How to Calculate Texas Property Tax

How to Calculate Texas Property Tax. As a property owner, one is required to pay the tax on the land and whatever is occupied on that land. Texas does its assessment January 1 and the tax covers a period of one year. But how does Texas calculate the amount of each property? Most people want to know how the government calculates such a number. This tool will help you understand and calculate an estimation of your property taxes.Know the assessed property value of both the land and house. This amount is not what you paid for the land and home but the amount at which the tax assessor has valued them.

Step 1

Know the assessed property value of both the land and house. This amount is not what you paid for the land and home but the amount at which the tax assessor has valued them.

Step 2

Add the values of the land and house together. This will make the other calculations much easier.

Step 3

Know the exemptions that you are qualified to deduct from your assessed property value. Each taxing unit allows for different exemptions.

Step 4

Find out the levy rates or estimated rates for the year.

Step 5

Multiply the assessed amount minus the exemptions for the city unit and multiply it by the city's tax rate percentage (example: Land and Home value at 100,000 with an exemption of 5,000 with a tax rate of .598291. The calculation would be 100,000 - 5,000 x .598291% = 568.38 being the tax amount due.

Step 6

Continue to calculate each unit separately.

Step 7

Add up all of the unit's taxable amounts. This is the amount due or estimated for the tax year.

Warning

Remember, the property tax estimation sent at the beginning of the year is just an estimation. Unless disputed the property values will remain the same. The tax rates are not usually finalized until the end of the year.

Things You'll Need

  • Calendar

  • Exemptions

  • Tax rates or estimated tax rates

  • Property Values of both the land and home