July 2, 2005

Property Taxes Biggest Share of Income in Milwaukee and Madison Areas

Wistax:

The other part of the state where the property tax burden was high was Dane county, according to WISTAX. The city and town of Madison led the area with property taxes at 8.8% and 8.2% of income, respectively. Five suburbs surrounding Madison also made the top-50 list: McFarland and Mt. Horeb (both 7.4%); Sun Prairie (7.3%); and DeForest and Stoughton (both 7.1%).

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In a separate part of the report, WISTAX notes that the property tax-to-income ratio is much like a political "heart monitor." When property taxes relative to income climb above 4%, discontent begins to grow. The study cited several periods in the postwar era when property taxes were unusually high and led to a major change, either in politics or in policy-making. Most recently, this occurred in 1993-94, when property taxes completed a 14-year rise, hitting 4.8% of income. Then, a bipartisan majority in state government imposed school revenue limits and first committed the state to providing two-thirds of local schools’ revenues.

Posted by James Zellmer at July 2, 2005 12:02 AM | Subscribe to this site via RSS:
Posted to Taxes