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About

Property taxes are rarely calculated on the full market price of a home. Instead, governments use an "Assessed Value" (or Cadastral Value), which is often a percentage of the market value. This tool calculates the final tax bill by first converting Market Value to Taxable Base using the Assessment Ratio.

assessed value cadastral value taxable base assessment ratio millage

Formulas

The formula chains the ratio and the rate:

Vtaxable = Vmarket × Rassess
Tax = Vtaxable × rmill

Reference Data

JurisdictionAssessment RatioNotes
Connecticut, USA70%Uniform statewide assessment ratio.
Georgia, USA40%Assessed at 40% of fair market value.
New York City (Class 1)6%Extremely low ratio, high nominal rate.
Arkansas, USA20%Statutory requirement.
Market Value Jurisdictions100%CA, MA, FL (typically follow market closely).

Frequently Asked Questions

The percentage of a property's value that is subject to taxation. If a house is worth $100k and the ratio is 40%, taxes are calculated on $40k.