California Proposition 13 Repeal
Watch out for a HUGE tax grab proposition set for the November California voter ballot. This would remove commercial property from the property tax protection of proposition 13!
Voters in California should keep in mind that just like with the gas tax this proposition has a less than truthful heading on it. Personally, I think that it’s probably somewhere over 98% of the people just read the headings of the propositions and never get into the details. That’s why the heading of the propositions are so important, and the job to see that they really reflect the intent of the proposition was given over to the California Atty. Gen.
California Proposition 13 Repeal
But just like we saw with the gas tax proposition that was just meant to repeal the increased gas taxes and registration fees, the heading that the Atty. Gen. put on it was very misleading as it implied that it would take away money from road repairs and bridge and safety issues. Many believe that the original gas tax could of taking care of all the road repairs and bridge safety issues if Sacramento did not just use approximately 20 to 25% of the gas tax for road repair and siphoned off the other 75% of the gas tax revenue to the general fund.
It looks like the same thing, a misleading proposition title is going to be used again to trick the voters in California to vote for this. It affects just commercial properties and I’m sure you’ll be told that your own home’s tax base will remain untouched. Although this is essentially correct, at least for now, what they’re not telling you is if you currently own real estate investment properties your taxes are going to go way up. Plus, even if you’re not a property owner you are going to be affected. I’m pretty certain that the politicians in Sacramento are going to try to turn renters against property owners in pushing this proposition.
Help get the truth out . . . post this page and/or the Youtube video on all your social media sites!
Direct link to this Youtube video: https://www.youtube.com/watch?v=6ZvXhvVetCM
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From Wikipedia, the free encyclopedia:
Proposition 13 (officially named the People’s Initiative to Limit Property Taxation) is an amendment of the Constitution of California enacted during 1978, by means of the initiative process. The initiative was approved by California voters on June 6, 1978. It was upheld as constitutional by the United States Supreme Court in the case of Nordlinger v. Hahn, 505 U.S. 1 (1992). Proposition 13 is embodied in Article XIII A of the Constitution of the State of California.
The most significant portion of the act is the first paragraph, which limits the tax rate for real estate:
Section 1. (a) The maximum amount of any ad valorem tax on real property shall not exceed one percent (1%) of the full cash value of such property. The one percent (1%) tax to be collected by the counties and apportioned according to law to the districts within the counties.
The proposition decreased property taxes by assessing values at their 1976 value and restricted annual increases of assessed value of real property to an inflation factor, not to exceed 2 percent per year. It prohibits reassessment of a new base year value except in cases of (a) change in ownership, or (b) completion of new construction. These rules apply equally to all real estate, residential and commercial—whether owned by individuals or corporations.
The other significant portion of the initiative is that it requires a two-thirds majority in both legislative houses for future increases of any state tax rates or amounts of revenue collected, including income tax rates. It also requires a two-thirds vote majority in local elections for local governments wishing to increase special taxes. (A “special tax” is a tax devoted specifically to a purpose: e.g. homelessness or road repair; money that does not go into a general fund).
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*** This 21 year old San Diego real estate is for sale! Also, aged real estate sites in many California cities are for sale.
