It has been several years since we discussed how your personal property taxes were calculated. These taxes are due by the 31st of this month so I think this would be the best time to look at again.
What is the difference between assessed value and appraised value? Assessed value is to provide a basis for setting of tax rates and the collection of taxes, while an appraised value is for the specific purpose of determining the current market value (sales price) of a specific piece of real estate.
Properties are assessed, for tax purposes by the following percentages: Agriculture --12 percent, Residential --19 percent, and Commercial -- 32 percent. So if we were to look at a piece of property valued at $100,000 the assessed value would be as follows:
Agriculture – $100,000 x .12 (12%)= $12,000
Residential – $100,000 x .19 (19%)= $19,000
Commercial – $100,000 x .32 (32%)= $32,000

Taxing jurisdictions such as schools, fire districts, road districts, library, etc., adopt budgets after public meetings based on the assessment values for their district. Taxing districts typically set their budgets and levies by the end of August each year. For the tax year of 2018, the Osage Beach Fire District set its levy at .5934 cents per $100 of assessed value. Therefore, to figure out what you will pay for fire protection in 2018 on your tax bill you would use this formula:
Assessed Value x .005934

Basing the value of the real estate at $100,000 this calculation would look like this:
Agriculture – $12,000 x .005934 (12%)= $  71.21
Residential – $19,000 x .005934 (19%)= $112.75
Commercial – $32,000 x .005934 (32%)= $189.89

There are two types of tax rates you may see in your jurisdiction -- General operating levy and bond levy. General operating levies are subject to restrictions whereas the revenue cannot increase over the previous year except through new construction and additionally by COLA (cost of living adjustment) as set by the state. That is why you will see tax rates for general operating levies decrease as the assessed value of the district increases. General operating levies are approved by simple majority of the voters.
Bond levies, however, can be increased by the elected board of directors in order to cover anticipated bond payments plus required reserves. Bond revenue can only be used for “capital” type purchases such as trucks, stations and equipment. Since a bond issue creates debt for the district and the levy can be increased without voter approval, these issues must be passed by a super Majority of the voters or 57 percent.
Hopefully this information is helpful as you try to understand your yearly tax bill.