New Tax - If you plan on selling your home then Gov't wants a little now too!

Not sure if you guys have heard of the bill trying to be passed now... Another tax - this time on the equity in your home after a sale!

You can send your representative a letter IF you disagree...

http://www.itsabadidea.org/home/ (click on get the facts to read all about it)

 

The tax has nothing to do with the equity in your home, that is the framing used by the NC Association of Realtors in opposition to the tax. It would be a 1% transfer tax on the selling price of the home. If the house sells for $200,000, the tax would be $2,000. The tax would be the same regardless of the equity in your home.

The bill would allow the county commission in any county to put a referendum on the ballot asking voters to approve the transfer tax. If a majority of voters vote against it, then it will not be imposed in that county. What the bill really does is give counties the option of another way to help pay for schools and other infrastructure. A 1% transfer tax would not come close to paying for all of the additional infrastructure required by growth, but it would be a way to share the burden, instead of putting all of it on the property tax.

 

I was meaning equity as the amount of money that I make off the home... If I have a house that is worth 180,000 and sale it for 200,000 then that $2,000 that I do not get to keep is $2,000 LESS I had in my home as equity. I see it differently than you that is all .... and I personally oppose to this... Just me and my opinion... I pay the realtor their fee and would like to NOT loose another $2,000 that could go towards the purchase of a larger home (where the government would get taxes off that higher tax value home). Many of the mortgage companies oppose to this also, because it would hurt people in trying to re-sale their when they do not have a lot of equity!

 

So what is your solution to addressing the infrastructure issues in the county?

 

An important point to remember is that the bill in the legislature would not impose a tax at all. It would give counties an option, and the voters in each county could decide. If a majority of the voters in Johnston County do not want that, it will not happen here. But if a majority of the voters in some other county do want to use that option, why should we say they cannot?

Current law does not allow counties to impose any tax except a property tax without getting special permission from the legislature. A few counties have done so. This bill would eliminate the necessity of each county that wants to broaden their revenue base from having to get a special bill through the legislature to do that.

 

Well I am not all knowing by no means and I personally never try to claim that... however I think that the money and taxes we spend now could be used in a more wisely fashion. This tax would not solve the problem either. My opinion - I do not want to loose more money that I worked hard to gain in my home when I choose to sale it. My opinion and my thoughts only. When I sale and buy a larger home then my tax value will be higher and the goverment will get more money on my new highger tax valued home.

 

Well I agree. If the majority agrees for this then it will pass and that is how our goverment is set up and I agree with that. I personally just do not like another tax....

 

They already get a percentage of taxes on the sale anyway. The Schools and Libraries tax on your phone bill goes to schools. I know when I sold my home a percentage already went to pay state and federal taxes. I am not giving anymore. Johnston county already has one of the highest tax rates in the state. Second to Mecklenburg I think. That money goes somewhere. I am not going to flip the bill for poor planning on the schools problems. Maybe the Principles that make over a 100K a year can take less money so the schools can benefit. This is a really bad IDEA!! Who's backing this in the State senate?

 

While the NC Realtors Association is one of the most powerful lobbies in this state some of there scare tactics are not right. I really love the commercial where the women espouses that the proponents of this bill have brought out the big guns. There are no bigger guns than the NC Realtors Association.
With that said I support them in there quest to not pass this tax. I generally disagree with any tax increase or potential to tax. The government whether you are talking federal, state, or local enjoy too much money already. It is time for the legal residents of this country to demand the burden is removed. This will mean that spending has to be cut. Time for the government to enjoy the real world. My budget never goes up by the percentages the government's do and I have to adjust.

 

Do you have people moving into your house on a daily basis and expecting services like feeding, cleaning, watering, education, etc.?

People move here because of the low taxes. These low taxes are based on the government's ability to serve at a population and infrastructure level comensurate with the amount of people living there. As more poeple move in, they demand additional and better services and requires additional infrastructure. How else do you expect government to accomodate this?

 

This really irks me.
The government taxes our same dollar over and over again. When we earn it, when we buy our clothing, food, automobiles, homes, etc. And of course each and every extra (and just about every necessity) we choose to purchase is taxed, again. This new tax is crazy if you ask me. The government needs to spend MUCH MORE CAREFULLY! So much waste and dishonesty. All the time. Imposing this tax seems to be a quick and easy fix for our government. Just give the burden to the citizens. Why when I paid taxes at purchase and pay annually thereafter, should I pay again when I sell? How about some type of fee for those building in our county? You want a new home or business? Then pay a percentage at purchase to help support the challenges that present themselves with growth. In other words, impose a one-time fee for new construction in our county. I agree we are in a predicament with the school systems. Wiser spending and planning would go a long way. All that seems to happen is that the average citizen, working darn hard for their money, continues to have it taken away. I believe there are other options. I will most certainly vote NO!

 

if you move here for future amenities that is poor planning. If the government wastes money and requires taxes to increase that becomes my problem.

 

give the parents options and incentives and the problem is no longer there.

 

We all want good schools for our kids, good roads, clean water, police protection. Who is going to pay for that?

It's easy to say there is too much waste in government, and it may be true, but that bare statement really does not say anything. Point to the actual cuts you believe should be made. Do the math. Don't just say there's plenty of waste, they could cut if they wanted to. Tell me what you would cut. When we get down to specifics, we may find out my "waste" is your "essential service," and vice versa.

Who will actually pay a transfer tax? Several posters seem to be assuming the tax will be paid by the seller. When you buy a car, a boat, or a pair of shoes, you pay a sales tax on it; we don't normally assume that is paid by the seller. The transfer tax would be added to the sale price in the same way. If I am planning to spend $200,000 for my next house, and then the transfer tax adds $2,000 to my cost, will I change my mind and decide not to buy a house? I might negotiate with the seller and try to get them to cover part of it, just as you see ads for homes stating that the seller will pay X amount of closing cost, but if I really want to buy a new house I will most likely still buy it.

Yes, we have good schools already. But why do we have to keep building more and more schools? Because of growth. Why do we have the rate of growth we have in Johnston County? I suggest that it is at least in part due to our infrastructure, including schools. People moving into an area for the good schools and other infrastructure might fairly be expected to pay a little extra toward those things when the move in.

 

The tax is paid by the seller... out of our profits and money I loose. If I Sell my boat or car and make a profit I do not have to pay taxes on that persay... This is MY equity that I gained/aquired and I could use that money to pay off my debts or to invest. (With my situation it would be pay off debts LOL )

 

I don't know about ya'll but I feel the government is in my pocket enough as it is. Payroll taxes, real estate taxes, personal property tax, sales tax..................................it's got to end somewhere. Much more and we may as well just sign our paychecks over the government and be done with it.

 

Are you implying that Johnston county has LOW taxes? ( I corrected the misspellings to. Couldn't resist. Remember Intellectuals half listen.)

 

How about cutting $3M for a drag racing hall of fame? (proposed this year)

Or the $400K Sparta Teapot Museum? (passed last year)

 

I corrected your misspelling for you. And are you implying that you are, or are not an intellectual?

The Free Dictionary: Intellectual implies the capacity to grasp difficult or abstract concepts.

 

Have you not read my posts?? I do not claim to be an intellectual. But most of the posters are self proclaimed. So by listing the definition did you feel I did not understand what an intellectual was?

Well maybe they can't half read either? Being able to conceptualize is one thing but to argue a point with rhetoric and the occasional misnomer just makes some look like fools all the way around.