Measure puts Prop. 13 in the cross hairs https://t.co/AzMAW7TRMB pic.twitter.com/38ey28IEjZ
— Cal News.com (@CalNewsEditor) July 8, 2015◼ Measure puts Prop. 13 in the cross hairs - San Diego Union
Unions: Ax tax limitations for business property. Are homes next?
Some of California’s politically powerful public-sector unions are gearing up for a 2016 ballot initiative that would “reform” Proposition 13 and get rid of its so-called tax “loopholes” to promote fairness. Their goal is to hike business property taxes by $9 billion a year by eliminating the limitations imposed by that groundbreaking initiative.
And the latest evidence suggests – despite supporters’ protests to the contrary – that residential property taxes could eventually be in the cross hairs.
Proposition 13 passed overwhelmingly in 1978 against a backdrop of escalating tax bills as property values soared. The measure limited taxation to 1 percent of a property’s assessed value (plus local bonds), and capped property tax increases to 2 percent annually. Real estate is reassessed each time it is sold.
The initiative’s supporters say it let owners predict the tax rate into the future – and protected them from the judgment of local tax assessors or the tax-raising efforts of county supervisors. It’s the one of the few areas in California, they note, where taxes are at a relatively low level.
