Homestead mailing list

[Gene GeRue <genegerue AT ruralize.com>]

On Dec 31, 2008, at 3:03 PM, Leslie wrote:

> Real estate taxes will rise, and likely rise faster proportionately  
> than wages.  It is so important to understand that what the Fed is  
> doing by expanding the money supply - is a hidden tax - is is the  
> cause of inflation.  As local, state & federal governments pay more  
> money as prices and wages inflate - they tax more.  Although, we may  
> be entering a new era where instead of taxing more the Fed just  
> prints more and more money and gives it to the states to make up the  
> budget deficits if real estate taxes aren't increased.
>
> While the laws are a tad different from State to State - state's do  
> put tax liens on property for unpaid real estate tax - and in some  
> states (maybe all - I'd have to brush up on that) - after X number  
> of years of non-payment - the property winds up on the auction steps  
> of the courthouse. . . . If the taxman cometh and taketh the land  
> for non-payment or under payment of real estate tax - there's no way  
> to homestead.

Leslie, unless someone chose property in the wrong place, property tax  
is almost a non-issue for homesteaders. The feds do not determine  
property tax. That is the domain of the state and, primarily, the  
local county, for schools, roads and law enforcement services. The  
best homestead land is unsurprisingly in low-tax counties.

I had occasion to enclose a note with our recent tax check. Here is  
the note I sent:
December 14, 2008

Dear Tax Collector Bill,

Enclosed is full payment of property taxes on the acreage and shack my  
wife and I call Heartwood, our beloved Ozark County home, so-called  
because our hearts are here and this part of the world is in fact a  
great wood.

Over the years the tax bill has been flirting with the one-hundred- 
dollar figure and I see we are now perilously close to that figure.  
Oops! The bill is incorrect! Egads!

Alas, the travel trailer listed on your bill is not my property. It  
belongs to a friend who enjoys our salubrious summers so much that he  
travels a great distance to spend a few months with us each year. As  
you have the more intimate relationship, I suggest that you confer  
with our esteemed Assessor and propose that future field personnel be  
instructed to note license plates on such vehicles. Had this procedure  
been followed it would have been noted that the trailer’s home base is  
California.

Now, knowing how we need all the tax revenue we can muster, if you see  
any plausible way it can be legally accomplished, I will plead with  
the owner of the travel trailer to license it here in Ozark County.  
Please advise.

Bill, I trust you will agree that Ozark County should now pay me  
interest on this overcharge of $5.49. Considering the current sad  
state of our economy I figure a fair interest rate to be only five  
percent. I’m not good at higher math but I believe the monthly  
interest charge should be 2.28 cents per month. And of course, in  
keeping with our tax collection rules, there must be a late penalty  
added until paid. I expect you have the high-tech equipment to  
calculate how much that should be.

In the interest of minimizing costs to the county to correct this  
egregious error, please apply the full rebate to next year’s tax bill.

Thanking you in advance for your kind attention to this pressing  
matter, I remain,

Respectfully yours,

Gene GeRue