RE: unclear statement

["Steve Cooke" <scooke@uidaho.edu>]

Dear visionaries,
	Renters pay twice the amount of property taxes as homeowners on the first
$100,000 valuation because homeowners get a $50,000 exemption on the first
$100,000 of valuation and rental apartments that are considered commercial
property do not qualify for this exemption. Depending on supply and demand
conditions, renters pay this additional tax in the rental price of the
property. For example, I am a landlord and I set the rent in part on the
taxes due on the apartment. The bottom third of my house (where the
apartment is) has about the same taxes due as the top two thirds, where I
live. That is how renters end up paying twice the amount of property taxes
as homeowners do on the first 100,000 of valuation. The tax rate for both is
the same, while the base for the renter is twice that of the homeowner on
the first $100,000 of valuation. Tax rate * taxable value of property =
Property taxes paid. 1% * $100,000 = $1,000. 1% * $50,000 = $500. $1,000 is
twice as much as $500. QED.
Steve Cooke

-----Original Message-----
From: Priscilla Salant [mailto:psalant@uidaho.edu]
Sent: Monday, December 10, 2001 10:40 AM
To: Steve Cooke
Subject: unclear statement

you might post a message that clarifies this statement, esp bec
the previous writer was so adamant about rentors being subsidized.

Renters pay twice the rate of property taxes as homeowners on the
 first $100,000 of valuation.

Priscilla