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About your tax bill: Don't look to Vermont for help
If you are looking for a lower property tax rate, don't move from Sullivan County across the Connecticut River to Windsor County, Vt. Not only will you have to pay a 6 percent sales tax and an 8.5 percent income tax, but your property tax rate will probably go up, too.
The Tax Foundation this month ranked U.S. counties by property tax burden. It is no surprise that New Hampshire has six counties in the top 100. (They are Cheshire, Grafton, Hillsborough, Merrimack, Rockingham and Strafford.) That is because New Hampshire has no broad-based tax, so the bulk of government is financed by property and business taxes.
What might surprise some readers is that Vermont has four counties in the top 100. Two of them, Windsor and Windham, border New Hampshire. Also, New Hampshire has not a single county in the top 20. Only four states are represented in the top 20: New Jersey, New York, Connecticut and Illinois.
How could New Hampshire, which has no sales or income tax, have not a single county in the top 20 as ranked by property tax burden? And how could Vermont have four counties that rank higher than four New Hampshire counties?
The answer, of course, is that sales and income taxes do not replace property tax revenue. They supplement it.
New Jersey has the highest state and local tax burden in the nation. Its graduated income tax runs from 1.4 percent to 8.9 percent. The median-income family in New Hampshire earns $87,000 a year, according to the Census Bureau. That family would pay a 5 percent income tax in Connecticut, 6.37 percent in New Jersey, 6.85 percent in New York and 8.5 percent in Vermont.
On top of that, the same family would pay an additional sales tax of 4 percent in New York, 6 percent in Connecticut and Vermont, and 7 percent in New Jersey.
In New Hampshire, that family pays no income tax or sales tax, only the property tax.
The Tax Foundation study did not account for Vermont's property tax rebates for some low-income families, which could push Vermont's numbers down slightly. But because the study uses median property tax burden, the numbers would not move much. The overall picture remains accurate: Many Vermonters pay higher property taxes than their counterparts in New Hampshire -- in addition to paying high sales and income taxes.
If you live in Windsor or Windham County in Vermont, you probably pay a higher property tax than residents of Sullivan or Grafton County in New Hampshire, plus a sales and income tax.
Once again, the data show that having high sales and income tax rates do not lower property taxes. Government finds ways to take all the money it can rather than replace one tax with another.

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Andrew Cline has been editorial page editor of the New Hampshire Union Leader since October of 2001. His writing has appeared in more than 100 newspapers and magazines, including The Wall Street Journal, The Washington Post, and National Review.
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YOUR COMMENTS
Sales taxes (i.e. consumption and sin taxes) are the fairest form. At least then, people have the choice to spend or not to spend. Of course, with property taxes, they have a similar choice to some extent--they can stay or leave. And many do leave. Or, as in the case of Vermonters, they find tax loopholes. Ever wonder why all those front steps are missing and paint-peel is pandemic? Tax break on unfinished renovations. Upshot? The entire state is under perpetual construction. And here's the best part: tax revenues are down. It doesn't help that the state is unfriendly to businesses (high taxes and excessive regulations), which means that the high income tax they impose on the scant number of workers they have is futile and self-defeating. Yeah, the socialists have it going on alright!
But the point of the op-ed is that one form of tax does not always supplant another. Instead, the government finds a way to create new taxes, while increasing old ones. Frugality, efficiency,and accountability are out the window with these nitwit politicians.
- Susie Nickerson, Horseshoe Bay, TX 78657
Your article misstates the effect of Vermont's income-sensitive property tax "prebate" - which most Vermont households qualify for, not just those in the low-income extreme, and which can more than cut the nominal property tax in half. You also overlook that Windsor and Windham counties in Vermont are along the Connecticut river, so that most living here do our major shopping in NH, and so don't pay sales tax either.
- Whit Blauvelt, Rockingham, VT
It's amazing! Taxes are 'a necessary evil' as the saying goes... But Sales Taxes? Doesn't the (a?) a government get enough money on basic taxes? If not, maybe they ought to cut spending.
Sure, it costs money to run a government but why penalize people (and merchants) for taxing a purchase? Why should governments continue to find new ways to tax?
The parking meters in our major cities are just another form of taxation and 'drive' the spenders to the malls.
Start an Income or Sales Tax, and it doesn't stop there. There will always be more 'reasons' to increase these taxes as the 'need arises.
I lived in VT back in the 80s. At the time they had a 4% Sales Tax, an Income Tax that was 28% of Federal, and my property tax on a home valued at $60,000 (at the time) was $1800.00!!
"Let's leave sleeping dogs lie..."
- John A Diefenbach, Mason, NH
There is a reason that a property tax burden isn't necessarily proportionate to income -- it's not an income tax. The common criticism of property or sales taxes are that they are "regressive," that is, they are not proportionate to income. Well, no kidding, that's because they're not income taxes. What these critics imply is that an income tax is the ONLY moral form of revenue raising. To say the least, there isn't much logical support for this argument.
- Travis Blais, Windham, NH
Gee Richard, with all that money the son is saving, shouldn't he be helping out his widowed Mom instead of passing the buck on to other taxpayers? Maybe we could call that the "Family Advantage".
- Thomas Thorpe, Portsmouth, NH
When will people stop thinking about which revenue source (aka which tax) is the best for people and start thinking about where all the money goes?
The debate should be about how much the government spends, not which pocket they're grabbing your money out of.
- Tammy Simmons, Manchester
It is great to manipulate statistics to fit your story, for instance;
A widow living in New Hampshire, on SS as her only income, living in a home purchased 38 years ago, valued at $200,000 must pay 30% of her income for property taxes. Her son, earning $100,000 per year also lives in a home valued at $200,000 in the same town. He pays only 3% of his income. I guess this is what as known as the “New Hampshire Advantage”.
- Richard Elliott, Claremont
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