You’ve likely been hearing about proposals to reform the federal tax system.
But even though Congress is finally tackling long-overdue reforms, the current proposal will actually do much more harm than good for Texas homeowners because it would eliminate critical homeowner incentives, including state and local property tax deductions.
TAR’s analysis of the proposal’s impact on Texas found that …
- 95% of Texas homeowners would see a tax increase. The proposed plan would only provide relief to 5% of Texas households.
- Eliminating state and local property tax deductions would require Texas homeowners to pay taxes on an additional $13.7 billion.
The National Association of REALTORS® has issued a REALTOR® call for action on the federal tax reform framework, and you can participate right now by sending a message to your Congress members at texasrealestate.com/action.
Take action now, and tell Congress to support tax reform and protect middle-class homeowners.
Why should homeowners pay less property taxes than landlords? I don’t understand the reasoning behind the homestead exemption.
This is totally bogus data put out by TAR. The WSJ says this is a benefit for all Texas taxpayers. We need to eliminate these tax deductions so the people in the high tax and high value house states will move to Texas! The government eliminated the interest deduction on autos years ago and guess what, people still buy cars!
Mr. Clark, Thank you for your comments. The information provided is from an independent analysis by an economic firm that examined the federal tax reform proposal’s impact on Texas. The full report is posted online at TexasRealEstate.com/taxreform17. The analysis shows among its findings that the loss of state and local tax deductions will have an especially profound impact on Texas homeowners, who rely on these deductions because Texas is a high property tax state. The Texas Association of REALTORS® maintains its position that tax reform is needed, but any reform must preserve state and local tax deductions that are critical… Read more »