Property tax is a regressive tax calculated by a local government and paid by the owner of the property. The tax is based on the value of the property.
It is determined by multiplying the current market value of the property by the property tax rate.
The property tax rate is typically recalculated by the local government each year and may be determined by a local board, council, or legislature.
Every one to five years, a tax assess or values the property in order to charge the owner the appropriate rate.
A complete equation for determining how much property tax is owed would be the following: