Homeowners are responsible for paying property taxes, which are typically billed once or twice a year in a property tax statement that generally contains details that could affect how much is owed. Tax rules, statement formats, and information presented vary by where your property is located, so what appears on your bill could differ depending on where you live.
Below are some notable areas to review on your property tax statement.
1. Check Your Assessed Value
Your assessed value is the dollar amount your local government assigns to your property for tax purposes. Some localities or jurisdictions apply an assessment ratio, meaning only a percentage of your home’s market value is taxed. If your statement shows an assessed value that seems unusually high, you could compare it to your most recent appraisal or look at recent sales of similar homes nearby.
To find comparable sales, consider checking your county assessor’s website or reaching out to a local real estate professional. If the assessed value on your statement appears incorrect, you may be able to request a review or file an appeal with your local assessor’s office.
2. Check Your Exemptions and Credits
Many locations offer exemptions that could reduce the portion of your home’s value that gets taxed. Common options might include homestead exemptions for primary homes, as well as exemptions for veterans, seniors, or people with disabilities.
If you previously qualified for an exemption, check to see if it still appears on your current statement. If the exemption you expected no longer appears on your tax statement, consider contacting your local assessor’s office to confirm whether you still qualify.
3. Confirm the Tax Year and Location
Your property tax statement lists the assessment year and the taxing jurisdiction responsible for your bill. Errors in either area could result in incorrect calculations.
Check that the tax year matches the period you expect to be paying for. Also, verify the location listed. This could be your county, city, township, or school district. Mismatches may occur due to clerical errors or outdated records.
If something looks off, consider reaching out to your county treasurer’s office or local tax authority to clarify any concerns or questions.
4. Review the Tax Rate or Levy
Your tax rate tells you how much you owe for each dollar of assessed value. This rate, sometimes called a millage rate, could change from year to year based on local budget decisions, voter-approved measures, or changes in how your area funds schools, roads, or emergency services.
Even if your home’s assessed value stays the same, a rate increase could raise your bill. Your tax statement typically breaks down the rates charged by different taxing groups, which could include your county, city, school district, and any special districts.
If you notice a significant jump compared to prior years, you could contact your local tax office for a detailed explanation.
5. Look for Special Assessments or Fees
Beyond the standard property tax, your statement may include line items for special assessments or additional fees. These charges typically fund specific local improvements or services, which could include things like sidewalk repairs, stormwater drainage, sewer upgrades, street lighting, or school bonds.
Special assessments differ from general property taxes because they target properties that directly benefit from a particular project. The amounts and terms vary widely by location. Some assessments are one-time charges, while others may be spread over several years.
If you see an unfamiliar fee, consider checking with your local tax office or city clerk. In some cases, special assessments may be appealed separately from your overall property tax bill.
A Note About Tax Rules
Property tax statements and the rules behind them vary widely across states, counties, and cities. The information above offers general guidance, but your local practices may differ. For questions about specific charges on your statement, payments, or your options for requesting corrections, consider reaching out to your local assessor’s office or a tax professional.
If you’re looking at a property tax bill that’s higher than expected, a personal loan might help or free up cash for other expenses. Check your loan offers online, contact us at 877.310.2373, or visit a branch location to explore options that could work for your situation.
