Question

Leo's townhouse has a market value of $310,000. The property in Leo's area is assessed at 40% of the market value. The tax rate is $145.10 per $1,000 of assessed valuation. The tax for Leo is

Answer 1

Market value = $310,000

Since market value for tax purposes is 40% of the actual market value,

Market value for tax assessment = $310,000*40% = $124,000

Tax rate per $1000 of assessed valuation = $145.10 or 14.51% of the assessed value

Hence tax to be paid by leo = $124000*14.51% = $17992.40