Readers' comments
“What commercial buildings need is tax cuts, not tax increases.”
Pedestrians cross an empty street in downtown Boston on June 6, 2023. (Jessica Rinaldi/Globe Staff)
Boston Mayor Michelle Wu introduced a city council petition earlier this month proposing a temporary increase in commercial property taxes, which she said was aimed at protecting local taxpayers who would be forced to pay higher taxes due to declining commercial property values.
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“Without legislative action, the downward trend in commercial property values will result in automatic increases in residential tax rates to adequately fund city services,” Wu wrote in the petition. The majority of the city's $4.3 billion budget, 72 percent, is funded by property taxes.
But Boston.com readers say they're not in favor of the proposal: When Boston.com asked its readers whether they supported the proposal, a staggering 80% of the 130 respondents voted against it and 18% voted in favor.
Mayor Michelle Wu has proposed temporarily shifting a larger portion of property tax levies to commercial and industrial property owners to protect residential taxpayers from tax increases. Do you support this?
Yes, I support Mr. Wu's autonomy petition.
No, I am against Mr. Wu's autonomy petition.
Some city council members aren't convinced by the proposal either. During a City Management Committee hearing on Tuesday, council members discussed the petition and questioned the effectiveness of the proposed tax increase on commercial property.
According to Politico's Massachusetts Playbook, during the hearing, several City Council members seemed skeptical of the petition, with Councilman Ed Flynn, District 2, voicing his opposition to any measure that would raise commercial property taxes. But the city's Chief Financial Officer Ashley Grofenberger argued that the proposal would protect commercial and residential property owners alike from sudden tax increases.
Many Boston.com readers expressed concern that higher commercial property taxes would drive more businesses out of Downtown, which continues to struggle with high office vacancy rates even after the pandemic.
Below are some of our readers' thoughts and suggestions on Wu's proposal.
Answers have been lightly edited for grammar and clarity.
Do you support Mayor Michelle Wu's proposal?
“The Mayor’s proposal to increase commercial tax rates to protect residential taxpayers from potential price increases sounds good on the surface, but it seems like a double-edged sword: if commercial rates go up, residential real estate is protected. [owners] While tax rates will inevitably rise, businesses will likely raise the prices of their goods and services to offset the increased property taxes they will face. To make matters worse, some commercial offices may choose to close or relocate out of Boston, further exacerbating the city's financial difficulties. While the ultimate goal of Mayor Wu's proposal is to keep future taxes as comparable as possible to today's, it is very difficult to predict with any degree of certainty how the economy will change over the next few years and what tax adjustments will be necessary along the way.” — Jeff, Natick
“It will drive business out of Boston, making it a less attractive place to live and lowering property values.” – JT K., South Boston
“Moves like this will only drive down property values further and may continue to turn downtown Boston into a ghost town.” – Bill, Boston
“The city should cut spending, not maintain arbitrary spending levels. This kind of tinkering only stifles growth and private investment. Also, high taxes on homeowners are a burden (for services we often don't get). Let's properly balance the budget.” — YA, Charlestown
“What would happen if we taxed buildings in Boston? With vacant office space at 10-20% occupancy, it would just increase costs and people would move away. Every new tax increases the cost of ownership and companies have to charge higher rates.” – LW, Falmouth
“I have no confidence that this is temporary. I understand that a city like Boston needs revenue, but I wonder how much effort has been put into reducing costs.” – CFV, Cape Cod
“Commercial buildings need tax cuts, not tax increases. This situation needs to be resolved by other means.” – Mark B., Millis
Boston.com may engage with its readers through informal polls and surveys. The results of these should be interpreted as a non-scientific indicator of reader opinion.