On November 3, a law protecting commercial property tax limits may become overturned. The year 1978 saw the enaction of Proposition 13, which limited property taxes. As a result of recent incidents, Proposition 15 has come about. This new bill measure is well funded by California teachers’ unions and targets commercial properties.
Proposition 15 would repeal Proposition 13 and increase the low tax rates property owners have currently. The Proposition would not increase residential property taxes, but it would hurt businesses in an already hostile environment of costs that California gives businesses across the state. The bill measure also promises to raise $6.5 billion for schools and city governments. Opponents of this measure argue that soon enough this proposition would enable taxing residential property easier in the future.
Plenty of California businesses have left the state in favor of others. They have moved to avoid the high tax rates implemented by Sacramento each year. Housing rates have gone up and people are leaving the state in droves, favoring places like Las Vegas, Austin, and Portland. California’s tax system seems to grow larger and more unbearable for some people. Even rents have gone up exponentially, forcing some to move farther from big cities. How far California is willing to go in taxing its population will be up to the voters in subsequent elections.