Interesting article on tax burden for homeowners in the area....... (New York: insurance, mortgage)
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The tax burden-as-percentage-of-home-value is often quoted (and is staggeringly high) but as pointed out in the article, the factors are a little more complex than that. Home prices are more affordable here - you won't be paying off your mortgage for so long, or for so high. Also, home values have not depreciated here as quickly as elsewhere in the country.
That ratio for those Upstate counties is too high, to be sure; but why then are people not out in the streets baying for blood? It's because there are some other factors (including home affordability) that are somewhat mitigating the impact of that ratio.
High property taxes are not the prime cause of the population drain. Most people who leave CNY complain about the weather, or the job market, or the economy in general. I'm sure they're not happy about high property taxes either, but I rarely hear that as people's prime complaint. You also don't hear people complaining much about the quality of the schools (unless they live in urban districts), or social services... things that taxes pay for.
On the other hand, taxes on businesses are a severely problematic issue.
The tax burden-as-percentage-of-home-value is often quoted (and is staggeringly high) but as pointed out in the article, the factors are a little more complex than that. Home prices are more affordable here - you won't be paying off your mortgage for so long, or for so high. Also, home values have not depreciated here as quickly as elsewhere in the country.
That ratio for those Upstate counties is too high, to be sure; but why then are people not out in the streets baying for blood? It's because there are some other factors (including home affordability) that are somewhat mitigating the impact of that ratio.
High property taxes are not the prime cause of the population drain. Most people who leave CNY complain about the weather, or the job market, or the economy in general. I'm sure they're not happy about high property taxes either, but I rarely hear that as people's prime complaint. You also don't hear people complaining much about the quality of the schools (unless they live in urban districts), or social services... things that taxes pay for.
On the other hand, taxes on businesses are a severely problematic issue.
All very true and a point I was trying to make on that site. Even with the urban schools and job market, the first still has schools where one can learn in if they are a serious student and the latter is actually better right now than most areas in the country.
I think the taxes on businesses is more of an issue, as NY is ranked 49th for that in the country. That would be the tax issue that needs to be addressed.
The tax burden-as-percentage-of-home-value is often quoted (and is staggeringly high) but as pointed out in the article, the factors are a little more complex than that. Home prices are more affordable here - you won't be paying off your mortgage for so long, or for so high. Also, home values have not depreciated here as quickly as elsewhere in the country.
That ratio for those Upstate counties is too high, to be sure; but why then are people not out in the streets baying for blood? It's because there are some other factors (including home affordability) that are somewhat mitigating the impact of that ratio.
High property taxes are not the prime cause of the population drain. Most people who leave CNY complain about the weather, or the job market, or the economy in general. I'm sure they're not happy about high property taxes either, but I rarely hear that as people's prime complaint. You also don't hear people complaining much about the quality of the schools (unless they live in urban districts), or social services... things that taxes pay for.
On the other hand, taxes on businesses are a severely problematic issue.
Totally 1000% agree on the business tax, as someone who came from a business friendly state, and is self employed, it was rather shocking to see the taxation of businesses here. The state constantly complains about businesses moving away yet they are either afraid to do so something about it or are too inept to do so
Totally 1000% agree on the business tax, as someone who came from a business friendly state, and is self employed, it was rather shocking to see the taxation of businesses here. The state constantly complains about businesses moving away yet they are either afraid to do so something about it or are too inept to do so
What did the state of Nevada do to attract and keep businesses there? I think it could be as simple as looking at other states to find a way to get businesses to come here and stay.
Business owners pay no corporate or personal income tax and the state has much lower workers' compensation rates. Also, business insurance rates are a little lower
Business owners pay no corporate or personal income tax and the state has much lower workers' compensation rates. Also, business insurance rates are a little lower
Wow, no corporate or personal income tax! That is great for the business owner. Hopefully, they will come through and help create more jobs for the economy. If that is the case, then I hope NY state takes notice. I wonder how that effects things like funding for schools and services because of the lack of an income or corporate tax for business owners?
I think the workers' comp. rate should be a bit lower and considering that we don't really have to deal with natural disasters like many other states, you would think insurance rates could be lowered too.
What frequently gets ignored is simple math. If you have two towns, hypothetically with fairly similar budgets and populations, where one has house values 200% higher than those in the other, you yield very different property tax rates.
Town A: Budget, $100,000 (for easy math). Total assessment roll: $10M
Town B: Budget, $110,000 (close, not exactly the same). Total assessment roll: $30M.
Town B would have a much lower property tax rate than Town A. The total budget costs are spread over the assessed value of the town's property.
While CNY gov't costs are higher than many areas (in part due to the county taking the burden of medicare costs from the state), part of it really comes down to the example above: pool of low values yields a lower assessed value to split the cost amongst, ergo higher actual rates.
The above is quite an oversimplification of the process, but you get the idea.
Wow, no corporate or personal income tax! That is great for the business owner. Hopefully, they will come through and help create more jobs for the economy. If that is the case, then I hope NY state takes notice. I wonder how that effects things like funding for schools and services because of the lack of an income or corporate tax for business owners?
I think the workers' comp. rate should be a bit lower and considering that we don't really have to deal with natural disasters like many other states, you would think insurance rates could be lowered too.
The school funding is the thing, the majority of the school taxes are generated from casino taxation.
The thing is weather has very little to do with why people leave an area. The problem truly is the fact of job loss in New York State. Why is there jobs leaving the state? Not because of taxes but because of Unions. I can't stand Unions to tell you the truth. Unions think they are doing a good thing by helping the people out but in reality they make people lose their jobs. For example, Carrier, New Process Gear, Syracuse China, Honeywell, Crucibal is now being affected by it. Unfortunately, New York State has the biggest Union in the country.
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