Property tax is a levy on property enforced by the municipal corporation. It is payable every year. Generally, it is taken earnestly by most of home owners, but not by all. Some do not pay for several years while some are uninformed and miss the deadline of payment every year.
Have you ever pondered why it is important to pay your property tax? Jason Walowitz has the answer for you.
In order to obtain proficient services from the municipal corporation, it is essential to pay your property tax and that too on time.
How to calculate property tax for residential or commercial property?
Property tax is calculated based on the unit area method. The value of the property in a particular area is calculated based on the circle rates of the land and the construction layout of a particular property in the locality.
How to calculate property tax on land?
It does not matter if the land is lying vacant and unused. Property tax is chargeable even on the vacant/exposed land, if the constructed area is less than 25 percent of the total plot area. Despite the complexity of the property tax, and the fact that it’s “the tax people love to hate,” it remains the mainstay for most local governments in United States.
You would ask why is it important? As most people know, school districts rely on the property tax heavily. Indeed, the bulk of property tax moneys raised at the local level are devoted to education, not city nor county services.
Paying your taxes is considered a civic duty, although doing so is also a requirement of the law. If you do not pay your taxes, the government agency that oversees taxes – the Internal Revenue Service IRS – will require you to pay taxes or else face penalties, such as fines or going to jail.
The money you pay in taxes goes to many places. In addition to paying the salaries of government workers, your tax dollars also help to support common resources, such as police and firefighters.
The money generated helps to ensure the roads you travel on are safe and well-maintained. Taxes fund public parks and libraries. Taxes are also used to fund many types of government programs that help the poor and less fortunate, as well as many schools.