CALCULATING YOUR PROPERTY TAXES

Calculating Your Property TaxesYou need three factors to determine your taxes:
1. The Assessment Rate or Ratio (AL Legislature established the following ratios):

Class I: 30% Assessment Rate – Public Utilities

Class II: 20% Assessment Rate – All other properties not included in Class I or III (includes apartments, commercial and industrial properties, duplexes, triplexes and quadriplexes)

Class III: 10% Assessment Rate – Single family, owner-occupied homes or condos, farm and timber properties

Class IV: 15% Assessment Rate – Motor vehicles

2.  The taxation (millage/levy) rate in your area. Taxation rates are computed in “mills” (tenth part of a cent). Click here for Millage Rate Chart.
3. The tax credit for exemptions, if eligible.
General Formula for Calculating Taxes:
Market Value x Assessment Rate % = Value x Millage/Levy = Tax – Exemption = Property Tax Total
(The formula above does not apply to farm or forest lands receiving benefit of “Current Use” values)
Example:
Market Value = $50,000
Class III Assessment Rate = 10%
Millage/Levy = 28 Mills (.028)
Regular Homestead Exemption = $45 (based on % of assessed property)
$50,000 x 10% = $5,000 x .028 = $140.00 – $45.00 = $95.00 (Property Tax Total)

Millage Rates

1 mill is 1/10 of a cent = .001
State RatesCounty Rates
General2.5 millsGeneral5.0 mills
Soldier1.0 millsRoad/Bridge2.5 mills
School3.0 millsFire1.5 mills
Total State6.5 millsHealth0.5 mills
Total County9.5 mills
District 1 School RatesDistrict 2 School Rates
County-Wide4.0 millsCounty-Wide4.0 mills
School Special5.0 millsSchool Special5.0 mills
District 11.0 millsDistrict 23.0 mills
Total10.0 millsTotal12.0 mills
Total State, County and School Rates for District 1 = 26 Mills
District 1 Hospital = 2 mills
Total District 1 With Hospital Rates = 28 mills
Total State, County and School Rates for District 2 = 28 mills
District 2 Hospital = 2 mills
Total District 2 With Hospital Rates = 30 mills
Municipality Millage Rates
*Municipal areas of the county add the additional 28 mills (state, county & schools) to the rates listed below for total rates applied to your property tax.
Bay Minette (03)12.5 mills + 2.0 mills (hospital)
Daphne (04)15.0 mills
Elberta (05)5.0 mills
Fairhope (06)15.0 mills
Foley (07)5.0 mills
Gulf Shores (08)5.0 mills
Loxley (09)8.0 mills  (6.0 Loxley (09), 2.0 Hospital (09H))
Robertsdale (10)5.0 mills
Silverhill (11)10.0 mills
Summerdale (12)5.0 mills
Orange Beach (13)4.0 mills
Spanish Fort (14)7.0 mills (5.0 Spanish Fort (14), 2.0 Hospital (14H))
Magnolia Springs (15)5.0 mills
Perdido Beach           4.0 mills

Frequently Asked Questions

1.Why does it seem to take so long for the tax bill to reflect the change of ownership from seller to buyer?
2.How does the County and State arrive at the value of my house?
3.How often will my house be appraised?
4.If I make an addition to my home or put a new building on my property, when should the Assessing Division be notified?
5.How do market value and tax levies affect my property taxes?
6.If I do not think that the estimated market value of my home is fair, is there anything that I can do?
7.Where can I find some helpful person to advise me and answer my questions about my property?