Tax assessments: Stealth that doubles your tax increases 

How your real estate taxes are figured...

If your home is currently assessed for $100,000 and the current tax rate is $1.22 per hundred , your current annual bill is $1220.00.

This is figured by dividing $100,000 by $100 which equals 1000

You then take the current tax rate of $1.22 and multiply it by 1000 which equals $1220... your tax bill, which is paid in two parts to the city treasurer.

The formula:  $100,000 ÷ 100 = 1000 x $1.22 = $1220.00

Now here is the interesting part...

If the city’s real estate assessments increase above 1% in any given year, the city by law is supposed to reduce the tax rate  for the upcoming tax year so that such increases amount to no more than 101% of the previous year's real property tax levies.

Using the example above, it means your new tax assessment bill should read like this:

Old Assessment:             $100,000 @ $1.22 per hundred = annual tax bill of $1220
New Assessment:            $106,000 @ $1.15 per hundred = annual tax bill of $1220

[NOTE: The State code is available by clicking here: Real estate assessment code

You have just read what is supposed to happen.  

But this is what the tax and spend council actually does:

During approval of the budget, the city council will reauthorize the tax rate, that is increase it upwards from the state-required reduced rate, back to the current higher rate.  

The result?  A double whammy!  Double taxation in one fell swoop!  Your assessment goes up, the tax rate goes up, and you have just allowed the cost of government to go up.  

This is what the council plans to do to raise taxes

New city council assessment:  $106,000 @ $1.22 per hundred = annual tax bill of $1293.20 

This is the stealth tax increase the council puts over on the public to keep itself awash in cash to give away to ex-convicts and other questionable corporations in public/private partnerships.

This repeats itself year, after year, after year as long as the upcoming year's assessment exceeds a 1% increase over the current year's assessment.

The council must give public notice and hold a public hearing, but few if any citizens appear to protest this double taxation.

EDITOR'S NOTE:  If you have any questions on calculating your taxes email them to  Editor for a personal response and assistance.

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