People feel property taxes more directly than other taxes, helping make it one of the more reviled taxes in America. Because so many individuals and businesses are affected by property taxes, it makes it all the more surprising that there are jurisdictions in the country that do not have standardized procedures for filing and paying, do not permit appeals of assessments to a neutral independent entity, or uniform taxA tax is a mandatory payment or charge collected by local, state, and national governments from individuals or businesses to cover the costs of general government services, goods, and activities. bases and rates on different types of property.
Focusing on these areas, the Council on State Taxation last week released their annual scorecard (PDF) comparing how the states perform on property taxA property tax is primarily levied on immovable property like land and buildings, as well as on tangible personal property that is movable, like vehicles and equipment. Property taxes are the single largest source of state and local revenue in the U.S. and help fund schools, roads, police, and other services. administration.
The top-ranked states overall:
The bottom-ranked states overall:
- New York (F)
- Delaware (D-)
- Illinois (D-)
- Pennsylvania (D-)
- Hawaii (D)
The full table of results (the more points, the worse the score):
| State | Standardized Procedures (Points out of 20) | Fair Tax Appeal Procedures (Points out of 16) | Residential vs. Business Property (Points out of 12) | Other Issues (Points) | Total Score (Points) | Total Score (Grade) |
|---|---|---|---|---|---|---|
| Alabama | 8 | 6 | 10 | 1 | 25 | C- |
| Alaska | 15 | 11 | 3 | 1 | 30 | C- |
| Arizona | 9 | 8 | 9 | 0 | 26 | C- |
| Arkansas | 7 | 8 | 3 | 1 | 19 | B- |
| California | 8 | 11 | 4 | 2 | 25 | C- |
| Colorado | 0 | 9 | 9 | 2 | 20 | B- |
| Connecticut | 15 | 6 | 4 | 1 | 26 | C- |
| Delaware | 20 | 10 | 4 | 1 | 35 | D- |
| Florida | 6 | 3 | 5 | 0 | 14 | B+ |
| Georgia | 3 | 3 | 5 | 2 | 13 | B+ |
| Hawaii | 17 | 8 | 9 | 0 | 34 | D- |
| Idaho | 12 | 7 | 3 | 0 | 22 | C+ |
| Illinois | 17 | 9 | 8 | 1 | 35 | D- |
| Indiana | 12 | 5 | 7 | 1 | 25 | C- |
| Iowa | 10 | 9 | 10 | 2 | 31 | C- |
| Kansas | 7 | 8 | 7 | 1 | 23 | C |
| Kentucky | 7 | 6 | 1 | 1 | 15 | B+ |
| Louisiana | 13 | 9 | 8 | 2 | 32 | D- |
| Maine | 15 | 5 | 4 | 1 | 25 | C- |
| Maryland | 1 | 6 | 3 | 1 | 11 | A- |
| Massachusetts | 11 | 5 | 8 | 1 | 25 | C- |
| Michigan | 6 | 8 | 6 | 0 | 20 | B- |
| Minnesota | 11 | 5 | 7 | 0 | 23 | C |
| Mississippi | 6 | 12 | 6 | 2 | 26 | C- |
| Missouri | 11 | 5 | 7 | 2 | 25 | C- |
| Montana | 10 | 11 | 8 | 2 | 31 | C- |
| Nebraska | 9 | 9 | 1 | 1 | 20 | B- |
| Nevada | 8 | 13 | 4 | 1 | 26 | C- |
| New Hampshire | 14 | 4 | 0 | 1 | 19 | B- |
| New Jersey | 16 | 8 | 4 | 3 | 31 | C- |
| New Mexico | 11 | 8 | 6 | 0 | 25 | C- |
| New York | 20 | 10 | 10 | 3 | 43 | F |
| North Carolina | 10 | 6 | 0 | 3 | 19 | B- |
| North Dakota | 9 | 12 | 3 | 0 | 24 | C |
| Ohio | 7 | 6 | 6 | 1 | 20 | B- |
| Oklahoma | 5 | 4 | 7 | 2 | 18 | B |
| Oregon | 6 | 4 | 2 | 1 | 13 | B+ |
| Pennsylvania | 19 | 8 | 6 | 3 | 36 | D- |
| Rhode Island | 15 | 10 | 7 | 0 | 32 | D- |
| South Carolina | 12 | 3 | 11 | 1 | 27 | C- |
| South Dakota | 9 | 8 | 4 | 1 | 22 | C+ |
| Tennessee | 11 | 9 | 6 | 1 | 27 | C- |
| Texas | 7 | 3 | 6 | 3 | 19 | B- |
| Utah | 3 | 7 | 5 | 2 | 17 | B |
| Vermont | 9 | 10 | 2 | 1 | 22 | C+ |
| Virginia | 18 | 8 | 2 | 0 | 28 | C- |
| Washington | 10 | 9 | 1 | 1 | 21 | C+ |
| West Virginia | 9 | 12 | 6 | 1 | 28 | C- |
| Wisconsin | 11 | 12 | 3 | 0 | 26 | C- |
| Wyoming | 11 | 4 | 3 | 1 | 19 | B- |
| District of Columbia | 6 | 9 | 11 | 1 | 27 | C- |
Be sure also to check out the property tax section of our annual State Business Tax Climate Index (PDF).
Share this article