Property Tax Calculation
Your property taxes are determined by multiplying the actual value times the assessment rate times the mill levy. The assessment rate on residential properties is 11.5%. The assessment rate for commercial and industrial properties is 25%. The assessment rate is fixed by law and is the same statewide.
Example Calculation
- The market value of your home: $60,000
- Statewide residential assessment rate: 11.5%
- The assessed value of your home would be $6,900. ($60,000 X .115 = $6,900)
$60,000 (Actual Market Value) X .115 (State Residential Assessment Fee) = $6,900 (Assessment value)
- If the total mill levy determined by the local taxing authorities is 125 milles
- Multiply the assessed value of your property ($6,900) by the mill levy (125 mills or .125).
- The answer is $862.50, which is your share of the total responsibility to support the programs for which the taxes are budgeted.
$6,900 (Assessed Value) X .125 (Mill Levy) = $862.50 (Tax Amount)
|
Assessment Ratios
|
Property Type
|
Assessment
Rate
|
Class
|
|
| Residential -- Includes homes, apartments & condominiums |
11.5% |
RR, RU
|
| Commercial -- Real property used for commercial or industrial purposes |
25%
|
CR, CU
|
| Residences on farm homesteads |
11.5%
|
FR, AU
|
| Ag Land -- Land used to develop agricultural use |
30%
|
AR, AU
|
| Ag Improvements -- Improvements on land devoted to agricultural use |
25%
|
AR, AU
|
| Vacant Lots -- vacant land with no improvements |
12%
|
VR, VU
|
| Non-Profit -- Real property owned and operated by not-for-profit organizations |
12%
|
NR, NU
|
| Tax Exempt Property |
0
|
EX
|
| All Others -- Rural and urban real property not elsewhere classified |
30%
|
OR, OU
|
|
|