More about property tax rates

Commenter John Schultz brought up a good point in this story. He said:

The problem with demanding a county-wide reassessment is that my understanding is the school districts and other taxing entities are allowed by state law to not see a dip in their tax receipts due to a dip in home prices. If anyone can speak to this better than I can, I would be interested to know if I am understanding that scenario correctly.

To clarify, that’s partially right. According to Missouri law, taxing districts can usually roll up their rates to match their revenue from the year before, so even in a year of value decrease, the taxes could go up.

But there’s a cap on the tax rate, so school and other districts can only tax up to a certain percentage. In the case of school districts, that’s the highest rate since 1980. For other entities, it’s the most recent voter-approved rate.

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