Ever look at your property tax bill and wonder, “Who created this tax?  Whose idea was it to tax property anyway?”  Your wonderment might best be directed towards ancient Egypt.  Starting in 3,500 B.C. Egypt created one of the first pictures of how this property tax thing should work.

Farmers and land holders in Egypt paid property taxes equal to about ten percent of the land production (that sounds like a Texas tax rate to me!).  If the person who was being taxed could not or would not pay he was taken to the courts for justice.  In many of the Ancient Egyptian tombs, wall paintings depict village elders being punished for trying to ignore or evade property taxes.

In Ancient Egypt they even had a god for tax assessors.  His name was Thoth and he took the form of a human body with an ibis head (the ibis is a bird with a long, downward curving beak).  He is often depicted with tools of the trade, such as writing tablets, pigments and a water pot.

Ancient Egypt’s system and need for property taxes is not so different from what we see in our system today (except maybe Thoth).  We really do tax like an Egyptian.

One of the frustrating things about life is talking about things we wish we’d done.  One of the wonderful things about personal property tax filings is doing something about it!

It is not uncommon for a person to review a property tax return in the current year and say, “Well, what do you know? Some of these assets are exempt!” Then there is much rejoicing in the fact that a location’s personal property taxes have been reduced.  However, once the celebratory pizza party is over, little thought is given to recovering a similar slice of the taxes paid in previous years.

There is no general rule for obtaining refunds.  Since many jurisdictions have already spent the money you are requesting, they may shudder at the mere mention of a refund.  Keep in mind that some issues make better refund opportunities than others.  Double taxation is one of the best.  If you reported items, such as tanks, on your personal property and find that were already picked up in the real estate assessment, get that adding machine warmed up.

Taxability is another hot issue.  If a group of assets is discovered to be non-taxable in the current year filing, such as exempt pollution control equipment, exempt software, or exempt tooling, those assets were probably exempt last year too—grab some more paper for that adding machine!

The Roman Empire gave us our first example of a republic that worked for the people.  This legendary republic created a ground breaking and very effective property tax system.  Though the Roman Empire began with a sophisticated and fair property tax system it did not end with one.  Many of the Emperors that followed Augustus Caesar overtaxed the people and hoarded property tax funds instead of reinvesting them into public improvements, for which they were intended.  Increased military opposition caused the need for a greater army and also lead to higher property taxes.

In 284 A.D. the Emperor, Diocletian, divided the Roman Empire into two parts.  He increased property taxes and increased currency by making extra coins, which created a severe inflation.  The same Roman Empire that gave us an exemplary property tax system also demonstrated how to abuse it.  In 410 A.D. the Visigoths captured Rome and the legendary empire fell.  Misuse of property taxes was not responsible for all of the Empires problems, but it did play a large role in the collapse.  Perhaps this example of history just goes to show us that it is possible to tax people to death.  Lesson learned.