Can’t solve our property tax conundrum?  Then eliminate the property tax.  State Representative Dorothy Moon joined me on Magic Valley This Morning just 12 hours after a group of her colleagues floated the notion.  While I believe it’s a long shot, other taxes could be raised or created to offset the loss.  The national fair tax proposal is similar.  It eliminates all federal confiscation of your income and replaces it with a national sales tax.  If you don’t currently pay your income tax, you can go to prison.  With a sales tax, you choose when and what you buy.

The Elderly Would Finally Catch a Break

Elimination of property taxes gives senior citizens some breathing room.  We’ve heard horror stories about older Idahoans being forced out of homes where they’ve lived for decades or for their entire lives.  House Majority Leader Mike Moyle told me last year the mother of a childhood friend was in danger of losing her home.

Elimination of property taxes is likely to spur home buying and possibly encourage more construction, which could be expected to then bring prices down.

This Won't Happen Overnight

Moon explained the idea is in the thought stage and deserves some research before any serious action takes place.  The state sales tax would appear to be one mechanism that could be raised to cover losses if there’s no tax on property.

Moon does favor dropping the sales tax on groceries.  Governor Brad Little has said he would sign a bill on the grocery tax if it reaches his desk.

You can hear our discussion with Dorothy Moon by clicking on the YouTube video below.  The tricked-out Hummer is her parade car!

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