Goshen News, Goshen, IN

November 4, 2009

We need fair property tax change


I found Jim McKee’s letter (Oct. 23) very interesting. I feel it is very unfair that 64 percent of our property supports all Goshen city services and schools after exempting 36 percent for “government owned,” “not for profit,” TIF districts and special deductions. Users of all this property enjoy the benefits, but over one-third do not pay for them.

Out state government has legislated to make matters even more unfair. Next year, a resident-owned residence will pay a maximum of 1 percent of the value in property tax. That’s nice. But, if a family is financially unable to purchase a residence and must rent, the property will be taxed at 2 percent. Obviously, the landlord must collect this charge from the tenant in additional rent. That is not fair!

An unoccupied new home waiting for a buyer or a vacant residential rental is also taxed at 2 percent. That’s not fair!

For a commercial property, the tax will be 3 percent of its value. Why should the burden be placed on commercial property that probably uses less of the services than does residential? Usually, this tax is passed onto the tenant in the building. But, for the many buildings that are currently unoccupied, this tax is paid by a landlord who has no income. That’s even worse than not fair, that’s downright rotten!

We need property tax change! Perhaps we should tax all property at 1 percent and find more equitable ways to generate any needed additional income. The cost of services should be shared by those who use the services.

— Carl Van Gilst

Goshen