Winter Texan RV's being taxed

[Wiarton William]

I read an article that indicated there are two counties in RGV that are now about to tax (as in Property taxes) RV's that are left on sites in RV parks...as you might surmise this is creating quite a stir within the parked and permanent RV circles...basically IF the RV can be removed within a short time span (4 hours) it might be untaxable.....but...IF it takes 24 hours of hard work to remove the fixtures attached to the RV then I think they are subject to being assessed.... Having been on both sides of the fence and as a matter of fact...we are winter Texans (albeit mobile) we can see the whole picture......we live in a tourist area,, we own our home and thus pay the appropriate "dues" the summer crowd who have RV's parked in local campgrounds come up for the summer vacations... use and abuse the area and walk away....they pay no taxes and use all the facilities(those provided by the park.. we have no facilites supplied by the city)....The local towns have also started the taxation process and in fact have been backed by the courts and are now able to tax those units that appear to be "permanent".....the critereia for assigning the Permanent status is roughly as I mentionned above...If you have a large deck that cannot be moved within 4 hours or out buildings that interfere with the removal then they consider you a permanetn summer occupant..

Just to add a little credibility to my post I found the post I read in RVLivin.com...I just noted the date so its old news...anyone know if the city or RV'rs were successful???

Winter Texans Protest ‘Double Taxation’ Law
RV Business

A swarm of 50 Winter Texans, mostly RVers from the area’s 60 RV parks, descended Tuesday (Feb. 27) upon the county commissioners court in Edinburg, Texas, to protest taxation of their vehicles/dwellings as real property by both Hidalgo and Cameron counties.

According to a report in The Monitor, they are the only two Texas jurisdictions who hit RVers with a property tax on top of sales taxes paid when units were bought.

The issue has sizzled for a decade through legislative changes and opinions of Texas attorneys general, but finally erupted this year with a massive meeting in January at Twin Lakes RV Park in Mission, Texas, that led to the protest to county officialdom on Tuesday.

“Senior citizens coming down here are being screwed by the county,” said Gene Flynn, who has been embroiled in the issue for years. “These people are getting old, and they can’t haul back and forth like they used to, so they’re leaving their RVs here and they’re getting taxed.”

Scheduled as item No. 17 on the meeting agenda, the issue quickly was elevated to the first order of business by Hidalgo County Judge J.D. Salinas III after he saw the packed 72-seat hearing room before him and sensed the anger and restlessness of the crowd.

One by one, aggrieved RVers stepped up to a microphone and let loose at the commissioners, as well as the county’s tax assessor-collector.

They complained about the double taxation, about their own limited incomes, about the arbitrariness of what properties are taxed and what aren’t, and about how no one seemed to be paying attention to their plight.

“Have you considered how much we contribute to your economy in food and fuel?’ asked DeLores Simpson. “We volunteer in your schools, in your hospitals.”

When Rolando Garza, Hidalgo’s chief tax appraiser, showed slides of RVs that were taxed and those that weren’t, the crowd sniffed. To them, in many cases, it was difficult to see substantive differences between units that had such attachments as porches and decks, and were thus probably taxable, and those that could be moved in as little as an hour and probably were not taxable.

Finally, Commissioner Oscar L. Garza Jr. said the situation was too complex to solve then and there, and that more concrete information was needed.

[Bill and Ann]

I haven't heard of any Rv's being taxed in the area. Normally, if you don't skirt your unit, it isn't considered taxable. But, as soon as you skirt it, it becomes permanent and taxable. I think if it every came to the point where I couldn't take my unit home when we leave, I would pull in the slides and leave it here for the summer. I have built a set of stairs that have a 4' 4' deck on the top and leave it here all summer also. I wouldn't consider that a permanent setup.

[SlickWillie]

I didn't see any mention whether the lots were rented or owned? That seems to be the area that would decide taxation or not. I know many here in ICW RV Park have built permanent buildings, but they are on rented lots, month to month, not even a contract. I would think if you do that on an owned lot, you would be subject to taxation, and frankly, I see no problem with that. If you wanna dance, you gotta pay the band. JMHO.

This answers the issue of the over 65 and disabled exemptions and ceiling on TX homesteads. I believe Waynem mentioned this on another thread.

[Wiarton William]

I can only relate the info as I know it for up here.......the lots are rented from the CG on a yearly basis..I know several families that have been in the parks for many years(some as long as 25 or so) so in effect tey are cottages with wheels..or sheds with wheels as someone said...The skirting issue is a real hotbed...in order to get insurance coverage for your unit the insurance company demands that it be skirted and that you provide a photo of the unit.....the apparent reasoning for that is to keep wildlife out from under it and to stop a hot firecoal ember from starting a fire underneath..(that is exactly what I was told by my insurance company...) I spoke to a permanent resident of an RV park in San Benito and his property tax was about $50. a year so he wasnt concerned about it.. dont know if the rates are that much higher in the area that we are in or down there where this article comes from.. i would think its the principal of the matter...and honestly I agree with slickwillie.. thanks for the replies folks...

[SlickWillie]

Check this article out. I'm still researching this issue, but if I understand what I am reading, the state legislature may have addressed the issue.

[Mrs. CountryGuy]

To quote: "The skirting issue is a real hotbed...in order to get insurance coverage for your unit the insurance company demands that it be skirted and that you provide a photo of the unit.....the apparent reasoning for that is to keep wildlife out from under it and to stop a hot firecoal ember from starting a fire underneath"

I am sure that skirting would keep out larger critters, err wildlife. After seeing what mice can do and how you rarely can find their entrance hole, I am not sure in my ole mind that skirting would keep them nasty monsters out!

My 2 cents that ain't worth 2 cents.

I have someone I am gonna ask about this, not sure when I will see them tho. They own a lot here in the Valley and drag their unit home every spring, much the same as Bill and Ann. I think their answer will be close to Bill and Ann's. That thinking and a buck fifty MIGHT get ya a cup of coffee.

[Wiarton William]

OK.. I read that and in fact have emailed it to the local RV and CG owners association here...thanks...our CG's and rvs are being taxed so this may be more for them to go on...They plan on appealling this to the Supreme Court of Canada....thanks again..

[Waynem]

The article SlickWillie posted above gives the information I posted in another thread.

What is not considered is the deferred payment of taxes.

You can get a form at the tax office that you fill out and you will not have to pay any taxes if you are 65 or older. My understanding of how it works is this:

Let's use a previous post but increase the tax amount to $100 a year.
You defer payment.
You live to be 75 (10 years pass)
You owe $1000 in back taxes.
The city has a lien on your property.
Your trailer, at the time of your demise, is worth $15,000
Your heirs will have to pay $1000 in back taxes.
They net $14,000 for the sale of the trailer, or keep it as their home but have to pay taxes.

It has also been said that if you should get sick in the 9th year and feel you are going to meet your maker, you or your family can go to the tax office and ask for a settlement. It will usually be less than what is actually owed.

All the above applies to all homes in Texas and persons over 65. Considering that taxes can be well up there, the savings per year for a couple of 65 can be significant. Increase the above to $1000 a year in taxes and a value of the house after 10 year of $150,000. The kids get to split $140,000 after paying your back taxes. Not really a bad thing to put $1000 more into the fuel tanks.


Edited: I live in Galveston County and the above does apply here. You will have to check with your local tax office to see if it applies where you are in Texas.

[SlickWillie]

Wayne, I know this is getting off the original subject to some extent. But, I have always been told that you can never lose your homestead here in TX due to back taxes (regardless of age). You will be listed as a delinquent taxpayer and accrue penalties until you die. As you stated, the heirs to your property will be responsible for your taxes. Like the disclaimer said, "I have been told", so don't bank on it. I suppose I need to add that to my rainy day research list!

[Wiarton William]

This has been interesting, It will be awhile before I hear about the court challenge on it up here.......thanks for all the info.

[Bill and Ann]

If I understand correctly, you must be a Texas resident in order to claim homesteading status. Taxes on our lot in McAllen are approx. $130. County and $32. city. People with park models and mobile homes pay taxes in the $500. range. They are not Texas residents though as they don't spend 6 mos. plus 1 day in Texas.

[SlickWillie]

Bill, I think it would also have to be your primary residence to be a homestead. However, I if am reading that article that I referred to correctly, the park models under 400 sq. ft. would not be taxed beginning January 1, 2008. Tax on the lot is a whole different issue. JMHO.

[Waynem]

SW,
You are correct. If you are homesteading you cannot loose your home to anything except not paying the mortgage. Anyone with justification can put a lien on your homestead. Once you are "gone," the liens have to be paid. That does not apply to the wife as she is partner in the original homestead.

Here are a couple links:
Texas Homestead Act
Texas Homestead Exemptions