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Re: States with no income tax
Old 03-10-2007, 08:02 PM   #41
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Re: States with no income tax

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Originally Posted by lrak
You could always move to MA where the taxes are still $500/mo but the same house costs $400k instead of $200k. That way the tax rate is lower.
You're not far from the truth. When dh and I met we both had homes of our own, his in NH mine just over the border in MA, both about the same value, his taxes were half what mine were. Fast forward 10 years and he was paying double what I was when he sold it, he was glad to get out of NH.
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Re: States with no income tax
Old 03-10-2007, 08:07 PM   #42
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Re: States with no income tax

SOH is currently being challenged in court and I predict it will be proved unconstitutional this year. When SOH was originally approved for the Florida ballot 3 of the 4 Supreme Court justices voted against the measure stating it would eventually become unconsitutional as property values increased. The only way it would be constitutional is to cap EVERY PROPERTY at the same rate. Or if you applied it to a specific group of people, such as Seniors, as it was originally intended then it would also pass consitutional muster.
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Re: States with no income tax
Old 03-10-2007, 08:11 PM   #43
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Re: States with no income tax

[quote=Targeting40 ]
SOH is currently being challenged in court and I predict it will be proved unconstitutional this year. When SOH was originally approved for the Florida ballot 3 of the 4 Supreme Court justices voted against the measure stating it would eventually become unconsitutional as property values increased. The only way it would be constitutional is to cap EVERY PROPERTY at the same rate. Or if you applied it to a specific group of people, such as Seniors, as it was originally intended then it would also pass consitutional muster.
[/quote

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Re: States with no income tax
Old 03-10-2007, 08:13 PM   #44
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Re: States with no income tax

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Originally Posted by Targeting40
SOH is currently being challenged in court and I predict it will be proved unconstitutional this year. When SOH was originally approved for the Florida ballot 3 of the 4 Supreme Court justices voted against the measure stating it would eventually become unconsitutional as property values increased. The only way it would be constitutional is to cap EVERY PROPERTY at the same rate. Or if you applied it to a specific group of people, such as Seniors, as it was originally intended then it would also pass consitutional muster.
though i don't know the tax ramifications, i personally have no problem with capping all existing owners. haven't heard anything about this. how is it that something would be constitutional at $1 but unconsititutional at $2?
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Re: States with no income tax
Old 03-10-2007, 08:15 PM   #45
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Re: States with no income tax

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Originally Posted by 73ss454
Take it easy your going to make Lazy nervous.
nah. my fire plan calls for selling in 5 years. no dirt out of my garden.
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Re: States with no income tax
Old 03-10-2007, 11:05 PM   #46
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Re: States with no income tax

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Originally Posted by sgeeeee
Sales tax, income tax, property tax . . . Does it really matter how they get you?

What does matter is the total bill and what you get for it. I live in Arizona where we pay less total state taxes than a lot of places. And we get less to show for it too -- unless you count high scores on dropouts, crime, teen preganancy, illiteracy . . . as great things to show for your tax dollars.

We pay through the nose in CT for State and local tax. $6,000 for a $300K house plus 5.5% income tax plus 6% sales tax plus highest gas tax. We have crappy education, high city crime, crack babies and traffic problems. And the answer is always "we need more money". For the last 50 years I've been here "more money" has produced more problems and less for "working" people in every case.

Middle class and retired people are moving out (tax payers). Emigrants, uneducated non English speaking are moving in for the generous social services. We know which party is gaining voters. :P

As the ratio continues to change, taxes have to go up for the people left behind who for what ever reason can't move to a less expensive State. If this continues, as I expect it will, there will continue to be a Blue state to Red State transfer of population going forward. Ct is currently scheduled to lose a seat in Congress in the next 2 years.

This is not a statement just an observation.
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Re: States with no income tax
Old 03-10-2007, 11:30 PM   #47
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Re: States with no income tax

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Originally Posted by wab
I might welcome an income tax here. As long as it hits workers more than retirees, it should be a net benefit for us (assuming sales tax and property taxes go down).

I wonder how life is down in the southern portion of WA. No income tax, and a short drive to OR with no sales tax.
WA residents who work in Oregon pay Oregon income tax. It used to be that SW WA residents shopped in OR almost exclusively. Now the traffic on the interstate bridge is so bad (and gas prices so high) they seem to be buying mostly high-ticket items in OR. The Costco with the highest sales/sq ft is the one on the south side of the Columbia River near PDX.

When I moved to WA and did consulting gigs I discovered that WA has a gross receipts tax on businesses.
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Re: States with no income tax
Old 03-11-2007, 06:47 AM   #48
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Re: States with no income tax

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Originally Posted by 73ss454
Tell my why you think you should be protected. Why are you special? Do you really think it's a fair way to tax? Can you tell me any other place that taxes are charged this way?
DC holds owners real property taxes to a maximum 10%/year rise. Buyers pay the full rate. When we have markets like 2000-2005 the rise could force low and fixed income owners to sell and move out of town. New buyers already have the choice to decide where and when to go. Now that the market has cooled, the rates will slowly equalize - but we have a little time and possibly inflation assistance to help with the bump up. It seems fair enough to me.
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Re: States with no income tax
Old 03-11-2007, 12:18 PM   #49
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Re: States with no income tax

In Multnomah County in Oregon the property taxable value increase of a home is 3%/yr. New construction or condo conversion sets the start point. Big advantage for homes 7 years or older as there has been a huge run-up in real estate prices.
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Re: States with no income tax
Old 03-11-2007, 01:03 PM   #50
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Re: States with no income tax

True NH has no sales tax or income tax. But, they make up for that with high property taxes.

I pay $5000 yearly on a house valued at $259K by the tax office. The vast majority of that is school tax.
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Re: States with no income tax
Old 03-11-2007, 07:08 PM   #51
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Re: States with no income tax

weeelll, my parents are in NY with a 230k house paying 8k in property taxes. Then they have a sales tax and income tax to deal with ... makes NH look damn good.
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Re: States with no income tax
Old 03-12-2007, 04:02 AM   #52
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Re: States with no income tax

Quote:
Originally Posted by Bimmerbill
True NH has no sales tax or income tax. But, they make up for that with high property taxes.

I pay $5000 yearly on a house valued at $259K by the tax office. The vast majority of that is school tax.
NH actually comes up 49 out of 50 (1 being worst, 50 being best) for the tax friendliest state according to this article on CNN Money.

http://money.cnn.com/2006/04/10/pf/t...2006/index.htm
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Re: States with no income tax
Old 03-12-2007, 08:06 AM   #53
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Re: States with no income tax

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Originally Posted by Want2retire
States are going to get their money one way or another. If there are no income taxes, property taxes or sales taxes will be high, and if there is no sales tax, then income taxes or property taxes will be high, and so on.

I think it is most advantageous for retired people to choose states that specifically give retirees a break by not taxing social security and/or pensions. This might not be helpful immediately, if you don't qualify for either yet, but it will be helpful when you do. The reason why this is helpful is that most of the taxes are being extracted from other segments of the population and retirees are getting special privileges. So, the state is still getting their money from somewhere - - just not from us.
.
Here in Pa., state income tax is 3.07% flat, and property taxes are high,
especially here in Allegheny County (Pittsburgh's county). Plus the local
muni. charges a 1.0% wage tax.
But, the good news is that pensions are not taxable by the state or local muni.
Bad news, is property tax on my house, assessed at a bit under 200,000,
is $4800/year, ouch!

And our infamous governor wants to raise just about all taxes.
Rendell, as it turns out, is the worst governor this state has ever had.
When he was elected, he told everyone that he inherited a budget deficit,
but of course, that was a lie, as the state constitution requires a balance budget
every year. But, what do you expect from a politician, the truth, no way.
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Re: States with no income tax
Old 03-17-2007, 04:28 PM   #54
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Re: States with no income tax

We are Texas residents (a PO BOX) with our summer home in Ohio. Saves us about $7,000 per year in Ohio tax. Wewatch how many days we spend in Ohio.

Dave
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Re: States with no income tax
Old 03-17-2007, 04:41 PM   #55
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Re: States with no income tax

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Originally Posted by REWahoo!
When my monthly property taxes hit $500 on a $200k house, they not only seemed high, they were. I stayed in TX but moved from the city to an unincorporated area where taxes on a $200k house are around $350/month. That still seems high to me, and unlike your one-time diesel tax, it goes on and on and on.
I lived on the outskirts of Austin and paid a total about $4500 annual in property taxes ($375/month) on a $150K home. I can't help but think I would have paid a lot more than that if property tax rates were lower, but we also had a state income tax.

Audrey
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Re: States with no income tax
Old 03-17-2007, 05:28 PM   #56
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Re: States with no income tax

Quote:
Originally Posted by audreyh1
I lived on the outskirts of Austin and paid a total about $4500 annual in property taxes ($375/month) on a $150K home. I can't help but think I would have paid a lot more than that if property tax rates were lower, but we also had a state income tax.

Audrey
Here in Pa., we have to worst of 2 worlds: high property taxes and a flat rate 3.07% state income tax, and a 1% local muni. wage tax - and a governor that wants to raise both the state sales tax (7% now in Allegheny County) and the state income tax.
I should point out that the sales tax is not on food or clothing, but if it goes up to 8%,
I'll never buy another auto.
Fortunately, my pension is not taxable by the state or the local muni.
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Re: States with no income tax
Old 03-17-2007, 06:00 PM   #57
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Re: States with no income tax

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Originally Posted by ex_CFO_now_RVer
We are Texas residents (a PO BOX) with our summer home in Ohio. Saves us about $7,000 per year in Ohio tax. Wewatch how many days we spend in Ohio.

Dave
You're on my plan. I want to "move" somewhere else but maintain a Texas PO box. The key is not staying too long as you mention. The savings can be substantial.
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Re: States with no income tax
Old 03-17-2007, 09:55 PM   #58
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Re: States with no income tax

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Originally Posted by lg4nb
Can you tell me any other place that taxes are charged this way?

california.
I live in California. My next door neighbor bought his house in 1960 for $20K. I bought my house in 1985 for $110K (but upgraded the house so my cost basis is now $200K). The couple across the street bought their house last year for $700K. They're basically all the same houses, worth $650K-$750K in today's market. Next door neighbor pays $250/yr in property tax. I pay $2500/yr. Across the street they pay $8000/yr. All to live in the same neighborhood, drive the same roads, and support the same schools. This seems out of whack to me. Let's freeze property taxes at age 65, and before that everyone pays the same.
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Re: States with no income tax
Old 03-17-2007, 10:59 PM   #59
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Re: States with no income tax

Amazing, I thought Fla. was the only place with a tax burden that made no sense.
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Re: States with no income tax
Old 03-18-2007, 07:46 AM   #60
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Re: States with no income tax

Taxes. Nutty around the usa. Seems to me after my living and paying big taxes in NJ that almost anyplace else was a good place. But alas, the country is filling up fast now over 300 million people and everyplace will look like NJ in time along with the taxes to have stuff done, like schools and roads and social services.

That said I still get a shiver when I think of how much more the people who bought my old house in NJ are paying for their property taxes on the house that I was paying almost 8,000 a year. They are paying 11,000 a year!! On top of a 400,000 mortgage.

Here in North Carolina they seem to nickle and dime you BUT my property taxes are in the 3,000 dollar range for a 350,000 dollar house and when they talk of increasing taxes as they are doing this year the possible increas is 2 cents per 100 or 60 dollars a year! Not 15 cents or 20 cents like happened this year in my old town!
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