Wednesday, October 16, 2013

Excessive Tax Increases Coming To New Philadelphia


This is going to be one of the most important elections we have had in recent memory.  What happens this November will set the standard of living in New Philadelphia for years to come.  I know you have heard it before, but this year is different, really.

For one thing, issues on the ballot will affect your standard of living in ways you could never imagine.  The proposals include a city income tax as well as a school proposal.  Already the county has raised your country property tax by three percent, and when you total them all together the result is a big bite out of your income, a really big bite.

Let’s start with something simple, Tuscarawas County real estate tax.  You won’t find this one on the ballot, but you are going to find it on the bill from the Tuscarawas County Auditor next spring when your real estate tax bill comes.  You have probably received the notice already.  If you didn’t notice, the market value for your house has been increased.  It doesn’t mention the tax increase in so many words, but look out, it is going to be a real shocker.  The market value of your house has been increased by three percent.  Keeping the math simple, that means that next year the cost of your real estate tax alone will increase.  To figure out how much, look at your real estate tax for last year and multiply it by 1.03.  The figure you come up with is your new county property tax.  If, in the box on the lower right of your real estate bill, the amount due is $500, remember that is only for half a year, the tax is increasing by about $15.  It’s not much, only $30 a year.   There is not much we can do to prevent it since it is a state law and you know how much we can do to affect that.  By the way, folks who rent are going to pay this tax as well.  Trust me that the property owners you rent from aren’t going to absorb that loss.

Also on the ballot is a proposal to raise the city income tax by 3/4 percent.  That will kick your income tax up to 2.25%.  If your reportable income is $30,000 a year, your city income tax will jump from $450 to $675 per year if Ballot Issue 1 is enacted.  But then, as the advocates of the issue figure, it’s only a $225 increase.  What they don’t say is that there will be $225 less in your grocery budget.

Then comes the big one, the levy for the New Philadelphia Schools who want to add a 7.2 mill increase to your taxes.  The current tax rate is 49.2 mills, or 49.2 cents per thousand dollars real estate evaluation.  Should this levy pass it would increase the school taxes to 56.4 mills.  So for a property valued at $40,000 by the county, a resident who now pays $1,968 a year in school taxes, will be paying $288 more a year for a total of $2,256 in school tax.  But wait.  His house evaluation has increased by three percent, which raises his school tax by the same amount, to a total of $2,324

So if you live in a house for which the county has valued at $40,000 and have an adjusted income of $30,000 a year, voting for increasing the city income tax increase and the school levy will boost your taxes to almost $3,000.  And this, believe it or not, is on top of the increase in the sales tax, which is 6.75% on all you buy except for food you take home. 

The politicians will tell you we need these tax increases to make the city and county run.  I think we need that money to feed, clothe, and house our families.  Isn’t it about time we say no to those elected officials who are supposed to be looking out for our good but instead spend our money on their pet projects, on city employee wages, and expenses that don’t help us?

Vote in this election.  Vote no on the spending bills.  Make government live within their budget as we have to live within ours.  Tell ‘em no!

 

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