Indiana governor Mitch Daniels, speaking about the state’s property taxes stated “The status quo is not tolerable and we must act to fix it.” He then presented a plan for Indiana property tax reform this evening. It requires enactment by the state legislature, but is one plan that would make a striking difference in the bills homeowners receive and to the funding of certain local services. It’s highlights, briefly:
- 1% (of assessed value) cap on tax of owner occupied housing, added to state constitution
- 2% cap on tax of rental properties
- 3% cap on tax of business properties
- The elimination of our political assessment system – to be replaced with a single assessor appointed by each county council who will oversee future appraisals.
- The removal of remaining school operating costs and the costs of protecting abused and neglected children from local to state government through a one cent increase in the state’s sales tax (to seven percent) and the use of some of state budget surplus.
- county tax boards to review total of local spending
plans and trim budgets. - Required public referendums on any spending beyond the growth in local income and for new capital projects such as building new schools.
You can view the announcement at the governor’s Web-site:
Indiana property taxes are at absolutely ludicrous levels. There are so many homes made unafordable due to the immensely high taxes. I say bring on the reform!! Hope it works Governor Daniels!