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A whopping $7.53 tax bill

By Jonathan Hart
Posted Thursday, May 19, 2005

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I am looking to see if anyone has an answer to this question. I received a property tax bill for an old car today. I looked at the $1050.00 value of the car and then the amount due, a whopping $7.53. I have a small fleet of cars and trailers so I am always expecting the bills and do not have a problem paying them. I have graciously paid a tax bill for $2.00 before on a trailer. That reminds me, I should be getting that one next month.

Now the question: How much does it cost to produce and collect these small bills? The stamp was 29 cents. Checks are made payable to a Raleigh PO box. I would imagine the company that collects the checks charges a fee or percentage of the amount collected. Remember when we sent them to Charlotte? I also just noticed there is a different address listed for online payments. The address is a Pittsboro PO box. There is the paper and envelopes used in the preparation and mailing and of course there are the administrative fees that are built in. I am also sure there are other fees involved that I do not know about. I would imagine that the County barely breaks even or loses when it sends out these small bills. One thing I know for sure...the old car will be worth less next year.

Looking at it from a business perspective it would make sense to put a low end value limit tax bills. Items valued over a certain limit would
trigger a bill. This just makes good business sense. Anything done where a loss is consistently incurred needs to be reevaluated.

Jonathan Hart

Siler City

 
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