Reduce Property Tax Valuations

Congress recently passed the “bailout” of $700 billion for banks and financial institutions due to collapse of the mortgage market. The Congress and Secretary of Treasury have not specifically indicated where the money will be utilized, but one thing is clear, taxpayers, homeowners and infrastructure are not going to be the beneficiaries. Essentially, over-extending credit and over-valuing assets has led to a liquidity crisis, a valuation of assets question and valuation of debt to bondholders. The percentage of markdowns will be determined by auctions conducted by the Treasury. Markdowns have been estimated between fifteen and thirty percent for house sale valuations and up to fifty percent for sub-prime loan foreclosures. Whatever the percent, it is apparent that homes and property are no longer valued at the inflated prices realized during the recent market surge.
The State recently announced a revenue surplus of $400 million. The recent surplus is in addition to the billion dollar surplus for which taxpayers received a $400 rebate. From the property taxpayers point of view, the Department of Revenue has reappraised your property consistent with market inflated values. The reappraisals will result in higher property taxes being levied on the inflated value. The process of overtaxing Montanans' is being extended to property taxes. Income taxes need to be reduced and property tax valuations need to be revised downward to reflect decreased market values. At a time when the economy is so much in doubt, the legislature must reduce the overall tax burden and inflated property appraisals must be challenged.