041519 PropTaxAsAShareOfIncome
Economic Tidbits

Property Tax As a Share of Income

Property taxes paid by agriculture as a share of income are considerably more than that paid by other economic sectors in Nebraska according to a report by Goss & Associates released by the Fair Nebraska coalition. Figure X1, from the Goss report, plots property taxes as a share of income for the agriculture, business, and household sectors from 2010 to 2016. In 2016, property taxes paid by agriculture as a share of income was nearly 37 percent, while property taxes paid by businesses and households were 4 percent and 3 percent of income respectively.

Goss & Associates said that because income growth in the business and household sectors is constant over time, and is consistent with property tax growth, property taxes as a share of income for these sectors remain constant, ranging between 2.9 to 4.7 percent. Income in agriculture, though, varies considerably from year-to-year, so property taxes as a share of income varies each year, ranging from a low of 12 percent in 2011 to a high of 37 percent in 2016. And, since 2016, agriculture’s tax share has increased even more because farm income has declined, while property taxes have not. 

041519 PropTaxAsAShareOfIncome

What is your reaction?

Approve
0
Not Sure
0
Disapprove
0

You may also like