On November 1st this year, property taxes were released. If you paid your property taxes before November 30th, you likely received a 4% discount for paying early.
However, you may be wondering what all the columns and rows mean in the relatively complex “Combined Tax Memorandum Notice.” We’ll go over what to expect on your taxes and how to make the most of them.
Combined Tax Memorandum Notice
A property with a Non-Homestead Cap has their assessment increases capped at 10% with the only exception being the School Board taxes at full market value (32.6%). The total amount of taxes you pay may vary between homes that have the Non-Homestead Cap and those that don’t, as the taxable value for the school board taxes are only capped for Non-Homestead Cap properties.
Ad Valorem Taxes
Ad valorem taxes are based on the assess value of real estate properties. The factors they use to determine your ad valorem taxes are market value, assessed value, and taxable value. These taxes are usually used to fund public services, including schools, infrastructure, and public safety.
Non-Ad Valorem Taxes
Non-Ad Valorem Taxes are special assessments or service charges levied for property-related benefits (not based on property value). The three main types are Community Development Districts (CDDs), Special Taxing Districts, and Property Assessed Clean Energy (PACE) Districts. These are more common in new development communities where new infrastructure is needed.
Key Takeaways
- Pay taxes before November 30th every year to get a 4% discount.
- Get a Non-Homestead Cap placed on your property for a cap on your School Board taxes.
- Predict your Ad Valorem Taxes by research your homes market value based on previous sales.
- Non-Ad Valorem taxes go towards developing the infrastructure in the surrounding developing community.
