Impact of tax increase on the community of Dougherty Co.

ALBANY, Ga. (WALB) — On Friday, Dr. Peter Bluestone from the Andrew Young School of Policy Studies at Georgia State University joined Jim Wallace of WALB. Dr. Bluestone is an expert in state and local tax and tax policy.

“My question for you, Dr. Bluestone, the impact of raising taxes by a county right now. You have the Dougherty County numbers right now because they’re talking about a proposal to increase the mileage rate. What is the impact on people? Wallace asked.

“So the impact is going to vary. We think first of the people affected by increases in mileage rates and we think of owners. In particular, we think of seniors on fixed incomes and the impact that has on them. But the state is doing a good job of providing exemptions for homesteads, especially for low-income seniors. They are somewhat insulated from potential tax increases and their increased tax bills. “One group that you don’t hear a lot about, but aren’t as isolated, is renters, especially low-income renters or seniors who are fixed-income renters,” Bluestone said. Property tax is paid legally by the owner of the property, the lessor.But this property tax is passed on to the tenants as the cost of running the businesses.The cost of owning the property.As the property taxes have rise, rents will eventually rise as people end their leases and new leases are negotiated. It is therefore a group that can suffer disproportionately when property taxes are increased.

“Obviously we are in a period of inflation, on the cusp of a recession if not already nationally. Raising more taxes, what is the effect on local businesses?”

“So it’s difficult for local businesses, especially small businesses. For businesses considering locating one location or another, you know that a higher property tax rate might discourage them from choosing Dougherty County. Maybe they’re looking at a neighboring county. Another interesting and challenging situation for the county involves exempt businesses or large exempt institutions. There are several that are located in Dougherty County,” Bluestone said.

“There is competition, and that’s a shame. And it looks like the slightly less fortunate counties are struggling to get back on their feet. »

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