What is the difference between Assessed Value and Taxable Value?

Assessed Value

Assessed Value is defined by state law as 50% of the market value of the property as of December 31st of the preceding year. Once equalized and approved by the STC your Assessed Value becomes the State Equalized Value (SEV) and this figure, along with Taxable Value, appears on your property tax bill.

Taxable Value

Taxable Value is derived from a formula created by Proposal A in 1994 which was designed to limit rises in property taxes by "capping" and restricting the rise in Taxable Value to the rate of inflation. Disregarding transfers of ownership or changes to your property, each year your Taxable Value can rise 5% or the rate of inflation, whichever is less. However, your Taxable Value cannot be higher than your Assessed Value.

Show All Answers

1. What does the Assessing Department do?
2. What is the difference between Assessed Value and Taxable Value?
3. How are my property taxes calculated?
4. How is my property value calculated?
5. Shouldn’t the Assessed Value be half of what I paid?
6. I recently purchased a home. Will my property taxes be the same as the prior owner’s taxes?
7. What is the Principal Residence Exemption or “Homestead” exemption?
8. Are there any other exemptions/reductions available to me?
9. What is a Property Transfer Affidavit?
10. What is the Real Property Statement that you mailed to me and why are you asking me for this information?
11. What if I am unhappy with my assessment?