How Will Tax Reform Affect My Refund Next Year?

[Hypertrophy]

This is going to be the issue for many of us in California.  This $ 10,000 cap kills - especially when you own your own home and owe on it.   This is fine if you have a house that is worth $300K, but in California, houses at here, especially in LA County, average $600-700K, and the property taxes on a house alone can equal close to 10K, even more moderate middle class.

I used to live in upstate NY- Had a nice house, not a mansion, and it cost $250K. That actually gets you a great place.  My property tax bill was $9500 a year when I sold it. Completely due to unions I might add- because the bulk of the tax was school tax...A friend owned a house that costs $500K and was paying nearly $20K a year. So California taxes are nothing compared to the Hell I used to live in lol.

I moved to South Carolina to get better weather and lower taxes. i now pay $5000 a year in property tax on a $750K house.Most of my neighbors are from Cali now. They escaped.

[loco]

Former budget director for President George W. Bush, Josh Bolten, says the Trump administration’s reduced corporate tax rates are creating strong economic tailwinds for U.S. companies, now that rates are in line with those assessed in Europe and the rest of of the world’s developed countries.

During Yahoo Finance’s All Markets Summit in Washington, DC on Monday, Bolten told reporter Rick Newman that the drop from 35% to 21% is making the U.S. a more competitive place to do business, yet continues to be a hard sell to the American public.

“The tax reform was not about making wealthy people wealthier,” Bolten said. “On the corporate side, it was about making it possible for companies to do business in the United States on a competitive basis, and it is having that effect.”

https://finance.yahoo.com/news/josh-bolten-tax-cuts-not-making-wealthy-people-wealthier-223816758.html

[Primemuscle]

This is going to be the issue for many of us in California.  This $ 10,000 cap kills - especially when you own your own home and owe on it.   This is fine if you have a house that is worth $300K, but in California, houses at here, especially in LA County, average $600-700K, and the property taxes on a house alone can equal close to 10K, even more moderate middle class.

Yikes!

Could be an issue for me in Oregon. Last year, my itemized deductions were $24,000. The bulk of which was mortgage interest and property taxes.

[Primemuscle]

I used to live in upstate NY- Had a nice house, not a mansion, and it cost $250K. That actually gets you a great place.  My property tax bill was $9500 a year when I sold it. Completely due to unions I might add- because the bulk of the tax was school tax...A friend owned a house that costs $500K and was paying nearly $20K a year. So California taxes are nothing compared to the Hell I used to live in lol.

I moved to South Carolina to get better weather and lower taxes. i now pay $5000 a year in property tax on a $750K house.Most of my neighbors are from Cali now. They escaped.

New York state educator's salaries are the highest in the country at $80,000. Alaska's are a close second. South Carolina's are only around $50,000 which is among the lowest. Both states have teacher's unions. In South Carolina it is SCEA. In New York it is NYSUT. South Carolina is a right-to-work state, while New York is not. Generally speaking, right to work states have fewer union members.

South Carolina's education ranks 48th or the 3rd worse state in the nation. New York ranks 23rd. If you are concerned about the quality of education for your children you might want to consider private school or moving to Massachusetts which ranks #1. New Jersey is 2nd, but their property taxes are through the roof...pun intended.


Property taxes do pay for services other than education. Where your property tax dollars are spent should be indicated on the tax invoice. West Linn/Wilsonville voters continue to approve additional tax levies for education. We also rank the highest in quality of education along with Lake Oswego and two other districts. All four are in upscale and highly desirable suburbs.