Re:Why is the university of California dropping the SAT?
by anonuser123456 on Saturday July 24, 2021 @01:46AM
(#27938772)
>And poor renters largely benefit by not having to pay local income or sales taxes, since the burden of the tax will fall on their landlords.
This is not how the rental business works. Property tax is simply a cost passed on to the renter.
Re:Why is the university of California dropping the SAT?
by enraged_camel on Friday July 23, 2021 @02:20PM
(#27933966)
Property taxes are fundamentally regressive because if two individuals in the same tax jurisdiction live in properties with the same values, they pay the same amount of property tax, regardless of their incomes. That's the literal distinction between progressive and regressive taxation. The fact that the middle class household can offset the burden by getting a smaller place is quite irrelevant.
In addition, it's erroneous to think that property taxes are shouldered by landlords. They are, in fact, passed on to renters.
Absolutely not. The burden of property taxes falls largely on the capitalized asset-value of real estate, so a typical middle-class household can offset much of that burden by paying for a smaller mortgage in the first place. And poor renters largely benefit by not having to pay local income or sales taxes, since the burden of the tax will fall on their landlords. Property taxes are in fact quite progressive.