Question

Ms. Brown has a house assessed at $55,800 (62 percent of its sale value). Her tax is $3.25 per $100 AV. Mr. Barnes has a house assessed at $42,720 (48 percent of its sale value). His tax rate is $32.75 per $1000 AV. Using the tax rate and the assessment practices of Ms. Brown’s district, how much tax would Mr. Barnes pay?

Answer 1

Answer:

Tax rate and the assessment practices of Ms. Brown’s district are:

• Tax rate is $3.25 per $100 AV
• Assessment value is 62 percent of sale value

Mr. Barnes has a house assessed at $42,720 (48 percent of its sale value).

Hence Sale value of Mr Barnes house is = 42720 /48% = $89,000

Applying Tax rate and the assessment practices of Ms. Brown’s district for Mr. Barnes house:

Assessment value = Sale value * 62% = 89000 * 62% = $55180

Property tax will be = Assessed value * Tax rate = 55180 * 3.25 / 100 = $1793.35

Tax Mr. Barnes would pay = $1793.35