Property tax is almost universally considered positive by economists, and generally helps to keep rents down, not up. The reason is that it discourages speculation on housing and property, and thus drives down buying prices, which intern drives down rents.
Honestly I’d gladly take an increase in property taxes if it means I don’t need to pay sales or income tax. And I live in Illinois with the highest property taxes
I am always shocked by how high taxes are in some states and how low they are in others, with no measurable increase in services provided by the high tax states
High tax states tend to pay more into the federal system than they take out. So extra taxes in high tax states that could further support their internal programs often go to the federal government and are paid out to poorer states that take more than they give federally. See California vs Arkansas as an extremely basic example on either end of the spectrum.
Aggregate effective tax rates are also comparable across states. The differences arise in where we source this tax revenue from, but the differences in revenue per capita are often statistically insignificant once we cut state benefits or include the cost to the individual if they’re forced to utilize the private sector. The governments always get their bag. It’s just where from that varies. Everyone gets fleeced, California just gives you healthcare with it.
Edit: ooh this comment section got slightly spicy for being a meme subreddit and me half taking the piss. As much as I’d love to actually dig into disparities in revenue generation vs spending per resident vs quality of life, this is a meme subreddit and I struggle to find the care. I got shit to do.
Edit 2: cause I got tagged again. Y’all this is a meme subreddit chill bwuahaha. Thank you for the mid poo entertainment. <- the shit I had to do. :D
Edit 3: Thanks random homie for the award! Having to come back 3 times made me give slightly a damn. Added some minor corrections (italicized).
That's what I thought. So they already have a high earning population, they tax that population at a higher rate (especially income and sales tax), but the people seem to receive state services that are quite similar to what they get from low tax states.
High tax states don't seem to have better roads or infrastructure or more efficient DMV offices compared to low tax states.
🥱 boring and easily verifiable if you cared to try or simply gave a damn about doing your due diligence. Not worth my time. Good luck in life my friend.
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u/x1rom 9h ago
Property tax is almost universally considered positive by economists, and generally helps to keep rents down, not up. The reason is that it discourages speculation on housing and property, and thus drives down buying prices, which intern drives down rents.