Whats happened with the personal tangible tax, and how has that affected school districts?

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Whats happened with the personal tangible tax, and how has that affected school districts?

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With HB94 (for 2002-03), legislators eliminated the inventory portion of the personal tangible tax, which is a tax mainly on business equipment and inventory. The law would have eliminated the tax over 25 years, but HB95 (for the 2004-05 school year), cut that time frame down to about 12 years. That speeds up the elimination of the inventory portion of the tax. For districts with numerous warehouses and inventory, it’s a sizeable reduction in revenues. West Clermont, for example has $4.5 million in personal tangible revenue. Sixty percent – or roughly $2.7 million – is inventory. That amount will dwindle each year until it disappears. Q: A lot of new houses are being built in my school district. Isn’t the district getting a lot of new tax revenue from those homeowners? A: That’s a common misconception. When you move into a new house, you never start paying school property taxes immediately. That’s because Ohio taxes are paid in arrears. So if you buy a house this year, you won’t have t