BUT!!! I seriously think there are a MANY here who just don't get it...
Check out this link:
http://www.meredithnh.org/taxhis.php
The tax rate per/$1000 has dropped from $18.99 in 2000 to $10.91 in 2007!
The reason the tax rate has dropped is because of a small increase in population (approx 10%) and a large increase in assessed property values.
If you check out the link above and use FLL's post about his property values as a guideline (not picking on FLL, just using his own numbers to plug into the equation) this is what you come up with....
In 2005 Meredith's tax rate was $15.95/$1000, so if FLL's property was assessed @ $250,000 the property tax that year = $3987.50
In 2007 Meredith's tax rate was $10.91/$1000, so if FLL's property was assessed @ $801,000 the property tax that year = $8738.91
So then you figure out the increase in values...
801,000/250,000 = 3.20
8738.91/3987.50 = 2.19
So while FLL's property more than tripled in value, his taxes only doubled! It seems to me like thats a pretty good deal, especially when you consider all of the ranting and raving FLL has done about taxes! FLL wants the property taxes on an $800,000 property to be affordable on a truck driver's salary! No offense FLL, but thats some darn wishful thinking! But I digress...
Now lets go one step further into the hypothetical realm!
The state implements a flat rate income tax of 3.5% with the first $20,000 exempt. If you make $50,000/year you will pay approximately $1050 in income tax. This income tax results in the elimination of the State School portion of the property tax. This results in a $2.15 reduction to the 2007 Meredith tax rate, changing the rate to $8.76/$1000. So FLL's 2007 tax bill would then be $7016.76... (801 x 8.76) a reduction of $1722.17.
Then you subtract the income tax from the property tax savings $1722.17 - $1050.00 = $672.17 total tax saved. Of course if FLL makes more than $50,000/year the savings is reduced and vice versa, if FLL makes less than $50,000/yr the tax savings is increased. But this is all based on things being static... and we all know when it comes to money and politics everything is very fluid!
While FLL may have a small tax savings initially, that savings is going to diminish over time. The Meredith town portion of the tax rate will incrementally increase as will the county portion. If FLL is lucky his salary will increase equally relative to all of the other factors. If not, well he is pretty much in the same boat he is now...
But here is the kicker.... Now we have opened Pandora's Box!! We have created a huge reoccuring cash cow for the boys in Concord! The state will be able to increase the income tax at will to fund "necesarry and important" projects! Pretty soon we will be like our neighbors to the south... an income tax, a sales tax and a property tax!
I say... THANKS, BUT NO THANKS! NO NEW TAXES!!
I am truly sorry that some people are being forced to sell thier homes because they cannot afford to pay the property taxes on them as well as the mortgage and upkeep. However, the blame lies squarely on the American economic principle of supply and demand... there is a very short supply of waterfront property, and unfortunately there is a very high demand for it. Your property values (and property tax bill) increased exponentially because your neighbors took the big $$$ offered to them and sold out...
Woodsy