The State legislature changed the property tax circuit breaker again. The property tax circuit breaker establishes a maximum amount that can levied as tax on the property you own. The circuit breaker was designed to protect property owners.
If your property is assessed at $100,000 then the most you can pay currently is 2% or $2000 per year.
As of 2010 the circuit breaker for residential properties will be 2% and all other properties will increase to 3%. This means that farms, investment properties (rentals), and commercial properties will all be capped at 3% of assessed value.
This will make it much harder for Indiana to attract jobs and is an awful idea.
Does anyone still think there is a real difference between Republicans and Democrats on economic issues?
Indiana should either abolish property taxes entirely or it should eliminate the homestead credit and all of the other credits it has established and cap all property taxes at 1% of assessed value.