A seller paid the full annual property taxes of $3,650 on January 1st for the entire calendar year. The closing takes place on September 15th, and the seller is responsible for the day of closing. Using the 365-day method, what credit does the seller receive at closing for the buyer's share of the taxes?
Correct Answer
C) The seller receives a credit of $1,070
Using the 365-day method with the seller responsible through the day of closing (September 15), the buyer's share is September 16–December 31, which is 107 days. At $10/day, the seller (who prepaid the full year) receives a credit of $1,070.
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More Ga Property Tax Questions
A Georgia homeowner's property has a fair market value of $220,000. She does not qualify for any floating homestead exemption and receives only the standard $25,000 homestead exemption (applied to fair market value before the 40% assessment ratio). If the county millage rate is 15 mills, what is her annual property tax?
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A Georgia owner begins an ad valorem tax estimate with the property’s fair market value. What percentage of that value is generally used as the assessment basis under Georgia law?
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An investment property in Georgia generates $48,000 in annual net operating income. Using the income approach with a 7% capitalization rate, an appraiser determines the property's fair market value. If the county assesses at 40% of fair market value and the total millage rate is 32.5 mills, what is the approximate annual ad valorem tax?
- → Sarah is purchasing a home in Fulton County for $285,000. The property will be financed with a new mortgage of $228,000. What is the total Georgia intangible recording tax due on this transaction?
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Previous Question
A residential property in Gwinnett County has an assessed value of $280,000. The county millage rate is 12.5 mills, the city millage rate is 8.2 mills, and the school district millage rate is 19.3 mills. What is the total annual property tax for this property?
Next Question
A commercial property owner receives a notice of assessment from the county board of tax assessors, mailed on March 10th. The owner disagrees with the new assessed value. Under Georgia law, what is the deadline for filing an appeal of this assessment?