Vance - I posted the rant below in reply to and support of the continuing efforts by @brianeharrison to address property tax reform in Texas. Unfortunately, he is in the significant minority within our State legislature of those wanting to really address the matter beyond a lacking band-aid approach. Given the ghosting we continue to receive from our elected officials regarding property tax reform, I would like to place it here as well, with a few minor updates...
Texas leadership must make property tax reform a reality. For too long, Texans have accepted the burden of property taxes as an inevitable cost of living. Unfortunately, it has morphed into an oppressive, unjust, and ultimately destructive system. Any tax system that allows the government to determine the value of your property and then tax you based on an unrealized capital gain of their determination invites the potential for corruption and abuse – if the government needs more funding, they can just raise your property value. There has been evidence of this very issue that is already under litigation in Texas.
The very nature of property tax assessment can often be opaque, arbitrary, and contentious. Appraisals can be subjective, leading to endless disputes and appeals. Property owners are forced to navigate a bureaucratic labyrinth to challenge assessments, often at significant time and financial cost – not only to the property owner, but the taxpayer-funded bureaucracy of County Appraisal District, as well. This process breeds distrust between the government and its citizens. Eliminating property taxes would eliminate this source of friction and foster greater transparency and trust in our governmental institutions.
But there is more to it. Property tax is not just a tax. It is an annual ransom payment on what you already own. You buy a home and you diligently make your monthly payments, or even pay off your mortgage and believe you truly own it. Then, each year the tax bill arrives as grim reminder that if you fail to pay, the government – not a bank or other lender, but the government – can seize your property. This is not ownership. It is a perpetual lease from the state. True ownership means security, not the constant threat of confiscation.
Over the past several years, seniors living on fixed or restricted incomes may have encountered skyrocketing property values in Texas leading to crushing tax increases. This is an egregious injustice and equates to a tax on a person's longevity, a tax on the very act of growing old in the home you have earned. While on the other hand, young people and struggling families trying to achieve the American dream of homeownership encounter property taxes that add thousands of dollars to their annual expenses, making this dream unreachable for many. The elimination of property taxes could dramatically lower the cost of homeownership, opening the doors for countless Texans to achieve financial stability and build generational wealth. This is not just about affordability – it is about creating a more equitable society where the dream of homeownership is attainable for all, not just a privileged few.
In addition, property taxes can be disincentive to investment and improvement. Why invest heavily in new facilities or expand operations if it could result in a higher tax bill? This can discourage growth, innovation, and job creation. If Texas businesses could invest and expand without the fear of an ever-increasing property tax burden, Texas could unleash a wave of economic prosperity that would attract even more businesses, foster more entrepreneurship, and create more jobs for Texans. Abolishing property taxes could send a clear message that Texas is open for business, and we reward success, not penalize it.
There also should to be solutions to address public needs in lieu of the existing property tax process. How will we fund our schools? Our roads? Our essential services? These are legitimate questions and the answers will not necessarily be straightforward, but we must find more just and sustainable funding mechanisms. The current system forces local governments into an endless cycle of property value assessment to meet budgetary demands, creating a perpetually unsustainable and volatile funding model. Alternatives might include (but not be limited to) a broader, more robust sales tax that captures a wider range of goods and services, local option sales taxes, additional tourism taxes, and/or consumption-based taxes that allow individuals to control their tax burden. Another option to at least significantly lower the property tax burden would be a land value tax that only taxes the the unimproved value of land.
While local advocacy within each county is one avenue to address change, a statewide legislative approach could provide a better long-term solution across all communities. The Texas Constitution and statutory law set the framework and basic rules for our property tax system. This state framework could allow our legislature to put forth a uniform and fair approach across the state, including outlining the authority and responsibility of local entities.
Abolishing property taxes is not a radical idea. It is a return to fundamental principles of liberty and true ownership. It is about empowering individuals, protecting seniors, fostering economic growth, and building a more just and prosperous Texas for future generations.
You still don't get it @DanPatrick. Imagine how much better that growth could be if property taxes were abolished for individual primary homeowners, and those same homeowners (who are also business owners) were given the ability to inject that money back into the Texas economy. It would attract even more businesses, foster more entrepreneurship, and create more jobs for Texans. Texas homeowners should not have to rent their homes from the State in perpetuity thru continuous payment of unrealized capital gains on the value of their primary residence.
@GovAbbottPress@TXBullpen@GregAbbott_TX Texas homeowners should not have to rent their homes from the State in perpetuity thru the continuous payment of an annual unrealized capital gains tax on their primary residence. You've had your chances @GregAbbott_TX. Its time for Texans to make a real change.
More deception from @AbbottCampaign. The Texas Constitution and statutory law provide the Texas legislature the authority to regulate, limit, or even abolish property taxes. @GregAbbott_TX knows the State determines the authority and responsibility of local taxing entities and has always had the tools to implement meaningful property tax reforms that can curb or eliminate the ability of local officials to continuously increase property taxes. Texas property owners are tired of it and demand a real change.
@GregAbbott_TX - The State may not impose property taxes, but the Texas Constitution and statutory law set the framework and basic rules that provides the Texas legislature the authority to regulate, limit, or even abolish property taxes. You know the State determines the authority and responsibility of local taxing entities, so quit trying to pass the buck. You and the legislature can fix this, but after the years of gaslighting it is pretty obvious you really don't care. Time for a real change for Texas.
@DanPatrick and @GregAbbott_TX still refuse to address the real issue. Texas homeowners should not have to rent their homes from the State in perpetuity thru continuous payment of unrealized capital gains on their primary residence. Property taxes should be abolished and the legislature should focus on finding funding mechanisms that do not place such a burden on homeowners. But here we are, putting yet another band-aid on a the severed artery of government spending. It is time for Texans to make a real change.
Vance - I posted the rant below in reply to and support of the continuing efforts by @brianeharrison to address property tax reform in Texas. Unfortunately, he is in the significant minority within our State legislature of those wanting to really address the matter beyond a lacking band-aid approach. Given the ghosting we continue to receive from our elected officials regarding property tax reform, I would like to place it here as well, with a few minor updates...
Texas leadership must make property tax reform a reality. For too long, Texans have accepted the burden of property taxes as an inevitable cost of living. Unfortunately, it has morphed into an oppressive, unjust, and ultimately destructive system. Any tax system that allows the government to determine the value of your property and then tax you based on an unrealized capital gain of their determination invites the potential for corruption and abuse – if the government needs more funding, they can just raise your property value. There has been evidence of this very issue that is already under litigation in Texas.
The very nature of property tax assessment can often be opaque, arbitrary, and contentious. Appraisals can be subjective, leading to endless disputes and appeals. Property owners are forced to navigate a bureaucratic labyrinth to challenge assessments, often at significant time and financial cost – not only to the property owner, but the taxpayer-funded bureaucracy of County Appraisal District, as well. This process breeds distrust between the government and its citizens. Eliminating property taxes would eliminate this source of friction and foster greater transparency and trust in our governmental institutions.
But there is more to it. Property tax is not just a tax. It is an annual ransom payment on what you already own. You buy a home and you diligently make your monthly payments, or even pay off your mortgage and believe you truly own it. Then, each year the tax bill arrives as grim reminder that if you fail to pay, the government – not a bank or other lender, but the government – can seize your property. This is not ownership. It is a perpetual lease from the state. True ownership means security, not the constant threat of confiscation.
Over the past several years, seniors living on fixed or restricted incomes may have encountered skyrocketing property values in Texas leading to crushing tax increases. This is an egregious injustice and equates to a tax on a person's longevity, a tax on the very act of growing old in the home you have earned. While on the other hand, young people and struggling families trying to achieve the American dream of homeownership encounter property taxes that add thousands of dollars to their annual expenses, making this dream unreachable for many. The elimination of property taxes could dramatically lower the cost of homeownership, opening the doors for countless Texans to achieve financial stability and build generational wealth. This is not just about affordability – it is about creating a more equitable society where the dream of homeownership is attainable for all, not just a privileged few.
In addition, property taxes can be disincentive to investment and improvement. Why invest heavily in new facilities or expand operations if it could result in a higher tax bill? This can discourage growth, innovation, and job creation. If Texas businesses could invest and expand without the fear of an ever-increasing property tax burden, Texas could unleash a wave of economic prosperity that would attract even more businesses, foster more entrepreneurship, and create more jobs for Texans. Abolishing property taxes could send a clear message that Texas is open for business, and we reward success, not penalize it.
There also should to be solutions to address public needs in lieu of the existing property tax process. How will we fund our schools? Our roads? Our essential services? These are legitimate questions and the answers will not necessarily be straightforward, but we must find more just and sustainable funding mechanisms. The current system forces local governments into an endless cycle of property value assessment to meet budgetary demands, creating a perpetually unsustainable and volatile funding model. Alternatives might include (but not be limited to) a broader, more robust sales tax that captures a wider range of goods and services, local option sales taxes, additional tourism taxes, and/or consumption-based taxes that allow individuals to control their tax burden. Another option to at least significantly lower the property tax burden would be a land value tax that only taxes the the unimproved value of land.
While local advocacy within each county is one avenue to address change, a statewide legislative approach could provide a better long-term solution across all communities. The Texas Constitution and statutory law set the framework and basic rules for our property tax system. This state framework could allow our legislature to put forth a uniform and fair approach across the state, including outlining the authority and responsibility of local entities.
Abolishing property taxes is not a radical idea. It is a return to fundamental principles of liberty and true ownership. It is about empowering individuals, protecting seniors, fostering economic growth, and building a more just and prosperous Texas for future generations.
@DonHuffines - We need details. I would love to hear more from you about this proposal. Texas should strive to eliminate ALL property taxes on homeowners, but agree that the property tax collected for schools is overly egregious. ISDs are amassing more and more long-term debt thru bond programs that continues to put the burden on homeowners to pay back billions of dollars. Our current system invites collusion between the ISD and the Central Appraisal Districts to keep property values high in order to maximize tax revenue so they can meet these bond obligations. So how are you going to do it?
Excellent. Many thanks for the link.
So, the primary source of funding is property taxes. Inevitably, no matter how it is presented, bond debt such as this can increase the long-term property tax burden.
Of note, there were a couple of articles regarding the latest Prosper ISD bond referendums written by Erin Anderson (@TrueTexasTea) of the @TexasScorecard that gave a good overview of the cost/implications, if anyone is interested.
Wait a minute..... so rather than eliminating property taxes and coming up with other actual solutions for revenue generation, your just going to lower the cap the annual increase homeowners face each year? Not good enough. The Texas Constitution and statutory law set the framework and basic rules for the property tax system, and the Texas legislature has the ability to put forth a uniform and fair approach across the state, including dictating the responsibilities of local entities. It is time to liberate Texans from this perpetual burden and abolish this tax on unrealized capital gains for all Texas homeowners.