[sunnyskies1]

As a native NYer I have always been surprised by the property taxes in other states. I owned a house in the suburbs of Syracuse worth $100-112K. By the time we moved in 2008 taxes were close to $4K. I thought that was standard until my Uncle bought a house in South Carolina. Comparable value, 20 minutes from the ocean and Myrtle Beach, and his taxes were only around $1000. I remember when my mom told me, we were both in shock.

Overall this plan makes a lot of sense to me. We pay 7%-8% sales tax here in NY, so 9% doesn't sound like a lot. You will get more tourist money, but they won't really notice much of a change, and your property taxes will go away. I agree with the person who compared property taxes to renting from the government. Last year we all heard of this 80 year old lady in our area who owned her home but lost it to back taxes. There has to be a better system.

[chopchop0]

Originally Posted by sunnyskies1

As a native NYer I have always been surprised by the property taxes in other states. I owned a house in the suburbs of Syracuse worth $100-112K. By the time we moved in 2008 taxes were close to $4K. I thought that was standard until my Uncle bought a house in South Carolina. Comparable value, 20 minutes from the ocean and Myrtle Beach, and his taxes were only around $1000. I remember when my mom told me, we were both in shock.

As a FL native who spent some time in CNY, it's definitely true. CNY along with the rest of NY and NJ have some of the worst property taxes in the country. In CNY, high property taxes as a % of the home value helps to keep a lid on property value appreciation.

Many people in CNY like to cite the affordability of home prices there and the fact that home prices didn't collapse. What they don't like to tell you is that taxes make up a much bigger part of your housing payment per month up there, and home prices don't go up a whole lot each year either.

[vacoder]

One fly in the ointment regarding going to a sales tax method is what about border towns like Jacksonville, Tallahasse and Pensacola. By making the Florida sales taxes so much higher than the neighboring states people in those areas will most assuredly jump over the state line for alot of purchases.

[FloridaHappy]

Originally Posted by vacoder

One fly in the ointment regarding going to a sales tax method is what about border towns like Jacksonville, Tallahasse and Pensacola. By making the Florida sales taxes so much higher than the neighboring states people in those areas will most assuredly jump over the state line for alot of purchases.

Not as much as you'd think. When we lived in Live Oak, we had to go to Valdosta, GA, for decent shopping. You had to plan a whole day away from home and pay for gas to get there and back. Unless someone is making a LARGE purchase, they're not going to drive 50 or 100 miles to save 2 or 3 cents on the dollar.

[vacoder]

Originally Posted by FloridaHappy

Not as much as you'd think. When we lived in Live Oak, we had to go to Valdosta, GA, for decent shopping. You had to plan a whole day away from home and pay for gas to get there and back. Unless someone is making a LARGE purchase, they're not going to drive 50 or 100 miles to save 2 or 3 cents on the dollar.

Well large purchases do count. Most everyone buys furniture, appiances and electronics. If FL saels tax is at 10 percent compared to GA 4 percent I think you would immediately see shopping centers pop up on the border. You would also see decreases in the same in Northern Florida which would reduce income from FL business tax.

Moreover, internet sales have already put a crimp in most states sales tax coffers. My guess is you would see increases in internet sales eminating from Fl.

People are supposed to pay Use tax in these scenarios but who ever does?

[Retiredcoach]

No too many years ago, there was a movement afoot to replace the federal income tax with a national sales tax. It went nowhere, as our government needed a consistent and predictable income source from year-to-year. The same would occur with the replacement of real estate taxes with a statewide sales tax.... municipal budgets and school districts could never set a budget based upon the inconsistent revenues generated by this tax. Further compounding the issues is the underground economy (the no tax zones).... the flea markets, the "cash" businesses, and the like. A statewide sales tax would devastate local retail establishments, as the items that they sell would be subject to a steep tax (making their items much more expensive than their out-of state competitors). Online (tax free) purchases are proliferating across the country, effectively devastating statewide purchases.... and Florida would somehow overcome this how. Florida needs the means to encourage business, not "tax it away".

[chopchop0]

Originally Posted by Retiredcoach

No too many years ago, there was a movement afoot to replace the federal income tax with a national sales tax. It went nowhere, as our government needed a consistent and predictable income source from year-to-year.

Interestingly, income taxes are quite volatile in times of economic upheaval because incomes are equally volatile during those periods. Just ask California

[FloridaHappy]

People keep whining about the online sales with no sales tax, but remember on those items people pay shipping instead, which most times is a lot more than the sales tax would be. I just sold a $4 item on eBay that has $5.10 I'll pay out to the post office to get it to the buyer. So instead of the state getting 24 cents in sales tax (6% in Marion County), the post office gets $5.10...you know, that entity that can't seem to stay out of the red due to poor management. If you want to keep your Saturday delivery and reasonable rates, support online sales with no sales tax. I buy stuff online I can't get locally. Try to find a David Austin Cottage rose (or any David Austin rose!) somewhere near Ocala!

I do collect sales tax on items sold within Florida, so not only are my buyers paying sales tax, but also shipping. Flea market sellers are supposed to be collecting sales tax on new items. You don't know that they're not paying it quarterly out of the money they've collected, just adding it into the price of the item. Flea market are pretty closely monitored, at least all those dealers inside. The people outside are selling the junk out of their attic and have already paid sales tax on it once (at a higher price) when they originally bought it.

The state is already collecting sales tax. They know roughly how much that figure is going to be at 6%. The talk is of raising it to 9%. All they have to do is multiply by 150% and they get how much their grubby paws can spend on stupid things like artwork for the Taj Mahal in Tallahassee. The schools will be unaffected as that part of your property tax will remain. It will work if managed properly...key words.

GET OUT OF MY POCKET! Why do the property owners have to pay for everything?

[Retiredcoach]

Originally Posted by FloridaHappy

People keep whining about the online sales with no sales tax, but remember on those items people pay shipping instead, which most times is a lot more than the sales tax would be. I just sold a $4 item on eBay that has $5.10 I'll pay out to the post office to get it to the buyer. So instead of the state getting 24 cents in sales tax (6% in Marion County), the post office gets $5.10...you know, that entity that can't seem to stay out of the red due to poor management. If you want to keep your Saturday delivery and reasonable rates, support online sales with no sales tax. I buy stuff online I can't get locally. Try to find a David Austin Cottage rose (or any David Austin rose!) somewhere near Ocala!

I do collect sales tax on items sold within Florida, so not only are my buyers paying sales tax, but also shipping. Flea market sellers are supposed to be collecting sales tax on new items. You don't know that they're not paying it quarterly out of the money they've collected, just adding it into the price of the item. Flea market are pretty closely monitored, at least all those dealers inside. The people outside are selling the junk out of their attic and have already paid sales tax on it once (at a higher price) when they originally bought it.

The state is already collecting sales tax. They know roughly how much that figure is going to be at 6%. The talk is of raising it to 9%. All they have to do is multiply by 150% and they get how much their grubby paws can spend on stupid things like artwork for the Taj Mahal in Tallahassee. The schools will be unaffected as that part of your property tax will remain. It will work if managed properly...key words.

GET OUT OF MY POCKET! Why do the property owners have to pay for everything?

I have been to a number of flea markets, as a tourist, in Florida, and I have never paid a sales tax to anyone outside of the "professional vendors". The professional vendors are those individuals whose livelihood is derived at selling wares at the flea markets. I do question, though, if the sales tax collected is merely a "pretend" tax used for profit, not for Florida.

Inordinately high sales taxes translate to job loses and business closures in the states that rely upon them most.

Use sales taxes for jobs, children | jacksonville.com

[Mike1306]

Originally Posted by vacoder

Well large purchases do count. Most everyone buys furniture, appiances and electronics. If FL saels tax is at 10 percent compared to GA 4 percent I think you would immediately see shopping centers pop up on the border. You would also see decreases in the same in Northern Florida which would reduce income from FL business tax.

Moreover, internet sales have already put a crimp in most states sales tax coffers. My guess is you would see increases in internet sales eminating from Fl.

People are supposed to pay Use tax in these scenarios but who ever does?

Just about every Georgia county is at 7%,Atlanta is higher, the 3% increase would put Florida at 9%-10%. That would be $20-$30 saved on $1000 spent and going over the border to get to shopping in most areas would run a bit more than that in gas.
Alabama is 8-12% dependent upon where in the state.