News & Insights

How Will Project Connect Impact Property Taxes in Austin, Texas?

Tax Development Nov 18, 2020

How Will Project Connect Impact Property Taxes in Austin, Texas?On November 3, 2020, Austin voters decided to raise the tax rate in the city to fund Project Connect—a plan to significantly expand Capital Metro’s public transportation network with three new rail lines, an underground station, and other improvements. This was not a bond election authorizing the city to take out a loan. While this was widely discussed as a +/- 20% tax increase, it will impact the 2020 overall tax rate by only around 4%, depending on other taxing jurisdictions. Please note the following:

  • Voters decided to increase the City of Austin portion of the tax rate by 19.6% from 44.6 cents per $100 to 53.35 cents per $100 of assessed value.
  • The 8.75 cent increase will cost the typical Austin homeowner $332 in taxes next year.
  • This increase comes while taxpayers are facing ongoing concerns over the economic downturn caused by COVID-19.
  • This increase also coincides with the consistent rise of home values in the city of Austin over the last five years.
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TECHNICAL INFORMATION CONTACT:

Zachary Fleming
Principal
Ryan
210.377.3200
zachary.fleming@ryan.com

The material presented in this communication is intended to provide general information only and should solely be seen as broad guidance and not directed to the particular facts or circumstances of any individual who may read this publication. No liability is accepted for acts or omissions taken in reliance upon the content of this piece. Before taking (or not taking) any action, readers should seek professional advice specific to their situation from Ryan, LLC or other tax professionals. For additional information about this topic, please contact us at info@ryan.com.