Do you think there should be zero property taxes on a primary residence?

I think it is total bullshit. This falls in the same category as a private two company towing your car for the city. If I own something and it is mine outright. Leave your hands off of it.

and by two I meant tow.
crap

I think property taxes are inevitable unless the entire tax codes of municipalities are revised.

I like the way California does it. It’s based on the value at the time of purchase. If the values inflate you don’t get an unexpected increase.

@judi FL has homestead also, the most property taxes can go up is 3% per year. In TN they finally voted to put ceiling increases for senior citizens, but they don’t have it for people who are under 65. But, even if the taxes stayed the same from the day of purchase, it still can become difficult to afford for people during a difficult financial time or when they retire. If they own the home outright, it seems a little awful they still can lose their house.

Plus, does California provide a provision to help people when they move? In FL if someone downsized when all the kids moved out, or moved when they were elderly to be closer to their adult children, the homestead started all over on the new property, at whatever tax rate is apropriate to the new purchase. They were trying to push through some sort of legislation to maintain the homestead when downsizing, I don’t know if it went through now that I think about it.

Property taxes are generally used for things that benefit the community, ie property owners. Things like sewers, roads, schools, parks, police and fire protection are paid through property taxes. Who else should pay for those things if not property owners?

@GladysMensch You make a good point, and I am in favor of taxes in general for providing city services and infrastructure. I just think I prefer it to be an income tax rather than property tax. And, some things are paid for through fees rather than taxes, or can be. I pay for fire protection included on my utility bill (I actually brought up at a town meeting I wish it was in my property taxes so I can write it off my federal taxes, so you have me thinking) and water and sewer can be maintained partly through billing, or from city income taxes.

@JLeslie, Back in 1978, California passed Prop 13 .
It Has nothing to do with California’s Homestead exemption Which exempts the first $75,000 of value, ($100,000 for head of household and $175,000 if over 65) but you must apply for it and it’s only good for one residence.
With Prop 13, the value for property tax purposes is based on the purchase price. If you sell and purchase a new home, the property tax is based on the purchase price of that home.
That proposition did a lot to diminish California’s tax base and I have heard some say we wouldn’t be in the mess we’re in if it had not passed. Personally, I think it helps a lot of people on fixed incomes to know what their expenses will be. People in Santa Barbara who bought their homes when they were young were losing them to taes. Prop 13 was designed to protect them.

@Judi The two are kind of tied together in FL. When you sign up for homestead it reduces the value $25,000 and puts the ceiling on the increase allowed to be imposed per year. This may have been raised since I lived there, I really should remember being a real estate agent. Anyway, there are additional deductions available for veterans, senior citizens, and more.

I kind of blame the states for spending everything during the hay day. I say this about government and business, they enver seem to want to save for a rainy day. Even aside from homestead laws that may have impacted your state, in FL we had tons of second homes and investment properties that did not qualify for homestead and lots of property tax money was coming in when real estate was expensive.

Prop 13 applies to all residences, regardless of whether or not they’re a primary residence.

@Judi Oh. Wow!

I know as recently as this summer, some in California have pushed for Prop 13 reform in an attempt to solve some of California’s financial problems. The reform includes raising Prop 13’s tax cap for business owners and making them pay more in property taxes.