More information about the different tax districts:
The additional USD tax covers the more extensive services not provided to those in the GSD outside of the USD boundary, who pay only the basic GSD rate. USD services include: additional police and fire protection, sidewalks, street lighting, and garbage pickup.
There are several other tax districts as a result of "satellite cities" within the GSD (Ridgetop, Goodlettsville, Belle Meade, Berry Hill, Forest Hills, and Oak Hill). Property in these small incorporated municipalities are subject to the Metro GSD tax rate plus the city rate, if any, as adopted by the legislative bodies of those cities. Services provided by the satellite cities may differ from jurisdiction to jurisdiction.
Your assessment notice has a "Tax Jurisdiction"
box which indicates if you are singly in the GSD
district or if you are subject to the USD or
satellite city taxes. After you have determined
which taxing jurisdiction in which your property is
located, select the
calculator below.
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How To Calculate Property Taxes
Property Taxes in Tennessee are calculated utilizing the following four components:
- APPRAISED VALUE
- ASSESSMENT RATIO
- ASSESSED VALUE
- TAX RATE
The APPRAISED VALUE for each taxable property in a county is determined by the county property assessor. This amount is an estimate of market value based on a established set of tables, manuals, and procedures mandated by state statute, and is intended to provide an equal treatment of all properties in the jurisdiction for tax purposes.
The ASSESSMENT RATIO for each different class of property is established by Tennessee Constitution Art.2, § 28 and TCA 67-5-801 state law as follows:
| Real Property | |
| Ratio | Property Classification |
| 25% | Residential/Farm |
| 40% | Commercial/Industrial |
| 55% | Public Utility |
| Tangible Personal Property | |
| Ratio | Property Classification |
| 30% | Commercial/Industrial |
| 55% | Public Utility |
The ASSESSED VALUE is calculated by multiplying the appraised value by the assessment ratio.
The TAX RATE for each county and municipality is set by the County commission or the City Council based on the amount of monies budgeted to fund the provided services. These tax rates vary depending on the level of services provided and the total value of the county's tax base.
The example below is for a typical residential property with an Appraised Value of:
$ 80,000.00
and the most recent Davidson County Tax Rate:
$3.924 per $100 of assessed value or .03924
Step 1: Multiply the Appraised Value times the Assessment Ratio$ 80,000 X 25% = $ 20,000
This gives you the property's Assessment Value
Step 2: Multiply the Assessment Value times the Tax Rate$ 20,000 X (3.924/100) = $ 784.80
or
$ 20,000 X .03924 = $ 784.80
This gives you the amount of the county property tax bill for this particular property.
If your property is also in the USD, or a Satellite City, follow the same steps using the tax rate appropriate to the property's address to figure your tax bill.
The billing amount you receive on your actual tax bills may vary slightly based on the method used for rounding.
Note: The tax rates for the current tax
year are established by Metro Council in July of
that year. The best possible estimate of taxes made
between January 1st and July is done by utilizing
the tax rates from the previous year.
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