Residential property owners are a leading source of municipal, county and local tax revenue, and their share of total tax contribution has been rising. National Association of Home Builders economist Na Zhao probes into historical Census tax data, and notes an upward trend in the absolute tally and importance of residential property tax revenues. Zhao writes,
"NAHB tabulations of the Census Bureau’s quarterly tax data show that $527 billion in taxes were paid by property owners from the fourth quarter of 2014 through the end of third quarter of 2015. This represents a $37 billion increase over the previous trailing four-quarters, or a nearly 7.5% gain, the largest growth since 2010.
Property taxes accounted for 39.6%, the largest share, of state and local tax receipts among major sources over the past four quarters, followed by individual income taxes (28.4%), sales taxes (27.6%), and corporate taxes (4.4%).
Gains for state and local non-property tax collections have outpaced increases in property tax receipts in recent years, as non-property tax receipts declined greatly during the recession. It pushed the property tax share of total tax revenue from the four major sources from a high of 44.9% in the third quarter of 2010 to 39.6% as of the third quarter of 2015. The current share is still higher than the pre-housing boom average of 37% (on a four-quarter basis) for the period of 2001 – 2003."