How to Calculate Taxes Assessed

by D. Laverne O'Neal

Taxation would seem to be a thorn in the side of any property owner. The notion that you must pay the city or county every year just to own property in the area can seem truly painful. However, as long as governments need revenue, taxation will be part of the picture. When it comes to real estate tax assessment, typically, the tax authority assigns an assessed value to your property. This value may or may not align with the market value. Calculating taxes assessed is simple mathematics.

Find out the rate of taxation from your tax authority. Depending on your situation, you may need to contact your county, city or local office of taxation or assessor's office. It may be that the tax authority publishes rate information on its website. If not, contact the office by phone or in writing. This information will also, of course, appear on your tax bill. For example, property tax for your home may stand at 6 percent.

Find out the assessed value of the property from your city, county or local tax authority. The taxation office or assessor's office assigns your property an assessed value. The office may reassess the value periodically, every five or six years or so, for example. The locality may publish a tentative assessment roll or mail you an assessment notice each year, which will include your assessment amount. Of course, your tax bill will display the assessed value of your property. Assume in this example that your tax authority has assigned your home an assessed value of $100,000.

Multiply the assessed value by the tax rate. In this example, $100,000 times 0.06 equals $6,000.

Tip

  • If your jurisdiction expresses the tax rate in terms of dollars per thousand dollars of assessed value, divide the assessed value by 100 and multiply the result by the tax rate. For example, your assessed value is $50,000 and the tax rate is $1.04 per $1,000 of value. Divide $50,000 by 100 to get $500. Multiply $500 by 1.04 to get $520 in tax liability.

Items you will need

  • Calculator

About the Author

D. Laverne O'Neal, an Ivy League graduate, published her first article in 1997. A former theater, dance and music critic for such publications as the "Oakland Tribune" and Gannett Newspapers, she started her Web-writing career during the dot-com heyday. O'Neal also translates and edits French and Spanish. Her strongest interests are the performing arts, design, food, health, personal finance and personal growth.

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