| You would expect that, in a civilized society, those | | | | mainstream economists to be barbarically regressive |
| who have more income than they know what to do | | | | and terribly unhealthy for the economy. |
| with would be asked to pay higher property taxes | | | | They are based on a far more intricate tax-code that |
| than those struggling to get by. If you've philosophical | | | | is filled with economic incentives and other measures |
| disagreements with that statement, you would still at | | | | that more often than not do more harm than good. |
| least hope that the homes of the rich are taxed at the | | | | Measures that were written to encourage construction |
| same rates as the average person. | | | | of low-income housing and other progressive goals are |
| Welcome to New York City. | | | | just as often exploited by the wealthy in a ways that |
| In this city, the value of one's home is just one of many | | | | end up doing little more than robbing the city of much |
| factors determining the property tax rates the owner | | | | needed revenue to fix an ailing public education and |
| is expected to pay. | | | | health system. |
| Consider the property taxes of this fair city. Rupert | | | | Though, to be fair the the NYC property tax code, it |
| Murdoch - who recently bought the Wall Street Journal | | | | has, historically speaking, strongly encouraged the |
| at a price that was about sixty percent greater than | | | | construction of co-ops instead of condos. These |
| its stock value - has a home in an apartment that he | | | | co-ops did save the city from much of the subprime |
| bought several years ago for $44 million. Today, it's | | | | mortgage crisis that the countries banks helped bring |
| probably worth considerably more than its valuation at | | | | on. |
| the time Mr. Murdoch purchased it. Even so, he pays | | | | So, an attack on the unfairness of the tax code for |
| an annual property tax of $55,000. While that may | | | | New York City apartments is not a diatribe aimed at |
| seem like a lot of money, it is, percentage-wise, | | | | those who think government manipulation of the |
| equivalent to someone who has a $500,000 home | | | | economy inherently leads to failure. |
| paying an absurdly low rate of $625 annually. | | | | It is simply to say this: In this city, the value of a home is |
| There are many extremely valuable New York City | | | | just one of several important factors in determining the |
| apartments that enjoy considerably greater tax-breaks | | | | property taxes you pay. |
| than Mr. Murdoch's apartment. | | | | Furthermore, if you purchase a condo, you are much |
| Indeed, property taxes in the city are not based mainly | | | | more likely to pay property taxes at higher rates than |
| on the typically-accepted progressive tax structure | | | | the wealthy who own some of the most luxurious |
| where the rich pay more; or even, for that matter, on a | | | | co-op apartments in the city. Many corporations are |
| flat tax system, which is generally considered by | | | | similarly charged lower prices than most individuals. |