[boulder]

Yes, on a $30k car - sales tax will cost you a bit more than a grand in some areas ... I live in Fayetteville (sales tax - 9.75%) and just purchased a new car last month for $29k. Without trading in one of my other cars to offset the sales tax, I left the revenue office with a license plate after writing a check for approximately $1,800.00 to cover sales tax and registration.

[magrack]

Originally Posted by boulder

Yes, on a $30k car - sales tax will cost you a bit more than a grand in some areas ... I live in Fayetteville (sales tax - 9.75%) and just purchased a new car last month for $29k. Without trading in one of my other cars to offset the sales tax, I left the revenue office with a license plate after writing a check for approximately $1,800.00 to cover sales tax and registration.

That's about right for North Central too. I recently bought a new truck to replace my old one...with the trade in on my other truck, the purchase price was approximately 30K taxable and the sales tax came to about $1800.

[hckplyers]

That might be people but remember you have very low property taxes and how else is your state to operate? Sales tax is a pain but if all I can afford is a small Ford for 18,000 and the next guy can afford a Ford worth 40,000 at least it is a level playing field. I'd be happy to have a lower property tax and be able to stay in my house and decide if I want the expensive sales tax things in life or get by with something I can better afford. Think of the states that have high property taxes of 3500 on a home in parts of Ark that would be less than 1000. 2500 can buy a lot of groceries and pay the electric bill for a long time. It's like paying rent to live in your own house. Time to leave? Perhaps but retirement isn't here yet and the jobs don't pay as well there.

[nmnita]

Originally Posted by hckplyers

That might be people but remember you have very low property taxes and how else is your state to operate? Sales tax is a pain but if all I can afford is a small Ford for 18,000 and the next guy can afford a Ford worth 40,000 at least it is a level playing field. I'd be happy to have a lower property tax and be able to stay in my house and decide if I want the expensive sales tax things in life or get by with something I can better afford. Think of the states that have high property taxes of 3500 on a home in parts of Ark that would be less than 1000. 2500 can buy a lot of groceries and pay the electric bill for a long time. It's like paying rent to live in your own house. Time to leave? Perhaps but retirement isn't here yet and the jobs don't pay as well there.

I know taxes in Ar are among the highest overall, but you hit on something. A lot has to do with where we are in life. For us, being retired we do not spend as much on products so the lower property taxes is what we are looking at, plus, as you said, we have to remember if one tax is low, something else has to be a little high. How would some of these people like to live in Calif with high property taxes, property prices being out of the universe and car registration over the hill as well?

Nita

[Art Brunje]

The millage rate is not that complicated.....let's say a property is accessed at $100,000 and the mill rate is 50. You would take the 100000 x20%x50...this would equal $1000. In Arkansas there is a $350 homestead credit if the property is your personal home...the final tax would be $650. Once you reach the age of 65, the accessed value of your property can not be changed..however the mill rate can change.

The sales tax on food is gradually scheduled to change. we live in Bella Vista and simply shop in Mo...no sales tax on food.

We relocated from Wisconsin, one of the highest taxed states in the US, so Arkansas has been a good move for us.Art

Originally Posted by Supersport396p

I currently live in Califorina and am considering moving to NW Arkansas in three years.
I understand the property tax rate in Arkansas is based on a millage rate.
Can anyone explain how this works?
In addition, what are the local tax rates?
I understand that Arkansas recently eliminated the tax on food/groceries.

Thanks.

[Stormcrow73]

Originally Posted by Art Brunje

The millage rate is not that complicated.....let's say a property is accessed at $100,000 and the mill rate is 50. You would take the 100000 x20%x50...this would equal $1000. In Arkansas there is a $350 homestead credit if the property is your personal home...the final tax would be $650. Once you reach the age of 65, the accessed value of your property can not be changed..however the mill rate can change.

The sales tax on food is gradually scheduled to change. we live in Bella Vista and simply shop in Mo...no sales tax on food.

We relocated from Wisconsin, one of the highest taxed states in the US, so Arkansas has been a good move for us.Art

We just finally moved back to Arkansas after 6 years in Maryland. The motto over there seems to be, "If you can dream it, we can tax it!" Arkansas taxes are ridiculously low to me.

[Sam I Am]

I just don't notice the food tax, I guess...it seems miniscule considered to property taxes in other states. I think as far as personal and real estate property is concerned, we've got it GREAT...but it was lousy in the Heights in Little Rock. Absolutely awful.

[nandoo]

I dolive in Arkansas and work in Missouri. Ihave done this for about six years and what we have found to be the norm is that you will get back all you paid to the state of MO. And owe about that much to the state of Ar. Really is no big deal.

[RogMar]

[quote=Sam I Am;810878]Gee, Tom....looking at our 2005 return, on a net taxable income of 71,844.00 the tax was 4262.00. That was with 2 dependants.

Sam....I just saw this cruising through today.

Eeeeee-yikes!!

Way, way back when I was scouting property in Arkansas, I was befriended by locals who said, *Whatever* you do, get a farm or a business".

So, I got a "farm".

You just gotta show income from it once very 5 years, and fill out the gubberment questionaire at the end of the year (Do you raise any poultry, etc.)

The government truely loves it's farmers, Sam.

[Sam I Am]

Not sure what you're saying...that's like 15%, and that's a NET taxable. Trust me, I "lose" money almost every year on my business. I think that was the year we dragged a bunch of money out of investments to ... do something, I don't remember what, but that penalty was paid up front.

Geez, I dunno...2005 was so long ago...