The Indian tax Rebellion of 1851 is a prominent example of what can happen as a result of poor property tax policy.  The Indian tribes of southern California were hit with a $600 yearly property tax in 1850 though they lived miles outside of the city and received no services in exchange for the property taxes they were required to pay.  The Indians were already poor and none of the tax was used as a form of government aid for them.

The Indians paid the first year's property tax, but in the summer of 1851 they refused.  They found courage in their leader, Major General Joshua Bean.  The property tax collection face-off led to a full blown war.  Then in an astonishing turn, Bean joined the troops who were sent to quell the revolt and fought the Indians who he had riled into action.  With the loss of Bean, the rebellion ended quickly (in December of that same year).

Though it was not a long war, it came to a tragic close with many deaths on the side of the Indians.  That ill-fated $600 property tax was like building a fire and throwing gasoline on it.

The relationship between the taxed and tax collector has long been a combustible one.  With a well-founded property tax policy in place, friction between the two parties can be minimized.  A policy lacking in basic common sense, on the other hand, is likely to fan the flames of distrust and create a fire which can quickly burn out of control. 

If we learn anything from our history, perhaps it is that we should not let the power of taxation go unrestrained.