Ben Hall Calls For A Reduction In Houston’s Property Tax Rate
Pro-Growth Tax Policy Would Ensure City’s Economic Future
October 16, 2013
Ben Hall today announced his support for reducing Houston’s property tax rate by two cents, lowering the tax rate from $.63875 to $.613728 per $100 of taxable value. Today, Ms. Parker directed City Council to keep the effective tax rate for this year at $.63875, maintaining last years rate. Since the appraised values of properties have increased by four percent over the last year, maintaining last year’s tax rate is effectively a tax increase on Houstonians.
“At a time when Houston’s economy is rebounding, our city leaders must look for more opportunities to incentivize business growth and economic investment in Houston. Instead Ms. Parker asked City Council to maintain a tax rate that effectively increases the tax burden on citizens,” said mayoral candidate Ben Hall. “By implementing forward thinking policies, we can reduce the tax burden on individuals, drive additional economic investment, and increase tax revenue for the city. A two cent property tax rate decrease is a necessary first step in that direction.”
The city would receive $102 million in additional tax revenue as a result of this tax increase. For each penny of this tax, the city receives approximately $17 million in additional revenue. Therefore, by reducing the tax rate by 2 cents, the taxpayers would save $34 million dollars while the city will still continue to receive $68 million in revenue. More importantly, this tax burden decrease would exponentially drive new business and additional tax revenue by incentivizing additional investment in Houston.
“Reducing the tax rate is the type of forward thinking reform Houston needs but Ms. Parker has failed to advocate for even this simple change that would ensure Houston’s long term economic growth,” continued Hall. “We must reduce the regulatory and tax burdens on Houstonians in order to promote and sustain economic growth, not continuously drive up costs and drive out business.”