Florida ranks 38th among states in total state and local tax burden but property taxes are too high.
December 6, 2007 – Palm Coast, FL – Florida has a reputation for high taxes, but this reputation has not been earned. In fact, Florida ranks 38th in total state and local tax burden by the Tax Foundation (see chart) . Thirty-seven states tax their citizens at a higher overall rate than does Florida. The perception problem arises because Florida relies too much on property taxes for its revenue. It also skews the property tax burden onto the backs of snowbirds, new home buyers, and commercial (including rental) properties.
In a letter to the Florida Taxation and Budget Reform Commission, Flagler County Property Appraiser, Jay Gardner, addresses these issues. He points out that the upcoming tax reform measure proposed by the state legislature does little to solve the tax inequities. He also suggests that the distribution of taxes should be changed resulting in a more equitable sharing of burden. His letter is reproduced below. I urge you all to write the commission to express your thoughts.
November 28, 2007
Florida Taxation and Budget Reform Commission
Chairman Allan Bense
Holland Bldg., Ste. 245
600 S. Calhoun Street
Tallahassee, FL 32399-1300
Chairman Bense:
As the Flagler County Property Appraiser, I hear from the citizens at the ground level. Typical comments are “we are being taxed out of Florida” or “Florida does not want us here so we will sell our home and move to Tennessee.” On any given day, I may hear a dozen of these statements.
I personally don’t believe that Florida has over taxation problems, but more of a distribution of tax problem. Real estate carries too much of the burden. As opposed to the Legislature, who seems determined to make the equity problem worse by giving the majority of the voters gifts, your Commission has the power to offer real reform.
Please consider that by utilizing additional sales tax and/or elimination of sales tax exemptions, you could offset or, hopefully, remove all school tax from the back of real estate. This would offer true relief for all categories of property owners. Most importantly, it would help the people who actually need relief (new homeowners, snowbirds, commercial properties, etc.). This method would not cause the feared reduction in services.
Flagler County, as a developing county, relied on growth and real estate related activities to drive our economy. We now have increasing unemployment, more foreclosures, and a stagnant economic outlook. By removing the stigma of high real estate taxes, you will improve the economic outlook for our entire state. The citizens and property owners of Flagler County and the great State of Florida would forever be in your debt.
Respectfully submitted,
James E. Gardner, Jr., CFA
Flagler County Property Appraiser
I’m not a fan of government in general,
But I am a huge fan of Jay Gardener. Flagler County is lucky to have a guy that is so grounded in that position.
Where’s the real revenue source?
I can understand the fervor from those most impacted by property taxes, but can an increase in sales taxes really make up a difference for a reduction in taxes on real estate (residential or commercial)? The 8+% sales tax in California didn’t seem to. An alternative, of course, is the dreaded state income tax which Floridians have thus far not had to endure. State revenue has to come from somewhere!