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GOP Tax Plan and Prop 13

2017-12-02 00:54:08.289346+01 by Dan Lyke 0 comments

This is interesting: David Dayen op ed in the LA Times: The GOP tax plan could be the death of Prop. 13

Under the compromise, Americans will be able to deduct property taxes of up to $10,000, but not income taxes. That's rough if your state happens to have the nation's highest income tax and one of the country's lowest property tax rates. That is, if your state is California.

The natural response to this turn of events would be to rebalance the revenue mix. California Democrats could offer a bargain: Lower personal income tax rates combined with a property tax rate more in line with the rest of the country. Of course, that would require voters to first repeal Proposition 13, which since 1978 has severely limited property taxes.

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