<HTML><BODY style="word-wrap: break-word; -khtml-nbsp-mode: space; -khtml-line-break: after-white-space; "><BR><DIV><DIV>On Mar 25, 2006, at 6:26 AM, <A href="mailto:ttrail@moscow.com">ttrail@moscow.com</A> wrote:</DIV><BR class="Apple-interchange-newline"><BLOCKQUOTE type="cite"><P style="margin: 0.0px 0.0px 0.0px 0.0px"><FONT face="Helvetica" size="3" style="font: 12.0px Helvetica"><SPAN class="Apple-converted-space"> </SPAN>The major property tax relief measure which passed the House would</FONT></P> <P style="margin: 0.0px 0.0px 0.0px 0.0px"><FONT face="Helvetica" size="3" style="font: 12.0px Helvetica"><SPAN class="Apple-converted-space"> </SPAN>increase the sales tax by ½ cent to replace 0.15% of the property tax</FONT></P> <P style="margin: 0.0px 0.0px 0.0px 0.0px"><FONT face="Helvetica" size="3" style="font: 12.0px Helvetica"><SPAN class="Apple-converted-space"> </SPAN>for school M & O. This would still leave a gap of about $35 million to</FONT></P> <P style="margin: 0.0px 0.0px 0.0px 0.0px"><FONT face="Helvetica" size="3" style="font: 12.0px Helvetica"><SPAN class="Apple-converted-space"> </SPAN>come up with, and there are serious doubts of the state's commitment</FONT></P> <P style="margin: 0.0px 0.0px 0.0px 0.0px"><FONT face="Helvetica" size="3" style="font: 12.0px Helvetica"><SPAN class="Apple-converted-space"> </SPAN>to maintain this funding.<SPAN class="Apple-converted-space"> </SPAN>Other measures discussed in the Senate relate</FONT></P> <P style="margin: 0.0px 0.0px 0.0px 0.0px"><FONT face="Helvetica" size="3" style="font: 12.0px Helvetica"><SPAN class="Apple-converted-space"> </SPAN>to increasing the sales tax to 1 cent and replacing all of the M & O.<SPAN class="Apple-converted-space"> </SPAN>It</FONT></P> <P style="margin: 0.0px 0.0px 0.0px 0.0px"><FONT face="Helvetica" size="3" style="font: 12.0px Helvetica"><SPAN class="Apple-converted-space"> </SPAN>will be interesting to see how this plays out.</FONT></P> </BLOCKQUOTE></DIV><BR><DIV>My concern is that at least property taxes are tax deductible from my federal taxes. Sales tax is not. This doesn't seem like relief to me!! Since sales tax is regressive, it just shifts the burden to those who are least able to pay (especially since food is taxed too). We need an initiative (like Prop 13 in California) which further limits the annual property tax rate increase. It should also freeze the property's assessed valuation until the property is sold (after all, my property is not worth more to me until I can sell it for a higher price). </DIV><DIV>If the legislature can't do it, shouldn't we do it for them? Is anything like this in the works in Idaho?</DIV><DIV><BR class="khtml-block-placeholder"></DIV><DIV>cynthia nichols</DIV></BODY></HTML>