Thursday, August 11, 2011

Paper: Tax rates, biz success seem unrelated

Florida’s property tax rates seem to have no relation to the business climate in a given area, a new newspaper analysis has found, although economists caution that it is only based on one year of data.

An analysis of property tax rates and business revenue across Florida by the Sarasota Herald-Tribune found the economies in counties that raised property tax rates had about the same amount of success or failure as those in counties where rates stayed the same.

The story, published Sunday, found that two of the counties experiencing a big boom for local businesses – Miami-Dade and Collier – also saw some of the largest property tax rate increases in the state. Sales by businesses in Miami-Dade jumped 9 percent, while sales by businesses in Collier County were up 10 percent.

In other counties, however, the correlation was the opposite. In St. Lucie County, for example, which also raised taxes, the economy faltered.

The analysis pointed out that the increase in tax rates was offset somewhat by declining taxable values. Many counties in Florida have seen enormous drops in the assessed value of property, in some cases as much as 30 percent.

Source: News Service of Florida, SARASOTA, Fla.

Property Tax Appeal information:

No comments:

Post a Comment