Georgia Property Tax Law
The Georgia Department of Revenue enforces Georgia property tax laws. However, property values are assessed and collected at the county level. Local county agencies work in conjunction with the Department of Revenue to collect property taxes within their jurisdiction and remit them to the Department of Revenue.
Other People Are Reading
-
Assessment
-
Every year county officials assess all property values pursuant to the Official Code of Georgia §48-5-6. Counties must establish property values by Jan. 1 based on the fair market value. Georgian law defines fair market value as "the amount a knowledgeable buyer would pay for the property and a willing seller would accept for the property at an arm's length, bona fide sale." The fair market value of the property serves as the basis for the property tax. County officials assess Georgia property at 40 percent of the fair market value.
Rate
-
The Board of County Commissioners in each county sets the property tax rate (or millage) every year. Homeowners can measure their property tax rates in millage where one mill of tax liability equals one dollar of taxes per $1,000 of the property's fair market value. On average, the millage rate in Georgia counties is 30. For example, a house with a fair market value of $1,000,000 is assessed at $400,000 (or 40 percent). If the county millage rate is 30 mills, then the property tax is $12,000 (or 30 mills times 400).
-
Homestead Exemption
-
Georgian property tax laws provide a homestead exemption to taxpayers who own and occupy a home as their primary residence. In addition, local counties offer a homestead exemption on the same basis. Often, the county homestead exemption is more generous than the state homestead exemption. Homeowners can take advantage of the county or the state homestead exemption, which assessors deduct directly from the assessed value of the house.
Calculation
-
Based on a $2,000 homestead exemption, the standard formula for calculating Georgia property taxes is 40 percent of the fair market value minus a $2,000 homestead exemption times the millage rate. For instance, county officials assess a house worth $100,000 at $40,000 then subtract $2,000, which equals $38,000. If the millage rate was 25 mills, then the total property tax due would be $950.
Payment
-
Most counties require that homeowners pay property taxes by Dec. 20. Some counties, however, have different due dates. Homeowners must pay their property taxes to their local county tax commission.
Warning
-
Please contact a qualified attorney licensed to practice in Georgia or tax professional to determine what obligation you have, if any, with regard to Georgia property tax laws.
-
References
Resources
- Photo Credit calculator image by L. Shat from Fotolia.com
