As a NY property owner you may be used to high tax bills. Even constantly increasing tax bills. Yet, there are many factors which could overlap to deliver some surprisingly sizable tax increases this year, even by Empire State standards.
Here are some of them…
More Hype About The School System
Long Island schools seem to be pushing a new PR rush in the media. Hyping up their great rankings for public schools in the state. They may be great. Yet, this may also well be a prelude to justifying a call for more money and higher school taxes. School taxes make up the bulk of annual property taxes.
Casinos
The state governor is reportedly working on lifting a ban on casinos. Some may love them. Fabulous cities have been built on them. Yet, as the NY Post points out, they are typically a huge drain on taxpayers. They would typically be funded by huge property tax breaks. Which will then be funded by regular property owners. Most typically run into financial difficulties, and then require further taxpayer bailouts.
New Construction Tax Breaks
We’ve recently covered the slow phase in of property taxes for new construction properties. An eight year tax break that will be paid for by owners of existing properties.
Inflation
Everything is costing more. Expect taxing authorities to argue they must raise taxes to cover higher costs.
Crime
Crime rates in NY seem to be rising in lock step with inflation. Law enforcement is funded by taxes. More crime means a justification for more taxes.
Rising Home Prices
Syracuse.com notes that rising home prices have driven up some New York property owners’ tax bills by close to 30%. As well as advising that many should be bracing for bills that are $10,000 to $50,000 higher this year.
Zombie Homes
Many financial experts now believe that a new recession is inevitable. Now the Federal Reserve Bank of Dallas says that a housing bubble is forming.
As we saw in the last housing crash, empty homes mean counties have to spend more on maintaining and securing them. As well as battling increases in crime.
LIPA Tax Break
LIPA has been granted an almost 50% reduction in their taxes over the next five years by Nassau County. That is around $60M other taxpayers will have to pick up the bill for.
New 2023 Changes To The STAR Exemption
The governor’s new 2023 budget calls for changes to the STAR program. It may give tax breaks to some. Though again, compounding the additional tax burden for their neighbors.
Summary
Local property owners could see some of the largest tax hikes of their lives coming. Get ahead of it, and don’t be taken advantage of by flawed bills and tax assessments. Get in touch with Property Tax Adjusters, Ltd. today to review and reduce your property tax bills.