Property Taxes

by Coy Holcombe.  

Soon, the property owners in the district will start receiving their tax statements for the 2008-2009 school year. I would like to briefly go over the exemptions that may affect your tax bill and give an example of how your school property taxes are calculated.

First, all homesteads are granted a $15,000 exemption from the state. Further, EISD provides an optional 20% homestead exemption. This 20% optional exemption is deducted before the $15,000 exemption is deducted. EISD is one of the few districts in this area that still grants the optional homestead exemption.

To see how these exemptions work, let’s look at an example. Suppose we were paying taxes on our home that has a value of $100,000. Assuming that this property is declared a homestead, we would be entitled to two exemptions: the optional 20% homestead exemption and the $15,000 homestead exemption from the state. The exemptions would be calculated as follows:

20% Optional Exemption is taken first. $100,000 x 20% = $20,000. So the optional homestead exemption would deduct $20,000 from the taxable value of this home. $100,000 – $20,000 = $80,000.

Next, the state homestead exemption of $15,000 is deducted: $80,000 – $15,000 = $65,000. So the taxable value for school district taxes on this $100,000 home is $65,000.

To calculate the school property taxes owed on this $100,000 home, we would now do the following:

Take the taxable value after all exemptions: $65,000. Divide this amount by 100. This would give us 650. Multiply this figure by the district tax rate of $1.258: 650 x $1.258 = $817.70. So, a taxpayer in our district with a home valued at $100,000 would pay about $820.00 in school property taxes. Again, this example is assuming that the homeowner has declared this property to be their homestead. There are also other exemptions that may apply to certain individuals.

If EISD did not offer the optional 20% homestead exemption, the taxes on the above property would be approximately $1070.00 ($100,000 – $15,000 = $85,000 ÷100 x 1.258). If you have any questions concerning your property taxes, please contact Debbie Myers (425 – 5232 or dmyers@eustaceisd.net). Please do not hesitate to email me at cholcombe@eustaceisd.net with your questions or comments. I hope everyone has a fantastic week.

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