They call it the stealth

The stealth tax is alive and well, and it appears it is being enhanced to meet the needs of those who survive off of property tax revenue.

Who owes their existence to the gathering and spending of property taxes?

Strapped local governments are getting desperate, and some may be overstating home values to collect more taxes. Has your home been overvalued at a time when real estate prices have been declining? Granted, Texans have seen a lesser decrease in real estate values; however, values have decreased. There is only one way for the entities that live and die by the collection of property taxes to survive - either raise the tax rate or increase property values. Look out folks the taxing entities want to keep the same budget as last year and they want to do it without cutting payroll, expenses, utility costs, cutting retirement contributions, etc. To make it work they will have to increase the tax rate or raise property values.

This article will help with an understanding of the process of how they drain your pocketbook and keep you from using the money as you see fit.

http://articles.moneycentral.msn.com/Banking/HomeFinancing/home-prices-down-but-tax-assessments-up.aspx