Question

(Determination of property tax rate) The City of Weston is preparing its budget for calendar year 2013. After estimating revenues from all other sources, the City calculates that it must raise $7,000,000 from property taxes. You are given the following information regarding the tax rate: Property taxes to be collected $7,000,000 Estimated uncollectible property taxes $70,707 Total assessed value of property at beginning of 2013 $65,000,000 Expected reduction in assessed value from appeals $200,000 Assessed value of City property, not subject to tax $1,400,000 Adjustments to assessed values for senior citizen exemptions $1,000,000 Required: Compute the gross amount of property taxes required to be levied. b. Compute the tax rate per $100 of net assessed valuation. c. Determine the amount of property tax that a home owner whose property is assessed at $35,000 will have to pay.

Answer 1

Answer The preparing its budget for calendar year re venues from all other sources Property Tares beliricd ar calcatore as - Property Tars to be collected: 7000000 Estimate uncellerelible poepesty fan = 70707 3) 7000 000 + 70107 : - 7070 701 Property taxes required be levied = 7070707 Net Assessable value Total Assessed value of properly at beginning = $65.000 DO Expected reduction in assessed valu = 2000,000 . Valene od cilj property not subject to bw= 1,400,000

Adjustment to annessed values to Senior caliza Szemplicy = 1500,000 Net Asgessable value= 62,400,00 100 Tax Rali per Net assessed Valuates a 7070 707 X 100 62400,000 707070700 62400,000 § 11.33137 The amount of property have than a home property is assessed . 35.000 = 35000 X 11.3313 3966