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One of the most confusing aspects of home ownership is understanding the way in which Clayton County property taxes are determined. The reason this can be so complicated is because the calculations will vary based on your state, county, and local government. However, the good news is that there are general rules that apply in most cases. Information that varies can be provided to you by a company offering property tax services.
Defining What Property Taxes Are
When we talk about property taxes, they qualify as a value-based tax. This means that the amount of the tax is based on an assessment of your property's value. Your local property taxes in Clayton County go towards funding for libraries, schools, fire departments, and parks. Depending on the process of your local area, you may receive a property tax bill that breaks down exactly what percentage of the taxes go to various expenses for the city and county.
Property Assessment Process
The local tax assessor’s office in Clayton County determines what the value of your home is. This may be done on an annual basis or every five years, depending on local laws. The first item you will receive for the year is your value assessment. This is followed by your actual property tax bill a few weeks later on. There are various options for assessing property, but it is commonly determined using an income method, cost method, or sales comparison method.
- Sales Comparison – value is assessed based on the sales price of similar properties in the area that were sold in the recent past. The location of your property, the state of the property, underpricing, and overpricing must be considered with this method.
- Cost Method – Your property value, in this case, is based on what it could end up costing you to replace it. This means if the property is not new, depreciation is taken into account, along with what the property worth would be if entirely empty.
- Income Method – This method considers everything from the cost to maintain and manage the property, taxes, and insurance that need to be paid, and the amount of income the property may be capable of generating.
The Process for Calculating Property Taxes
When your property is assessed, that is then multiplied by whatever the tax rate is in Clayton County. This rate is often also called a mill or millage rate. A single mill corresponds to 1/10 of a cent or dollar per $1,000 of the value of a property. However, every government may choose to charge a different mill rate. You will almost never see your tax based on a single mill. In many cases, the local community will determine how much tax revenue is needed within a certain time period. The mill rate will then be set in such a way where property tax raises that amount of money.
As an example, assume that your property is assessed at $200,000. Your city has a mill rate of 40. You simply take the property value and multiply it by 4% to determine your tax bill for that year. In this example, you would be responsible for paying approximately $8,000. However, if your mill rate was instead 20, your bill would only be $4,000.
How to Pay Property Taxes
The process for paying your property tax bill is going to vary based on the area where your real estate is located. Any of the city taxes are collected by the city clerk. As for county property taxes, there is typically a county tax commissioner who is responsible for collecting the taxes. However, this can vary based on the location you are in.
In many cases, you will pay your property taxes in one sum at some point throughout the year. However, there are sometimes options for paying them in smaller amounts through the year. Depending on your location, you may be able to pay a bit less if you pay the taxes early. However, this is something that only an expert in property tax services can help you determine.
The most common option for paying your property taxes is by United States mail. You send back the tax bill along with a check made out to the person indicated on the bill. In some cases, you may be able to pay the taxes at a government office or through a convenient drop box. There may also be the option to pay by credit or debit card over the phone or online.
Property Tax Appeals Option
If you believe you are being asked to pay too much in property taxes, there is an option to appeal. This can be done on your own or with the help of a professional who provides property tax services. Third-party representation is often recommended, as the person working with you will understand the rules and regulations behind an appeal.
In addition, the process of appealing can be long and complicated. On top of that, you can expect there to be a tight deadline to appeal after receiving your tax papers. The problem is that if you miss that deadline, there is no option to make any changes. You will have to wait until the next year to attempt the process again. This is one of the reasons that having a professional at your side is a fantastic option. This person can help you with staying on task and ensuring all requirements are met before the deadline passes.
Assistance When You Need It
If you are interested in more information about property taxes, property tax services, and property tax appeals, Fair Assessments LLC offers resources, answers to common questions, and more. We provide the knowledge needed to handle a commercial property tax appeal in the Southeastern United States.
Those who have questions or would like to speak to an expert can reach us by calling 404-618-0355, by emailing us at info@Fair-Assessments.com, or contacting us by the form on our website. We’re available day or night to provide clarification and support.
