A mill rate is tax per $1,000 of assessed value; 20 mills means $20 per $1,000.

Can I appeal my property tax assessment?

Yes, most counties allow appeals if you believe your assessed value is too high.

Is property tax deductible?

Yes, up to $10,000 in state and local taxes (including property tax) can be deducted on federal returns.

Property tax is levied by local governments based on the assessed value of real estate. It funds schools, roads, and local services.

Property Tax = Assessed Value x Tax Rate

Where:

TaxProperty Tax — Annual tax owed on property

AVAssessed Value — Taxable value set by assessor

RateTax Rate (Mill Rate) — Local tax rate per dollar value

Here's how to calculate property tax step by step:

1Find assessed value: Check your property tax bill or county assessor website for the assessed value.
2Find your tax rate: Look up your local mill rate or tax rate from your county.
3Multiply: Multiply the assessed value by the tax rate to get annual property tax.

Following these 3 steps gives you the final property tax value.

A home assessed at $300,000 with a 1.2% tax rate owes $300,000 x 0.012 = $3,600 per year in property tax.

Property tax is often the largest recurring expense of homeownership and directly affects your housing budget.

Assessed value is often lower than market value; use the assessed amount.

Check for homestead, senior, or veteran exemptions that reduce your assessed value.

Assessed values can increase; budget for potential tax increases.