Paying property taxes to your city, town, or county is part of a home owner’s responsibilities. Property taxes are computed based on your home’s assessed value. Don’t get confused because the assessed value and appraised value are two different things. To make it simple, the appraised value is simply the market value of a property in today’s market while the assessed value is used by taxing authorities to put a dollar value in the property for taxing purposes.
Most states do offer a property tax reduction for Veterans.
Though each state has its own guidelines, most states measure property taxes by mils (one mil means $1 for every $1,000 value of a home). So for example, if you have a house worth $100,000 with a 3.5 mil property tax the owner will have to pay $3.50 for every $1,000 in value or simply $350. However, regardless of how these taxes are computed, a home owner owes this amount to the government. If you have a mortgage, some lenders require monthly property tax payments as part of the mortgage payments. If this is not your case, then your town will ask you to pay property taxes every 3-6 months wherein you have to pay in full on its due date.
Check with your local taxing authority to find out more.
However, under certain circumstances, more than 30 states have given local property tax relief to veterans. Though not all towns or cities participate, most of the time, veterans can receive a break on property taxes. Property tax relief may come in different forms – like exemptions, abatements, frozen assessment rates, or direct rebates on taxes. New York, for instance, has a number of property tax exemptions for veterans. In South Carolina, a veteran receives an exemption on the first $50,000 of the assessed value. In Maryland, veterans with service-related disabilities receive full exemption from paying property tax liability.
Since each state, town, or city’s guidelines on property tax exemptions for veterans vary, it is best to consult someone from your state’s Department of Revenue office to learn more.