I live in Los Angeles County, CA. I got my lease payment in the mail today and it was higher than the previous 26 payments I made. I called US Bank and they told me the tax increased and that was the reason for the increase. I received no notification from them my payments were going to increase. Is this normal? Can the payment amount change despite the contract stating payments would be a certain amount for the term?
Tax is monthly so it can change if you move cities etc. This is normal
Or if the city/county/state raises taxes… it could go down too
Edit: ok, i meant it could go down when/if localities lower taxes
Florida is a crazy spot. I’ve never heard of a government raising tax and your payment going down
So when you read the contract what said did it say?
Tax is estimated and subject to change.
Luckily when they do increase the tax, it is only a few dollars a month. But this is why when there are ads on tv and online they say $199+tax; it is subject to change and it is based on your exact address. I wouldn’t worry though, it is isn’t likely to change/increase monthly.
Taxes never go down…
Sigh… not trying to get into a protracted tax discussion here, but they do doesn’t happen often, but it does happen. Also, certain special items can expire depend on when they were voted in and what it was supposed to fund.
- Florida is the lone state with a general sales tax rate change (a reduction).
Sounds a bit weird for it to be changing in August. Thanks for nothing Taxifornia.
Gas tax just went up again also.
All taxes are gonna go up to pay for this pandemic. Get used to it
They’re going up to pay for things like increased transit spending while ridership is down 88%.
Actually, especially in states with localities that levy a local sales tax, the sales tax does go down sometimes. A great example of this is Kansas. There are county rates, city/town rates, and special jurisdiction rates - sometimes one side of a street, sometimes something like a hotel or a McDonald’s. There are times the county eliminates the local rate and the county base rate is Kansas’s base rate, but there still may be city and town rates, though the rate still goes down without the county rate.
I don’t trust the Tax Foundation, and their article is wrong. They even cite to something that says that the sales tax rate on commercial leases is decreasing, not the overall sales tax rate. I confirmed with material released by my employer: “Fla. Admin. Code § 12A-1.070 has been amended to reflect that the state rate on the lease of real property was reduced from 5.7% to 5.5%.”
Good thing I’m getting rid of the Tacoma, time to dust off the ol’ Miata.