Tax Relief Not as Big a Relief as Advertised

Galveston Daily News ^ | June 7, 2006 | TJ Aulds

[anymouse]

Another credible county tax collector/assessor shows Gov. Perry's tax plan to be "smoke and mirrors."

Cheryl Johnson is a the Democrats worst nightmare - a smart, charismatic Republican woman official that isn't afraid to tell it like it is and back it up with facts.

[anymouse]

Cheryl Johnson tax ping.

[P-40]

To be fair, Perry did not say that the $2,000 was in US dollars. He could have been talking pesos.

[italianquaker]

they wish it was in euros

[fhlh]

no property appraisal caps = no tax relief what so ever...

it's all smoke an mirrors...

[LM_Guy]

He must have ment cents not dollars considering the following ISD -

Hitchcock ISD
Cumulative three-year saving -$4.87

[BellStar]

This is just one smart and Cute little Galveston County Elected Republican Chick, Cheryl Johnson's take on this.
We all worked hard to get her elected. And we are pretty proud of her. What say all of you? I'm still reading.
I'm a little slow.

[DrewsDad]

Friendswood ISD
Average HS value $204,086 $216,656 $230,000 $244,165
Average M & O HS tax bill** $2,836.29 $2,682.02 $2,150.00 $2,291.65
Savings based on 2005 M&O taxes -$154.27 -$532.03 $141.66
Cumulative three-year saving -$544.64

OK, so whay wouldn't this be (2,836.29 x 3)-(2,682.02 + 2,150.00 + 2,291.65) = $1385.20? Why are they only caclulating the savings delta from the previous year instead of from this year's tax?

And most taxpayers would likely base any tax savings on comparing tax bills year by year, she said.
“It’s not real savings to me if how much I pay in 2008 is higher than what I pay in 2007,” she said.

These numbers are bogus. She should calculate the totals with her 6.15% increases(which gives aproximately 1.065 increase in the tax rate) without any reductions and them subtract the toals with the reduction.

If you do this, then it will be (2,836.29 x (1.065+1.065^2+1.065^3)-(2,682.02 + 2,150.00 + 2,291.65) = $2,540.07

[humblegunner]

The $2,000 figure comes from a series of campaign advertisements for Gov. Rick Perry. In each of those television commercials, Perry brags about a pay hike for Texas teachers and that “the average homeowner will receive a $2,000 tax cut” during a three-year period.

I think Perry means "average" in HIS neighborhood.

Good on Johnson for pointing this up.

[DrewsDad]

Sorry BellStar, I don't agree with her numbers. This looks like democrat math.

[BellStar]

She is no Democrat but her math was odd to me too!
But than I'm no Math Major either.

[DrewsDad]

If you know her, please call or email her and have her calculate the savings based on the total that would have been paid in the next 3 years without the property tax cut and the total with the reduction.

Hopefully with a retraction, CKMRS, Kinky, and Bell will feel a little guilty before spreading this all over.

[Smittie]

I can't believe out of all the millions of people in Texas we can't find someone better than the empty suit that resides in the Governor's Mansion.

[Proud_texan]

Dunno about his agenda or math but Bettencourt (Harris County TAC) says it's $23 next year for Harris County and $268 the following. Maybe all these tax folks are math challenged (might explain my tax bill).

http://www.bizjournals.com/houston/stories/2006/05/29/daily31.html

[DrewsDad]

Perry was wrong in basing his numbers off the average sales price, but we don't need to make it any worse than it really is. It should be the difference between having the property tax cut and not for 3 years. Don't throw in this year to year delta or add an increase to one figure and not the other.

[anymouse]

Did someone call for pictures? :)

Cheryl E. Johnson
Galveston County
Tax Assessor-Collector

[sinkspur]

I did my own calculation for my home, and it will be $2200 over three years. And my house appraises for less than $150,000.

These assessors have an agenda, it would appear.

[anymouse]

Harris County Tax Assessor/Collector Paul Bettencourt has also ran the numbers on the actual property tax savings. They are consistent with Cherly's numbers. They work closely and I'm sure they have reviewed each others calculations. There probably are other factors taken into consideration (we have multiple overlapping taxing entities that factor into the equation) so you simplified calculations don't account for increases by those other entities that erode the tax savings that are supposed to come from the not-so Sharp Plan. They are calculating the actual refunds that the taxpayer will receive, not the theoretical savings that the Governor is claiming.

[DrewsDad]

They are calculating the actual refunds that the taxpayer will receive, not the theoretical savings that the Governor is claiming.

Then DON'T compare it to the $2,000 figure!

If there was no plan passed, the Friendswood example would result in a $1134.52 tax increase, the way you are calculating it.

[DrewsDad]

OK, here's a simplified test for you:

If your taxes were lowered from $2,000 per year to $1,000 per year, what would your "Cumulative three-year savings" be?

Democrat Math Answer: $1,000
$2,000, $2,000, $2,000
-$1,000, $0, $0
Savings = $1,000

Actual Math Answer: $3,000
(2,000+2,000+2,000)-(1,000+1,000+1,000)
Actual 3 year savings = $3,000

Now, tell me which one do you agree with?