Story Created:
Nov 2, 2007 at 4:51 PM EDT
Story Updated:
Nov 14, 2007 at 1:25 PM EDT
(WSBT) Relief is coming for some property tax payers, but how much you get will depend on where you live. The state will send $300 million to counties across the state for property tax relief. The counties are determining who gets how much.
There are 40 different taxing units in St. Joseph County alone. Each of those units has a different tax rate. That means some homeowners could get more than others, but taxpayers we talked to say any kind of relief would be welcomed.
“I'll be glad to get a rebate, our taxes went up, so I'll be glad to get some of it back,” said Betty McIntyre, of South Bend.
County officials say people who live in South Bend and Mishawaka pay higher property taxes, so they stand to get more back from the state than those who live in the county.
Let's look at similarly priced homes in three different townships.
A homeowner in South Bend - Portage Township would a get a homestead refund of 14.3 percent. That translates to about $245.
In Mishawaka-Penn Township, someone who owns a similarly priced home would get a refund of 11 percent. That would translate to a refund of $146.
But in unincorporated Clay Township, taxpayers would get a 9.7 percent refund. That means a homeowner would only get a refund of $55.
County officials stress those are just estimates, and the actual refund amount could vary from neighborhood to neighborhood, even house to house. Some taxpayers say that highlights a problem with the overall tax system.
“Why not set up the system so you don't need the rebate,” asked Jeffrey Hodes of South Bend. “And lower the price in the first place, that way it makes it easier for the person in the first place, so they don't have to worry about the money and have to wait for it.”
Counties have about two months to tabulate the rebates, and return any unused money back to the state. State House Speaker Pat Bauer helped come up with the idea. He says counties can earn interest on their distribution of money. That interest could help offset the costs of sending out the checks. Rebate checks should come out by the end of January at the latest, but county officials don't know for sure.