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Where can I 'own' land?

Third Eye Open

Graduate Poster
Third Eye Open
Joined
Mar 13, 2008
Messages
1,400
If I buy land here in America, I still have to pay for it every year.

Is there any countries where if I buy some land I can own it completely? Or is America as close as it gets?
 
Third Eye Open said:
If I buy land here in America, I still have to pay for it every year.

Is there any countries where if I buy some land I can own it completely? Or is America as close as it gets?
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Yes, you have to keep paying your property taxes.

(But I think IIRC they are a dollar for dollar reduction of federal income tax liability, so you can effectively get that money back.)
 
drkitten said:
You're complaining about property tax?

Because if so, you're simply wrong. You're not paying for the land. You're paying tax on the land.
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Ok, maybe I'm confused. Is there other items you pay tax on for owning? I don't own many things :-(. I was just thinking that even if someone gave me a piece of land as a gift, I probably couldn't afford to own it, which seems weird to me.
 
I bet Somalia isn't charging property tax right now. You might end up with similar luck in the DRC. Enjoy.
 
Third Eye Open said:
Ok, maybe I'm confused. Is there other items you pay tax on for owning?
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Cars -- you need to register them each year. Indeed, most vehicles : cars, cycles, boats, planes,... require registration. Some firearms. Some businesses.
 
You don't pay tax on freehold land in the UK as far as I know. You pay tax on property (council tax) and you pay stamp duty on property and land transactions (buying usually). Most things that generate income attract tax on the income.
 
Third Eye Open said:
Ok, maybe I'm confused. Is there other items you pay tax on for owning? I don't own many things :-(. I was just thinking that even if someone gave me a piece of land as a gift, I probably couldn't afford to own it, which seems weird to me.
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This part I don't like. My wife had me registering all last month trying to win some "Dream Home" from Home and Garden TV. I was thinking about the tax implications of winning a $2M home in the San Francisco area, not just for me but anyone at my income level. Between property taxes and federal income taxes, I'm not sure how much it would really feel like winning something if we actually won.
 
drkitten said:
Cars -- you need to register them each year. Indeed, most vehicles : cars, cycles, boats, planes,... require registration. Some firearms. Some businesses.
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Oh good point. Registration fees seem so small that I never notice them, but I guess for someone that could afford to buy a house and land the tax would probably seem small also.
 
RoboTimbo said:
No, it doesn't. Speaking for myself, of course.
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Well that's disappointing :-( . I was looking forward to someday not having to pay rent, and it seems to me that paying tax on land or a house might as well be the same as paying rent to someone who owns the house or land.
 
Third Eye Open said:
Well that's disappointing :-( . I was looking forward to someday not having to pay rent, and it seems to me that paying tax on land or a house might as well be the same as paying rent to someone who owns the house or land.
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That all depends on the value of the house/land and where you own. States that levy income, excise, and/or sales taxes tend to have lower property tax rates. In addition, where I live, if you live in the home under question, you can get a sizeable reduction in your tax rate (it is called an owner occupant exemption). Although my place has a relatively high market value, I pay around $1200/year in property taxes.
 
Third Eye Open said:
Well that's disappointing :-( . I was looking forward to someday not having to pay rent, and it seems to me that paying tax on land or a house might as well be the same as paying rent to someone who owns the house or land.
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I didn't say that paying rent would be preferable to owning and paying taxes on what you own. It isn't. Note also that if you are planning on inheriting property that you will pay both inheritance taxes and estate taxes. The federal government gets their slice of your flesh and so does each State. Also, you might want to be aware of gift taxes. Hope I didn't ruin your whole day.
 
Hokulele said:
That all depends on the value of the house/land and where you own. States that levy income, excise, and/or sales taxes tend to have lower property tax rates. In addition, where I live, if you live in the home under question, you can get a sizeable reduction in your tax rate (it is called an owner occupant exemption). Although my place has a relatively high market value, I pay around $1200/year in property taxes.
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Oh wow, that's not very much at all. Maybe I'm over reacting. I was trying to do some research as I have hardly any knowledge about taxes (seeing as I don't pay very many :) ) And I somehow got the impression that it was a 10% ish tax.
 
Hokulele said:
That all depends on the value of the house/land and where you own. States that levy income, excise, and/or sales taxes tend to have lower property tax rates. In addition, where I live, if you live in the home under question, you can get a sizeable reduction in your tax rate (it is called an owner occupant exemption). Although my place has a relatively high market value, I pay around $1200/year in property taxes.
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How much would you have to pay without the exemption, i.e. if you were renting it out to someone else as an investment, or if it was a second home? I only ask 'cause I've always imagined property taxes would be pretty high in your neck of the woods.
 
RoboTimbo said:
Note also that if you are planning on inheriting property that you will pay both inheritance taxes and estate taxes. The federal government gets their slice of your flesh and so does each State. Also, you might want to be aware of gift taxes. Hope I didn't ruin your whole day.
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Nah - unless its a lot of property, or in a very expensive neighborhood, the $3.5M lifetime exclusion (I think thats the 2009 #) will cover most inherited land. If your parents own more than that they should dump it in a trust anyway. And, gift tax is part of the same uniform tax.

Anyway, is the definition of "own" in this thread something like "yours to do with what you will with no responsibility to do anything with, for, or because of it ever again and no threat of losing it"?

Cuz, that seems a bit childish to me.
 
GStan said:
(But I think IIRC they are a dollar for dollar reduction of federal income tax liability, so you can effectively get that money back.)
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No, it's a reduction to your income, not your tax.
 
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