Civitas Forum: How Does Wisconsin Compare On Property Taxes?

Wisconsin State Journal
10/6/2007

There have been endless debates about Wisconsin's exact tax ranking. For sure, Wisconsin property taxes are higher than the national average. That's partly because government spending in Wisconsin is higher than average and partly because we rely more on the property tax and less on other fees and taxes than most other states.

In 2006, the owner of a $200,000 home assessed at fair market value in Madison would have paid $3,825 in property taxes, according to the 2007 Wisconsin State Journal Book of Business. Residents in neighboring Middleton would have paid $3,268 and Sun Prairie would have paid $3,998.

Another view: One way to compare tax burdens is to measure taxes against income. When we look at property taxes that way, Wisconsin is among the most expensive states in the nation, ranking eighth overall with property taxes totaling 4.4 percent of personal income in 2004. Illinois ranked 11th with taxes at 4.2 percent of personal income; Iowa ranked 16th at 3.8 percent; and Minnesota was 36th at 2.8 percent.

What you think: In a March 2006 Wood Communications Group survey of 600 Dane County residents, people were asked, "When you think about the next five years here in Dane County, what would you say are the one or two things that your local government could do that would help you and your family the most?" The top response was "reduce or do not raise taxes.''

Test your knowledge: State law says all classes of property must be assessed between 90 percent and 110 percent of true market value how often? (a) There is no state assessment requirement; (b) Every year; © Every four years; (d) Every 10 years.

Last column's quiz answer: In 2006, taxpayers in Verona paid the highest property taxes in Dane County on a $200,000 home assessed at fair market value: $4,053.

Got a question? Ask Civitas experts to answer your public policy questions. E-mail national@madison.com What is Civitas? These monthly seminars inform citizens about local government issues and civic responsibility. They are organized by Wood Communications Group and financially supported by several Madison area companies. Information: www.civitaswi.org.