SB 29: More “Truth” in Truth in Taxation

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Libertas Institute supports this bill

Staff review of this legislation finds that it aligns with our principles and should therefore be passed into law.

In 1985, Utah enacted a “Truth-in-Taxation” law that requires local governments to officially notify residents of proposed tax increases. The law has been a success, helping keep Utah residents informed and providing transparency in how their property tax dollars are being spent.

This legislative session, Senator Chris Wilson is sponsoring SB 29, a bill that strengthens the truth-in-taxation process in a few, notable ways:

 

  • When local governments propose a tax increase, the notice sent to residents will need to state the dollar amount the tax increase will raise.
  • The notice of proposed tax increases will also need to state the primary purpose for the tax increase. 
  • When the tax increase is discussed at the public hearing, the primary purpose for the funds and the amount that will be raised from the proposed tax will be disclosed.
  • Enables a county auditor to audit compliance with existing and new truth-in-taxation requirements.

Because SB 29 increases transparency in the process governments use to propose increases to property taxes, it deserves support.

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