The 2006 tax levy numbers are in and Ada County Assessor Bob McQuade offers up a detailed series of charts and numbers so you can FIGURE YOUR TAX.
The GUARDIAN cuts to the chase and will let you know the tax on your house will be right at 1.38% of the TAXABLE value–the assessed value minus your homeowner exemption if you live in Boise. The levy varies by city. That translates to $1380 taxes on a house with a taxable value of $100,000.
The maintenance and operation portion of school tax was taken off the property tax (about half was removed in the Boise District), but property values were increased. Every unit of government increased its budget, but there are more people paying the bill. Bottom line your taxes will remain about the same or just a little lower than in past years.
Beware of a dark ominous cloud hanging over the head of every homeowner in the county. On the horizon is the possibility property values could actually DECREASE as the housing market cools (some predict the bubble will burst). The cities, counties, schools, and other taxing districts can INCREASE the LEVY RATE to a pre set maximum percentage if values go down.
Levies are based on the amount of money needed to balance a budget which has a 3% limit on increases. Budget is set BEFORE the levy, so local government does not base spending on cash available. It is just the opposite. The law requires them to approve a budget and then levy to fund it.
The problem is that everything is based on growth and if the growth stops–as it will someday–the adjustment will be costly and shocking to many.
The current homeowner exemption is the lesser of $75,000 or 50% of assessed value. In 2007 the exemption will be raised to $89,325. If the growth value doesn’t meet or exceed the exemption increase, look for levy increases.
That sounds great on the face of it, but the 2006 levy will be the LOWEST IN RECENT HISTORY. Without inflation and growth, government would be forced to increase levies and in some cases the increases will be double digit increases.
We will leave it to the mainstreamers to give you all the gory details and corrections. There are so many exceptions and exemptions it is nearly impossible to come up with any better information than we have offered.
The very real potential exists for you to have a home of lowered value and increased taxes next year.
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