Your
Taxes, and Why They Increase
Taxes
increase for two reasons, voted upon millages and when a properties taxable
value increases.
On March 15, 1994, the voters of the State of
1. If you physically add
something new to your property such as a pole barn or an addition, the value of
the improvement is added to the taxable value.
2. The year after the property
sells, it “uncaps”, meaning whatever the assessed
value is on a property will automatically become its taxable value.
Assessed value in not limited, and is determined by
the market. Even when experiencing a
“down market” with dropping assessments, taxable values can still go up. For example, your assessed value is $70,000
and your taxable value is 58,976 a “down market” as caused your assessment to
drop to 62,000. Your taxable value will
still increase by the rate of inflation or 5% whichever is less. Although your assessment has shown a loss of
8,000 you taxable value could increase to as much as 61,924. (5%)
In 2006 millage rates were increased by 1.70
mills. In the August 8, 2006 election
The millage levied for