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Post by rippy on May 15, 2021 6:33:19 GMT -5
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Post by Dream Maker on May 15, 2021 7:50:24 GMT -5
My condo will become my first home. My house in Mass will become my second home.
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Post by MonkeyBrook on May 15, 2021 8:30:35 GMT -5
How the hell would anyone know how long our house was "vacant"...I agree, how do these assholes get elected. Aren't there other things to worry about?
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Post by bob on May 15, 2021 10:11:28 GMT -5
This exemplifies the resentment Mainers have toward "out of state rich city folks".
After being hounded relentlessly to pull up my mask, outside, in line, all year long we have about had it with Maine. I certainly have not felt welcome in the state of Maine this past year. This is just another ridiculous thing we won't have to deal with anymore. Most of these BS rules do not exist in NH. We are voting with our wallet and going to ski NH next year. They actually act like they want to earn your business. Maine is the opposite.
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Post by sitzmark on May 15, 2021 11:39:25 GMT -5
A problem (unaffordable housing for an ever-growing large segment of the population) in search of a solution. This proposal most likely won't survive the process, but all will likely come to a head at some point in the future, however. People need a place to live and when they can't afford to buy a property or owners raise rents to a point that exceeds income/ability to pay things will get ugly ... already there in some cases around the country.
Recently read about an investment strategy that has been paying off well for the past few years - buying out trailer park properties. Most owners of mobile homes pay land rent to the property owner to park the mobile home. Many (if not most) mobile home owners are cash-strapped and one step from homeless. Owners generally can't afford the cost to relocate their mobile home. Knowing this, investors are flocking in to buy mobile home parks and raise the rent. Rental increases are being calibrated on SSI and other fixed benefit incomes, which many mobile home owners are dependent upon. Sets up a groceries or rent conflict. Lucrative for the investors. No so much for the residents. It is capitalism, but when people can't eat or put a roof over their heads they get violent. Numbers game ... not rocket science. In everyone's interest to figure out a solution - whatever form that takes.
At least part of the the flight of capital from the stock market to real estate has been fueled by telegraphed increases in capital gains taxes ... a so called inflation-hedge investment in appreciating assets (real estate) that are taxed at a lower rate upon liquidation. It has contributed to the problem of unaffordable housing, but the root cause is elsewhere. Loading up on what can become an illiquid investment when post-covid chaos subsides and when various government entities can begin imposing "holding costs" on property is a false sense of tax avoidance. Exactly what is being proposed in Maine.
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Post by Spaffy on May 15, 2021 12:07:35 GMT -5
Define vacant. We use our place at the mtn year-round. Never does it sit unused for 6 months straight. What a joke
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Post by sitzmark on May 15, 2021 12:31:34 GMT -5
Define vacant. We use our place at the mtn year-round. Never does it sit unused for 6 months straight. What a joke As per the proposal, not occupied at least 180 days. Which, flirts with the "183 day rule" for declaration of permanent residence for tax-related purposes. Declaring occupancy frequency of one property can trigger an audit for the other(s). Generally not able to declare two primary residences .... unless not planning to file state/federal income tax forms.  Trying to avoid an ownership tax in one state might create a whole boatload of tax issues in the state one earns income. Getcha one way or the other. LOL |
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Post by rippy on May 15, 2021 15:17:04 GMT -5
How the hell would anyone know how long our house was "vacant"...I agree, how do these assholes get elected. Aren't there other things to worry about? As you probably know, FL is a no income tax state and you have to live there 183 day to be a resident. I know lots of folks that winter there and you wouldn’t believe the files they keep....ATM slips, gas receipts, restaurant receipts, etc. Ridiculoue. This probably a big enough issue down there that the state can justify a monitoring process. I certainly hope Maine doesn’t build a bureaucracy around this. I was a CPA for 40 years and this may be the worst piece of tax policy I’ve ever seen. |
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Post by poe on May 16, 2021 17:49:21 GMT -5
You would think the state would be happy to have all those second homes that pay property taxes and use very little services. Newry's tax rate would be much higher if it weren't for the second homes.
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Post by Barker on May 17, 2021 5:44:15 GMT -5
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Post by rippy on May 17, 2021 6:49:54 GMT -5
I don’t follow the Maine legislature that closely. Does this have a chance in hell of passing  It sounds like something MA would come up with. |
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Post by Barker on May 17, 2021 9:08:54 GMT -5
I don’t follow the Maine legislature that closely. Does this have a chance in hell of passing It sounds like something MA would come up with. If I were a gambler I'd put money down on it not making it out of committee. If it somehow made it out of committee, then I'd double down on it not passing in either chamber. If you look at the list of bills in the link, there are two on removing sales taxes on buying precious metals, three or more on changing the income tax rates, at least three on different high income surcharges and even one for a flat 5% income tax. The whole point of committees is to sort through this kind of chaff. |
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Post by rippy on May 17, 2021 15:17:13 GMT -5
I don’t follow the Maine legislature that closely. Does this have a chance in hell of passing It sounds like something MA would come up with. If I were a gambler I'd put money down on it not making it out of committee. If it somehow made it out of committee, then I'd double down on it not passing in either chamber. If you look at the list of bills in the link, there are two on removing sales taxes on buying precious metals, three or more on changing the income tax rates, at least three on different high income surcharges and even one for a flat 5% income tax. The whole point of committees is to sort through this kind of chaff. Gotcha...thanks. I’m selling my place at the Loaf and buying a new one. Nice surprise with the 2.5% tax on out of state real estate sales. I particularly like how they call it a withholding tax. |
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Post by melissa on Jun 2, 2021 5:28:19 GMT -5
Any idea when this will come up for discussion again? I tuned in on the original day to the live stream, and it seemed they had pushed it off but I couldn’t listen to the whole thing. Now I don’t see anything scheduled. |
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Post by ZenMaster on Jun 2, 2021 7:07:08 GMT -5
Any idea when this will come up for discussion again? I tuned in on the original day to the live stream, and it seemed they had pushed it off but I couldn’t listen to the whole thing. Now I don’t see anything scheduled. It looks like there was a hearing in April, but can’t find a bill # so not sure where it is now. You could contact the taxation committee clerk, not sure how responsive they are though. Committee On Taxation Clerk Avery Page State House, Room 127, 287-1552 TAX@legislature.maine.gov Edit: Found it. There is testimony from April, nothing since. The taxation committwe has not reported out on it yet, and doesn’t look like anything is scheduled in terms of hearings You can access past testimony and follow the bill’s progress here: legislature.maine.gov/bills/display_ps.asp?PID=1456&snum=130&paper=HP0988 |
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Trying to avoid an ownership tax in one state might create a whole boatload of tax issues in the state one earns income. Getcha one way or the other. LOL
It sounds like something MA would come up with. 