Wisconsin Property taxes see biggest jump since 2007 despite influx of cash for local governments

Jessie Opoien

Wisconsin is set to see its largest increase in property taxes since the Great Recession — but the actual effect on homeowners will be cushioned by a boost to two state tax credits that lower the amounts homeowners and businesses must pay.

That’s according to a new report from the Wisconsin Policy Forum, which analyzed preliminary figures from the state Department of Revenue to project a 4.7% increase in net property taxes as bills go out this month — the largest increase since 2007.

The actual increase is likely to be closer to 2% or 3%, the report found, due to increases to two state tax credits included in the 2023-25 budget.

The budget increased the school levy tax credit by $255 million and increased the state lottery tax credit by $15.9 million. Both of those measures reduce the amounts taxpayers will pay while still allowing for revenue increases for schools and local governments.

The increase also comes despite a historical bipartisan deal that boosted shared revenue — money the state sends to counties, towns, villages and cities that local governments can use freely. That deal gave a minimum 20% increase to municipalities with a population under 110,000. Counties and the state’s two largest cities, Milwaukee and Madison, received at least a 10% increase in shared revenue.

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Locally, Madison taxpayers have long supported far above average K-12 $pending 22 to 29k annually, depending on the District numbers observed.