Deck 15: Taxes and Assessments

Question 1

If the property taxes on your home were to rise 90% in one year, where would you go to protest the increase to the assessment appeal board, to the city council, or to the county government? Explain.

Answer 1

If the property taxes on my home were to rise 90% in one year I would protest first to the County Assessor's office and if not satisfied I would then make a formal appeal to the County Assessment Appeals Board.

Question 2

How does the amount of tax-exempt real estate in a community affect nonexempt property owners?

Answer 2

The property tax paid by a non-exempt tax payer is the property tax rate times the assessed value of the property. The tax rate is determined by the additional revenues needed by the district divided by the non-exempt value of all of the property in the district.
The net effect on the non-exempt tax payers is that their taxes will be increased to cover the exempt property.

Question 3

What methods and techniques are used by your local assessor's office to keep up to date with the changing real estate prices?

Question 4

The Smiths bought a house in 1993 for $210,000, including closing costs. Five years later they made improvements costing $12,000 and five years after that more improvements that cost $15,000. Today they sell the house; the sales price is $268,000, and commissions and closing costs total $15,000. For income tax purposes, what is their gain?

Question 5

What is the conveyance tax rate in your state? What would the conveyance tax be on a $100,000 home?

Question 6

Explain the process for calculating the property tax rate for a taxation district.

Question 7

The Southside School District contains property totaling $120 million in assessed valuation. If the district's budget is $960,000, what will the mill ratebe?

Question 8

Continuing with Problem 2 above, if a home situated in the Southside School District carriesan assessed valuation of $40,000, how much will the homeowner be required to pay to support the district this year?

Question 9

The Lakeview Mosquito Abatement District levies an annual tax of $0.05 per $100 of assessed valuation to pay for a mosquito control program. How much does that amount to for a property in the district with an assessed valuation of $10,000?

Question 10

In your county, if a property owner wishes to appeal an assessment, what procedure must be followed?