馃攳
Everything To Know About Property Taxes in Chester County, PA - YouTube
Channel: Shawn Connors | Real Estate
[0]
they say that there are two things in life聽
that you can't avoid and that's death and taxes聽聽
[3]
so sorry i don't mean to sound so dark but it's聽
a good segue into what the discussion is going聽聽
[8]
to be today which is everything that you need聽
to know about taxes in chester county i'm going聽聽
[14]
to cover everything from real estate taxes to聽
school taxes county taxes city town taxes tax聽聽
[20]
assessments millage rates and much more more info聽
about taxes that you probably have ever heard of聽聽
[27]
now i know that talking about taxes isn't very聽
sexy or even appealing to most but it's very聽聽
[32]
important to understand how they work so let's聽
jump right into it i want to start off by giving聽聽
[36]
you a short breakdown of how taxes work in chester聽
county there are three different tax rates for聽聽
[42]
each home which makes up your yearly property tax聽
payment they are the county tax school tax and the聽聽
[49]
city or town tax of the three taxes only one has聽
the same millage rate at 4.551 mills and that is聽聽
[56]
the county tax now you might be asking what the聽
heck is a military a millage rate is the tax rate聽聽
[63]
used to calculate local property taxes the millage聽
rate represents the amount per every one thousand聽聽
[71]
dollars of a property's assessed value assigned聽
millage rates are applied to the total taxable聽聽
[77]
value of the property in order to arrive at the聽
property tax amount now let's look at county tax聽聽
[84]
rates in chester county the 2021 tax rate has been聽
set at 4.551 mills which i just mentioned earlier聽聽
[91]
the formula to calculate real property tax is聽
as follows you take the property assessed value聽聽
[98]
which we will talk about a little later on in聽
this video and you multiply it by the millage聽聽
[104]
rate and that equals the tax amount so if you have聽
a property with an assessed value of 100 000 and聽聽
[111]
a rate of 4.551 mils you would take that hundred聽
thousand dollars multiply it by point zero zero聽聽
[118]
four five five one which gives you four聽
hundred and fifty five dollars and ten cents聽聽
[123]
please note the following four point five five聽
one mills is equivalent to a millage of .004551聽聽
[131]
this is comparable to expressing percentage as聽
a whole number or as a decimal so in this case聽聽
[138]
of millage the decimal is moved three places to聽
the left instead of two because it's per 1000 and聽聽
[144]
not 100 just so you know the absolute last day to聽
pay your chester county taxes are december 31st of聽聽
[152]
the current year you can elect to have this tax be聽
escrowed into your monthly mortgage payment or you聽聽
[158]
can pay it on your own and i would definitely聽
highly recommend having an escrow into your聽聽
[163]
monthly mortgage payment just so you don't forget聽
now let's move on from county taxes and switch聽聽
[168]
focus to school taxes in chester county no one聽
school tax rate is the same as the other districts聽聽
[175]
each school tax is based on the particular聽
school's budget so every year the board of聽聽
[181]
education they'll get together have their meeting聽
set their yearly budget for the year and then聽聽
[188]
that's how they base the tax rate now let's look聽
at a real life example take westchester school聽聽
[194]
district which consists of 10 elementary schools聽
three middle schools and three high schools聽聽
[200]
the annual millage rate for westchester school聽
district is 22.0604 just like our previous example聽聽
[208]
for county tax the school tax amount due on each聽
parcel is calculated by multiplying the assessed聽聽
[214]
value of that property whatever property by the聽
millage rate the following is an example of this聽聽
[221]
if you have a property that has an assessed value聽
let's say at two hundred fifty thousand dollars聽聽
[227]
you would multiply that by the millage rate of聽
point zero two two zero six zero four which gives聽聽
[234]
you five thousand five hundred fifteen dollars and聽
ten cents the school tax rate in chester county聽聽
[239]
will always be the highest of the three taxes that聽
you pay the school taxes are also due on december聽聽
[245]
31st of the current year but they are based off of聽
a different schedule which is from july to june of聽聽
[253]
the next year and the third tax rate that we will聽
focus on that makes up your annual tax payment聽聽
[259]
is your township tax just like the school tax聽
rate the township tax rate is based off of the聽聽
[265]
yearly budget of this said township each township聽
is going to have a different rate too so depending聽聽
[272]
on where you live throughout the county it could聽
be higher or lower it just again depends on where聽聽
[278]
what specific township you live in the township聽
tax rate is calculated the same way that a county聽聽
[284]
and the school taxes are which is based off of聽
the home's assessed value and then you multiply聽聽
[291]
it again by the military and you have your yearly聽
township tax payment the township taxes are also聽聽
[297]
due on december 31st of the current year but they聽
are based off of a different schedule which is聽聽
[303]
from july of the current year to june of the next聽
year next up we have the earned income tax and i聽聽
[309]
know at this point you're probably thinking dude聽
do i ever stop paying taxes well the answer is no聽聽
[315]
but just hang on with me because聽
you'll see the benefit of paying taxes聽聽
[320]
our next tax we're talking about is the earned聽
income generally the earned income tax rate is low聽聽
[327]
it's around one percent and it gets divided up聽
between the township and the school district聽聽
[332]
so this means based off of how much money聽
you make you have to pay an earned income聽聽
[337]
tax of one percent or whatever it is per the聽
township that you live in so just to give you聽聽
[343]
a real life example i currently live in downey聽
town borough and our earned income tax rate is聽聽
[348]
about one percent which isn't that bad overall聽
so now let's talk about property assessments聽聽
[353]
it is the responsibility of the county assessment聽
office to place a value on each parcel of land聽聽
[359]
and any improvement or structures such as a house聽
or other kind of structures that could be on a聽聽
[365]
property assessments are derived by assessors聽
who are state certified under pennsylvania law聽聽
[371]
under pennsylvania statute property taxes are the聽
primary source of revenue for county and municipal聽聽
[378]
governments and school districts property taxes聽
which are calculated using property assessments聽聽
[385]
fund critical services including public聽
safety fire station police station and聽聽
[390]
the ambulance public education corrections聽
the court system public health programs聽聽
[397]
and human service programs so all of the money聽
that you pay in taxes for living in chester聽聽
[403]
county goes to fund what i just mentioned now聽
remember the tax rates throughout the county聽聽
[409]
are different but chester county is one of the聽
highest in the state of pennsylvania but it聽聽
[415]
offers so much more in terms of public education聽
safety health care programs and the like it's聽聽
[423]
important to remember that because you get what聽
you pay for so if you need any more information聽聽
[428]
about taxes in chester county when to pay them聽
where to pay them or just about living in the聽聽
[435]
chester county area then make sure you do me聽
a favor and text me anytime at 484-999-0218
[443]
look forward to speaking with you聽
soon and have a great day take care
Most Recent Videos:
You can go back to the homepage right here: Homepage