Property taxes are levies, which are issued by the government on both a person's real and personal property. The home or property is assessed to get its value and that value is then taxed. The tax amount is determined through multiplying the fair market value of the property by the present tax rate.
Because it is often levied on real estate, a property tax can also be called a realty tax. These taxes can also be classified as personal property tax. They are usually assessed separately from real tax, which includes personal possessions like cars, bikes, boats, and campers. The Nettles & Co Property Tax Consulting has been working hard to reduce the burden of property taxes for individuals, investors, asset managers, banks, and realtors.
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It is used to pay for local government administration, first responders such as paramedics, fire fighters, and law enforcement officers. It is used to finance local courts, as well as for funding services such libraries, schools, parks, and community programs. Schools often receive large amounts of real taxes.
These are some of the benefits of this type of tax:
1. It is technically and administratively possible to implement and maintain it in almost any circumstance.
2. Cheaper to administer and it is possible to aim for a cost yield ration of two percent or even less.
3. It is difficult to avoid or evade, and ninety-five per cent of collection success rates are easily achieved.
4. Transparency is key to real taxes.