POSSIBLE PROPERTY
TAX INCREASE
Just as the economy slows down, Montgomery
county residents are most likely facing higher property tax bills.
Montgomery County Executive Isaiah Leggett is putting the final touches
on his 2009 fiscal spending plan- he has said he is reluctant to
raise taxes locally, but the council is dealing with a budget gap
that is 7% of the estimated $4.2 billion in spending for the upcoming
fiscal year that begins July 1. The county’s largest source
of revenue, income tax, has already hit the local limit allowed by
the state- so that leaves the property tax.
Most residents think it would be unreasonable for local leaders
to even think about raising property taxes when prices are falling
the way they are. As stated by the Washington Post in a recent
article “Montgomery’s residents have long been known
for their high tolerance for taxes when they believe there is a
trade-off for such services as high-performing public schools.”
In this case there is no trade off, as prices keep falling in some
areas and residents are already stressed. The real estate recession
will hit the local economy with a knock-out punch in the months to
come. Job loses are expected as many businesses cut back and even
shut down due to a 50% drop in home sales.
What do you think? Have you had to appeal a tax assessment? Share your
thoughts on our bulletin board.
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