Credit for High end Home Owners Imposed by the State of Indiana

Those homeowners should be happy with the circuit breaker rule. The reason why because the state know the greed of the local officials and will only allow two percent of the value of your expensive home. What does this mean? It means the local government will have to be conscious of the two percent cap. From the IDLGF website

The circuit breaker provides property owners with a credit for any amount of taxes over 2 percent. For example, the maximum amount of property taxes a homeowner would pay on a $100,000 house would be $2,000. In this example, the credit limits the tax liability for the property to the 2 percent cap of $2,000.

The impact the Circuit Breaker may have on local governments and taxpayers will not be fully known until the annual adjustments of assessed values are completed later this year. With the new assessed values, counties and the state will be better able to fully calculate the impact of the Circuit Breaker.

But warning, these same local official could increase your tax rate to met the two percent cap. Oh my cooking the book is such a fun game to play with the tax payers.