Paying property taxes may be challenging for some people, especially if they’ve just moved to Florida or if it’s your first time filing your real estate taxes. The process can be confusing since state real property taxes tend to vary from state to state. Furthermore, the Florida tax rate varies across all the sixty-six counties.
Not to worry, as we’ve put together this quick guide on the main things you need to know about filing your real estate taxes.
Florida Taxes at a Glance
Florida residents are not required to pay income tax, inheritance tax, and estate tax. The state and local revenues mostly come from real estate taxes, real estate transfer taxes, sales taxes, and vehicle taxes.
Whether you’re filing as an individual or as a business, property owners are required to pay property taxes in Florida. It doesn’t matter if you own a $25,000 house or a $2,000,000 mansion; you’ll still have to pay real estate property taxes in Florida.
On January 1st of each year, a local tax assessor determines the property value. They deduct any exemptions or other adjustments used in determining the property’s taxable value. Then, they use a local millage rate to calculate the annual tax. These millage rates vary across the state.
Every August, real estate owners are informed of the assessed value and millage rate as of January 1st of the same year. Residents usually receive their property tax bills between late October and early November. Property owners can file an appeal concerning the assessed value or allowed exemptions to the Value Adjustment Board.
Florida has property tax exemptions that will reduce the taxable value of the property. For residential real estate, the usual adjustment is the homestead exemption. A homestead exemption is applied to a property owner’s primary residence.
When applying for a homestead exemption, the owner must file their application by March 1st of the tax year for which the exemption is requested. A homestead exemption can decrease the taxable value by at least $25,000 and up to $50,000. There are also exemptions for Disability, Widows, Veterans, and others.
Paying Your Real Estate Taxes
Residents can pay their property taxes in one of four ways. They can pay with Paperless or Property Tax Search, which are both online. They can also pay by mail or in person. Property owners receive their Property Tax bills by mail annually by November. They are given a due date of March 31 for the full amount of taxes owed.
Residents who pay their taxes early are given discounts. They’ll receive a 4% discount if they pay by November, 3% in December, 2% in January, and 1% in February.
When paying your property taxes, there are three essential things to remember.
First, you’ll have to verify if the description of your property is correct. However, if there is an error, you’re advised to contact the Property Appraiser’s Office. Second, choose a payment method that is most convenient for you. Third, take note if you’re qualified for a discount for paying your taxes early.
Delinquent Property Taxes
Since the due date for paying property taxes is on March 31 of each year, those still due or payments received by April, regardless of postmark dates, are already considered delinquent.
Once per week for three consecutive weeks, the tax collector will advertise the delinquent parcels in a local newspaper. On April 1st, a mandatory charge and advertising charge is put in place. By June 1st, if payment is still not received by the Tax Collector’s Office, they will place a lien against the property along with additional charges.
Paying taxes can be puzzling and challenging. You’ll have to ensure that you’re paying the right amount to avoid penalties or troubles in the future. There also may be other exemptions that you qualify for but are not aware of.
Let The Nickley Group assist you in conforming with real estate taxes in Florida. Whether as an individual or a business, we can help you avoid the hassles that usually come with delinquencies.
You’ll be in the hands of experts who know the ins and outs of buying property in Florida, so you’ll have one less thing to worry about. Call us now at 407.906.2456 or email us at info(at)thenickleygroup(dotted)com to get started!
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