People Lining Up To Beat the 10,000 Dollar Property Tax Deduction Limit.

ABC News aired a segment today where they interviewed people lined up in New York to pay their property taxes before 2018. That is when the property tax deduction limitation of $10,000 on Federal Tax Returns goes into effect.
Article: abcnews.go.com...

This chart shows how high/low property taxes are in each state. Note that New York is ranked #11, but it's getting all the attention in the media. Why?
Chart - Property Tax Ranking by State: taxfoundation.org...

Are there really that many people who pay more than $10,000 a year in property taxes? The average in my Chicago suburb is up to $3,600, and people are mad over that amount.

Is this just the liberal media looking under every stone to find a negative about the new Tax Reform law? Or, are there many millions of homeowners who will take a big "hit" due to this $10k deduction limitation?

-CareWeMust

yeah if you live in nyc, westchester, bergan county nj, hoboken, weehawken, etc, its insane. my bros taxes are 10k a year in bergan county.

new york city real estate never goes down, only goes up. then even upper middle class people cannot live there, so they move to the immediate areas.

rent in my place is WAY more expensive than rent in hawaii!!! damn, i could be living in the aloha state lol!

but hawaii is not open 247 lol.

a reply to: carewemust
Well now you should know that all left winging media is going to grab at all branches they can just the same as the right media. I did not see that segment but I shall YouTube it though. Why are property taxes so high up there? Seems about $8.500 higher than the south or here in Nevada.


:edit: I pay about $2.500 is property taxes actually. Though I have a few things going on that take that down ALOT, lucky me I guess

Wouldn't this be a report totally in support of the tax plan - from a liberal (media) perspective? If someone is paying $10k a year in property taxes, then are they not the most wealthy in the society that will have to pay more in 2018, offsetting tax decreases for the middle class?

From a policy standpoimt the deduction limit looks like a move to deurbanize.

a reply to: UKTruth

Property values dont insinuate wealth. Metrostend to have steeply rising values. That 30 year mortgage has paid off properties that have appreciated considerably.

originally posted by: carewemust
Are there really that many people who pay more than $10,000 a year in property taxes?

Yeah, and I'm one of them. I also prepaid my Q1 and Q2 taxes for next year.

originally posted by: bigfatfurrytexan
a reply to: UKTruth

Property values dont insinuate wealth. Metrostend to have steeply rising values. That 30 year mortgage has paid off properties that have appreciated considerably.

Isn't a mortgage free house part of one's wealth? Did you mean property value does not insinuate cashflow/income?

a reply to: UKTruth


Your home, if it is unencumbered, is only worth something if you collateralize it for investment purposes or sell it. You could be residing in a $1,000,000 home but it is only worth that when someone gives you the money for it.

It’s funny the people that say ‘pay your fair share’. Means other people should pay more, not you. If your property tax is about half of what a full time employee making minimum wage gets in a year, then how are you not rich? If the news reporters aren’t asking them about paying their fair share, they are not real journalist.

If the people are saying that they cannot afford this, how would have they afforded free college, universal healthcare , and all of the other socialist policies that they tried to vote in....

a reply to: SocratesJohnson

Deficits don't matter when Republicans spend.

In some places, they've been voting for higher and higher local taxes and then shifting the burden through those deductions so they never feel the pain of the taxes they've been voting for.

The deduction cap addresses this. If they want to vote for ever higher taxes, then they should pay those taxes and not deduct them from the Federal tax burden like they do.

Since property taxes are usually set around 1-2% of the property value, a property tax of $10K represents a rather pricey property.

Relatively speaking.

I own in northern California and pay about $1400 per year in property tax (Thank you Prop 13, I guess).

The new tax law won’t really impact me negatively.

The latest from the IRS, however, is that prepaying you property tax for 2018 will only help you IF your property tax has been assessed IN 2017; “Estimating” your 2018 property tax could result in an IRS audit when what you’ve claimed (based on what you paid as an estimate) differs from what your county tax assessor reports as the amount actually owed.

originally posted by: Bhadhidar
Since property taxes are usually set around 1-2% of the property value, a property tax of $10K represents a rather pricey property.

Relatively speaking.

I own in northern California and pay about $1400 per year in property tax (Thank you Prop 13, I guess).

The new tax law won’t really impact me negatively.

The latest from the IRS, however, is that prepaying you property tax for 2018 will only help you IF your property tax has been assessed IN 2017; “Estimating” your 2018 property tax could result in an IRS audit when what you’ve claimed (based on what you paid as an estimate) differs from what your county tax assessor reports as the amount actually owed.

1-2%?

Where are you at?

Problem 1: property valuations. I have 6 rental properties im trying to sell to finalize a relocation. None of them are selling at 10% below the valuation assessed by the county tax assessor. Im holding out for oil to take off again...it'll be worth it. But the values assessed are ridiculous across much of Texas

Problem 2: tax. 1-2% would be a pipe dream. By the time it all washes out, im charged closer to 6%

In high cost of living areas and especially those with good public schools, $10k-$20k property tax bills are not uncommon. I live in a very modest house probably worth about $550k-$600k. My annual tax bill is about $12k/yr. Houses in my area that cost about $1 million have tax bills around $20k/yr. These are not mega mansions, but fairly modest homes . They are just expensive because it is an urban area with good schools, commute times, etc so values reflect the desirability of the location, not so much the size / luxuriousness of the house.

The tax bill is going to cause a lot of these high income liberal areas to take a good look at what they are spending. My community is extremely liberal and never met a tax they didn't like. However, they are usually voting to raise other people's taxes. When it hit's their own pocket book, then they start to scream bloodly murder. The libs in my community where trying to spend like $50 million to build a pool for our high school! WTF?

a reply to: Edumakated

If its not the "libs" wanting to build a pool, its the "neocons" wanting to build new 20mil county jails that libertarians call "Taj Mahal".

In fairness...i think the US is maxed out on prison beds. But what do i know.

originally posted by: Allaroundyou
a reply to: carewemust
Well now you should know that all left winging media is going to grab at all branches they can just the same as the right media. I did not see that segment but I shall YouTube it though. Why are property taxes so high up there? Seems about $8.500 higher than the south or here in Nevada.


:edit: I pay about $2.500 is property taxes actually. Though I have a few things going on that take that down ALOT, lucky me I guess

I was wondering why so much media focus is on New York state, when it ranks #11 (high-to-low) of the 50 states. The property taxes are higher here in Illinois, according to the map at:
taxfoundation.org...

originally posted by: UKTruth
Wouldn't this be a report totally in support of the tax plan - from a liberal (media) perspective? If someone is paying $10k a year in property taxes, then are they not the most wealthy in the society that will have to pay more in 2018, offsetting tax decreases for the middle class?

Another reason why I started this thread is because the people interviewed and shown in the ABC News segment didn't "look" like more well-off members of society. Just average Joe/Jane Smiths.

originally posted by: bigfatfurrytexan
a reply to: Edumakated

If its not the "libs" wanting to build a pool, its the "neocons" wanting to build new 20mil county jails that libertarians call "Taj Mahal".

In fairness...i think the US is maxed out on prison beds. But what do i know.

No doubt both parties are punch drunk with the spending. However, this particular this particular issue with property taxes will hit liberal areas the hardest. Most of the areas with these high property tax bills are solidly blue.

originally posted by: Edumakated

originally posted by: bigfatfurrytexan
a reply to: Edumakated

If its not the "libs" wanting to build a pool, its the "neocons" wanting to build new 20mil county jails that libertarians call "Taj Mahal".

In fairness...i think the US is maxed out on prison beds. But what do i know.

No doubt both parties are punch drunk with the spending. However, this particular this particular issue with property taxes will hit liberal areas the hardest. Most of the areas with these high property tax bills are solidly blue.

Yeah. I mentioned earlier that the policy seems to be pushing deurbanization, but on the west coast it would be desuburbanization instead.