[The Balance] Every state imposes some form of property tax. These taxes are commonly associated with real estate, but some states tax vehicles and other assets as well. Rates can range from very low in one state to astronomically high in another, but other types of taxes can balance property tax rates so the overall impact on residents is about the same.
Property taxes generate the revenue that states need to keep themselves up and running and to provide necessary services to their residents. School districts tend to rely heavily on these taxes, but the revenue also funds city and state workers' salaries—including first responders—as well as water, sewer, and other services. |