Reviewed Date: 11/22/2022
Revenue Class: Local Taxes
Account No.: 31111
Description: Ad valorem taxes levied within the municipality based on property appraisals.
Authorization: Article II, Section 28 of the Tennessee Constitution; T.C.A. § 67-1-701 et seq.; T.C.A. § 67-5-101 et seq.; T.C.A. § 67-5-801 et seq.
Requirements or Restrictions: Reference T.C.A.
Current Rate: Statutes provide that the following percentages of full value be used to determine assessments:
- Public utility real property, 55 percent (see Public Utility Property Tax, Account # 31120);
- Industrial and commercial real property, 40 percent;
- Residential and farm real property, 25 percent.
Frequency of Payment: Annually, between the first Monday in October and before the following March 1, unless the municipality is authorized to establish other due dates.
Late Pay Penalty: See Interest on Property Taxes, Account #31300.
Exemptions: All government, religious, charitable, scientific, literary and educational properties are exempt (Article II, Section 28 of the Tennessee Constitution and T.C.A. § 67-5-201 et seq.). Tax relief is offered to certain disabled and elderly home owners (Article II, Section 28 of the Tennessee Constitution and T.C.A. § 67-5-701 et seq.) and cities may provide by ordinance a tax freeze for qualified taxpayers over 65 years of age on their principal place of residence.
Collection: Property taxes are usually paid directly to the municipality. Some counties collect taxes for their municipalities, as in T.C.A. § 67-1-702 and § 67-5-1801(a). Taxes cannot be collected after ten years from April 1 of the year following the year they become delinquent. T.C.A. § 67-5-1806.
Use Restrictions: None.