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Taxes are too much at this time
Reader Input
I’m a recently divorced person who pays her own mortgage each month and works for modest pay in social service/education work. During this recession I’m about helping disabled and unemployed people in foreclosure and my own recently graduated adult children and grandchildren struggling in this economy. Even as I have fretted about my own vulnerable employment and other personal concerns, I still volunteer in the greater community, until I received the additional sum of $3,000 worth of Auburn’s new property taxes to be paid this December and February. I faltered. What a baffling joke to lose my property because what taxes I can pay monthly I cannot pay in lump sums. I live with insecurity during this recession, yet I budget for priorities only, and I have to let most things go until better, more secure days. Is a county more important and to be more secure than an individual? Christa Reed, Auburn
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Christa, I'm a bit confused. What do you mean when you say additional taxes? Everyone gets the tax statement but if you pay them on a monthly basis along with your mortgage the tax bill is not in addition to that, it is the bill, nothing more.
I think you should contact the Assessor's Office to clarify this. Now, if you don't pay your taxes on a monthly basis then the two installments are due, one on December 10 and the other on April 10. This is not new, it's been going on forever.
I hope this helps.
Christa, Your mistake was in working and paying your bills. The government does not appreciate what you do. Rather, they want to take what you earn and give it to others who prefer to sit around and take.
You know you had property taxes to pay, right? The only sure things in this life are death and taxes. Generally people divide up the amount due each year and set it aside (on paper or a separate account or it is somehow figured into your mortgage payment). It is called planning ahead. Yes, times are tight, but your letter makes it sound as if you didn't know you have property taxes to pay. Didn't your ex inform you of that fact before he moved out? And the fact that you work hard and do charitable work in the community doesn't exempt you from having to pay taxes. Sorry. Maybe take out a loan for the amount and then make payments on that.
A person doesn't know how much he has to be thankful for until he has to pay taxes on it. ~Author Unknown
I think she is talking about the “rise” in her tax bill. I got one, too. Our taxes went up. I feel for you Christa. These are not fun times, and you can expect them to stay much longer. If these clowns in office get their way, we will be in debt like this country has never even dreamed of.
This is because our great leaders in the State legislature have screwed up so badly, that they have to borrow from "next years tax bill" in order to pay this years debts. Lovely situation, isn't it. Now wait. It's going to get even better when the Feds start doing the same thing, and inflation kicks in. Hold on, we're in for a quite a ride.
Patrick: There was a rise? Ours, in Placer County, went down due to property values going down.
I think sewer rates went up, at least in my tax bill as they roll everything into one bill, including west nile charges, fire, school bonds etc...
Christa mentions being recently divorced. If she recently took her ex-spouse's name off the property, then its possible the county reassessed the house and is sending her another bill. I've seen this happen before. The county makes it look like you have to pay both tax bills when you only have to pay one. And since her property value has likely gone down (who's hasn't?), her bill should the lessor of the two. She can straighten this out, but trust me, it will take lots of time and patience at the assessors' office (I'll keep my feelings about those fine individuals to myself right now).
We all only lease our property from the county and they actually own it all.....legally the county can increase the amount of tax paid by 2% per year based on the "original sales price" tax which was based on 1%. Add ons like sewer rates in district 1 have gone through the roof thanks to boards approving new clean water discharge guidelines for fish and pollution standards etc.. Other add ons are for fire, schools etc.
So I buy a house for 300K I pay $3000.00 a year in property tax + misc add ons. Each year my tax bill will go up by 2% along with any add ons + their increases if approved. This is a governmental leach process that helps pay for things we are told are very important by those collecting the money....like mosquito abatement fees for West Nile Virus...another government fear supported agency.
So.... year 1= 300k x 1% = $3000.00 property tax + add ons....year 2 = $3000.00 x 2%=$60.00+$3000.00=$3060.00+ add ons...this formula will go on forever as long as the property is owned by a human being and the property tax cost will only go up....unless the property is sold for lower than the 300K price to the next buyer. The formula resets based on each new rollover sales price and a new tax start point begins for the above formula...add on's usually remain the same dollar amount or go up no matter what price the property is sold at. Prop 13 is the best thing that ever happened to our state or all property owners would be going broke from paying property taxes.
Obewans is right on track with the West Nile fear mongering, which all of us property owners pay to support, what a waste of taxpayer money, but its empire building for the county and state....
Rapidog...would you fill me in...on what the mis-information is.. in my posting? Property tax can go down only in a re-evaluation of property based on a failing valued real estate market as we have now...this is not the common rule...as property value usually goes up in dollar value... and the current inflated property values were in essence promoted by the same government sitting silently on the sidelines while everyone collected their bankrolls in roll overs including them in property tax increases based on fraudulent real estate values. So some property tax will be readjusted down as we have just seen...I believe some will get a 5% decrease as the values have actually plummeted by around 35% in the last two years. There appears to be 30% missing and still in the government coffers. My above formula is based on long term same property ownership....and I have owned my property for 13 years and I did not ride the wave as many of you did...foolishly... for there are many who lost everything and or can't afford what they now own and are losing their properties......while others including the government.... made out like bandits on the "fools gold" everyone was promoting in real estate! Please tell me where I am wrong...for Obewan likes to use the power of the force........please share your wisdom with me.
Obewan:
Proposition 13 limits the annual assessed value (not the tax amount) of a property to a maximum of 2% increase. If the California CPI is below 2% in any given year then the increase in assessed value is limited to that amount.
That situation has occurred a couple of times since Proposition 13 was passed in 1978.
For a homeowner the tax is calculated as follows:
Assessed value, less homeowner’s exemption, multiplied by 1.0% plus any bonded indebtedness and/or fixed assessments. It is the same in each county throughout the state. Other special exemptions may apply.
When I worked in the Property Tax Division at the State Board of Equalization our main purpose was to make certain county Assessor’s comply with the state law. Some have a good grasp of the law, other’s like the current temporary Assessor of Placer County, and her former boss, are just plain clueless.
So your saying my formula is wrong 300k- homeowners exemption $7000.00=$2930.00 tax with no additional improvement assessments. The formula can not be converted into the tax formula since they are mirrored at the base point of say $2930.00 per year or 1% os sales price instead of my $3000.00 per year? I missed the home owners exemption on primary residence...does that exemption apply to second homes..if not then my formula stands pat..except for special circumstances of re assessment on improvements or like now in a collapsing real estate market. If ones does nothing to the property ..then I believe the formula is correct...unless I am missing something.
How many times did the CPI actually go down below 2% since 1978...I believe I have always been up charged the 2% on my lease payments to the county...I mean property tax.
Gail, for those that have lived in their houses for many years the values haven’t gone down below the assessment levels; therefore, we received our rate increase.
Obewan:
Using your example
Assessed Value $300,000
Less, Homeowners -$7000
Net Assessed $293,000
Base Tax 1%
Base Tax Bill $2,930
Add Special Assessments and Fees/Bonds etc. (Can be quite substantial)
Homeowner’s exemption only applies to primary residence.
I think the CPI adjustment was below 2% about 3 times since 1978. You can check the factor table at our website:
http://www.boe.ca.gov/proptaxes/proptax.htm
OB is correct when he says that people do not own their land. The government can take it at any time. It breaks my heart to hear stories like the one above. Crista may have to move to a smaller place or rent out rooms until she is financially stable. Remember houses, though full of memories, are materialistic. One can still have the memories without the house.
The part I really love about the Property tax bill is the charge for $117.00 for the Dry Creek Drainage Protection. I would love to see how much money this brings in and how much has been actually spent on the "Dry Creek". I'm sure that was passed as a way to circumvent proposition 13 and the monies actually go to the General Fund to be misspent by King Tom and his court of jesters.
Rabiddog, do you have any knowledge on this "fee"
l-r: No, but the tax bill should have a telephone # next to the charge.