'Million Dollar Listing' star Josh Altman slams absurd LA 'mansion tax' as 'dumbest ever'
LOS ANGELES, CALIFORNIA: Josh Altman is one of several real estate agents who believe that Los Angeles' new 'mansion tax', which is set to take effect on April 1, is absolutely absurd. The 'Million Dollar Listing' star thinks the tax implemented to relieve the homeless crisis in LA is the "dumbest tax ever."
Measure ULA was denounced by Altman as "the dumbest tax ever put through in the history of Los Angeles" in an interview with TMZ on Thursday, February 16. The law, which was passed on the ballot in November 2022, imposes a 4 percent tax on properties selling for $5 million or more and a 5.5 percent tax on homes selling for more than $10 million. Altman draws attention to the ridiculous ways that agents would have to get around the taxes if they so desired, such as listing it for less than its true value solely to avoid the additional tax.
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What is the mansion tax?
The new tax, termed the 'mansion tax', was enacted on Sunday, January 1, and will go effective on Saturday, April 1. This tax, officially called Measure ULA, imposes a 4% tax on all real estate purchases valued at $5 million and above, and a 5.5% tax on sales valued at $10 million or more.
Measure ULA is a citizen-sponsored ballot measure that would add a tax on the sale or transfer of real property valued at more than $5 million in order to support programs for affordable housing and tenant assistance. It would apply to all real estate sales, including residential, commercial, and vacant land transactions.
'People don't realize this is gonna trickle down'
Speaking of the mansion tax, Altman said, "I don't even know how it got snuck through. Most of the clients didn't even know it was out there. They hid it under a homeless tax and we all know the homeless are never going to see any of this money," according to TMZ.
Altman added, "And the worst part about this tax is this, it's only, they call it the mansion tax, they call it the rich person's tax. People don't realize this is gonna trickle down. It's gonna screw up the market." He asserted that while he supports helping the homeless, he doesn't think they will receive any money from the new taxes.
'Everyone's gonna pay for it'
Altman said, "I'm all about giving money to homeless. I love the idea, but we all know that they're probably not going to see any of this. And the issue is that if you tax people, you should tax everybody even if you want to make it a sliding scale."
Altman continued, "But to just say if your house is worth more than this, you have to pay this, but everybody else is fine. I just don't know how that works. And what I'm seeing in the business now is a mad dash to close deals before April 1 when it comes into effect."
Altman claimed there will be a trickle-down effect that would eventually harm all homeowners. "The buyers are gonna pay for it. the sellers are gonna pay for it the agents are gonna pay for it. Everyone's gonna pay for it," he concluded.