenging times.
  • As I mentioned in my letter in the Star today, the system we have now is a terrible replacement for a bad old assessment system-it is simply a guaranteed cost of living allowance for all taxing authorities with no accountability. I also know part of the issue is the tax rate-living within the IPS boundaries means the bill is what matters. Yes, for years the old depreciation model kept taxes too low-but like business abatements and credits and historic district special taxing district, there are sound reasons to the replacement costs of 80-120 year old homes. Regardless that is old news. My $350,000 home assessed in Clay Township Hamilton County would have a tax bill of roughly $4500 versus the $7000 I will pay to live in a part of the city that has not built a new school, or city park, or 30 roundabouts, or any other investment-so tell me how the new market system is fair? What we need is what I call the One-Percent Solution-your home will be taxed at 1% of its value period-residential or commercial. Deductions can be allowed for elderly or low/mod income, but the rate is the rate. The taxing authorities would then have to work with the funds they receive, and only with a vote by the county voters could an emergency increase be approved. If you look, most homes in Central Indiana are taxed at more or less 1% except where the rates are too high-IPS, Perry Township, whatever. Tell our State Representative we need true tax reform now, and the One Percent Solution is the only fair way.
  • Da Hooey: Franklin Twonship, in a condo. I know, it's a condo and they generally don't appreciate as much as houses but our neighborhood has lost value and none of the real estate experts in the area can figure it out.
  • This is bad for everyone in the state. Marion County will start hollowing out as the good people there finally get fed up with the high taxes. 1.65% county option income tax? Extra restaurant taxes to pay for the stadium? Insane property tax rates to fund chronically failing schools and unsafe parks? The solution most will find is to move to one of the doughnut counties. As someone interviewed in the Star said, If I'm going to pay suburban taxes, then I ought to move to the suburbs and get the star schools. I predict a massive exodus to the suburbs, provided people can sell their houses in Marion county.

    The problem, of course, is that a vibrant Indianapolis with its neighborhoods, shops, restaurants, and businesses is key to the quality of life for everyone in the metro area. The hollowing-out of the mtero that is sure to be accelerated now will just turn Indy into another Detroit. And it could all be avoided if the politicians of the city and state would develop the courage to do what they know is right.

    And let's not forget - the traditional solution for Indiana politicians is to expand gambling. They're already killing the slim chances that French Lick had by allowing thousands of slot machines at the already-subsidized race tracks. But just watch - as a solution to the property tax mess, we'll get a couple of casinos in downtown Indy.

    Roll the bones, baby needs a new pair of shoes!
  • Don, why oh why would anyone choose to live in Franklin Township. Some of the highest property tax rates in the state and nothing but sprawl, sprawl, sprawl. I know a couple who recently sold their house in Franklin Township that they had bought in 1980. Based on their selling price, their house appreciated less than one percent a year and that doesn't even include realtor fees.
  • Gee, Sophia, thanks for that insightful comment. I'm sure there are plenty of people who read this board who would say why oh why would anyone live in Carmel, Fishers, Noblesville, downtown Indy, etc.. Get over yourself.
  • So, my taxes only went up 429% over last year - nothing compared to the over 700% they increased at my old house a few years ago. If I weren't committed to the renewal of downtown neighborhoods and the people who live in them, I'd be moving to a 'burb too.

    Oh wait. I couldn't sell my house...
  • Has there ever been a solid, verifiable study for a correlation between property tax increase and foreclosure rates. To me, and hopefully to others, the answer seems obvious, as propery taxes increase, people can't afford their homes any longer, therefore foreclosures increase. My problem is, why would any community negatively effect the people which keep it stable. It seems we are losing some control, every year taxes increase in some way or another, people are pushed aside, and for some reason, at the same time...government aid, welfare etc. increase. Is this a path we want our communities to travel? Tax the things we don't want in our communities, eliminate, not allow supplements or rebate programs, ELIMNATE all together the taxes for the things we want in our communities, and where government aid is necessary, allow help, but this catagory in our state should be decreasing, at least to me, I figure the more people we have working and supporting themselves, and the less people we have collecting a free check every month, the better it will be for everyone in this great state. Thanks IBJ for allowing a forum to submit our opinions.

Post a comment to this blog

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT
  1. The Affordable Care Act is not the reason for the slow recovery and lack of high paying jobs for low skill workers. This is a trend that has been going since the early 80's. The recovery is real in the sense that GDP has been growing steadily at a rate of roughly 2.5% since the recession ended in late 2009 (newsflash, the stimulus worked) and the unemployment has been steadily dropping. The reason issue we are facing deals with a skills gap (not enough workers with the right credentials / experience) and wage stagnation due to corporate America being focused solely on maximizing profits for shareholders and not caring about the American middle class. Why should they? Multi-billion dollar mutlinational companies keep offshoring their profits in order to avoid paying taxes (which makes our deficit worse) they convince Americans to fight amongst themselves. If you want to create jobs and reduce the deficit, raise the minimum wage and change corporate tax laws. Of course, if you want to continue to belive that tax cuts for wealthy create jobs (which they don't) and allow corporations and the wealthy to continue to make you cover more and more of the costs of maintaining infrastructure, funding the military and other government services, then keep voting Republican. Hopefully someday you wake up and realize what's been going on since Reagan took office.

  2. Helloooooo, my name is Kate. I am so joyous to share this wonderful testimony about what Dr. Osoijiakhena, a great spell caster, did for me and my family. I wedded a year and 6 months ago, we were very happy during this whole period, i really love my husband so so much. I started noticing changes when he started coming home late at night, he stop paying attention to me, i later found out that he was having an affair with another lady, i dont know what she did to get to him but she really got a hold on him. He started spending weekends with her, and threaten for divorce. I was so heart broken and devastated, i spent many night thinking on how to get my husband back. A friend took it upon herself to to introduce me to one Dr. Osoijiakhena, a great spell caster, who once helped her with a spell that reunited her family and helped her husband secure a very prolific job. Though i had my doubts and never believed, but i decided to give it a try because i was helpless. I contacted Dr. Osoijiakhena, the Spell caster, to help me reunite my family by bringing back my husband from that other woman and break whatever hold she had on him. He only just told me that it's a minor issue, once i provide and do everything he will ask me to do, then i will have my family back again. I did everything he required. And he did it!!!!! My husband returned back to me and pleaded for forgiveness, and i also secured a well paid job in a big company, just as the great spell caster, Dr. Osoijiakhena said. I am so so happy to share my testimony on this wall. I am using this medium to tell every one that has same or similar problem to try the great Dr. Osoijiakhena through his mail: drosoijiakhenaspell@gmail.com......he is so real!!!!! He can also help you with: (1) IF YOU WANT YOUR EX GIRL/BOYFRIEND TO RETURN BACK TO YOU (2) IF YOU WANT YOUR HUSBAND/WIFE BACK (3) IF YOU WANT TO BE PROMOTED IN YOUR OFFICE (4) IF YOU WANT YOUR MAN OR WOMAN TO LOVE YOU (5) IF YOU WANT A CHILD (BARREN) (6) IF YOU WANT TO BE RICH/WEALTHY (7) IF YOU WANT YOUR HUSBAND/WIFE TO BE YOURS FOREVER (8) IF YOU'VE BEEN SCAMMED AND WANT YOUR MONEY BACK (9) IF YOU ARE HAVING DELAY IN GETTING MARRIED (10) IF YOU HAVE A COURT CASE AND WANT TO WIN (11) IF YOU'RE A DRUG ADDICT AND YOU WANT TO REALLY STOP (12) IF YOU CANNOT IMPREGNATE A WOMAN (STERILE) (13) ALL TYPES OF DISEASES I advise you to contact the great Dr. Osoijiakhena, the spiritualist for solutions via his email: drosoijiakhenaspell@gmail.com

  3. Sergeant McNally is buried in Cathcart Cemetery on a hill known as McNally%u2019 Hill. The Cemetery is in a natural bushland setting and is very well maintained.The emergency department at Ararat Hospital is known as the John McNally Emergency Department. Cathcart is approx. 4.6 km from Ararat and is approx. 345 m above sea level.

  4. My spring chicken of a Mom is turning 75 years young. She is a big fan of Frankie and I think she would get a big kick out of the film. I wanted to take her to the Broadway play but am priced out. Thanks for your time and consideration. Oh yea, Wildwood! Joie

  5. I thought this company would go bankrupt in 2013/2014. I predicted that four years ago. I was wrong. It will take another couple of years, but they will get there.

ADVERTISEMENT