Hamilton County Tennessee property taxes are used to fund items like roads, police and fire support, public libraries, local school systems and local governments. Like in most states, the amount of Hamilton County Tennessee property taxes you’ll pay is dependent upon two factors: the value of your home and the millage rate. The local tax assessor will estimate the value of your home and send you a notice regarding the fair market value of your home.
Then, when the budget is created, the tax department will use the combined property values for the area along with the revenue requirements to meet the upcoming budget to determine the millage rate. In most cases, the millage rate is based on 25% of the fair market value, rather than the full fair market value on a residential property. Commercial properties are taxed at 40% of the fair market value. Counties and cities must hold a public meeting before the millage rate can be raised, but it can be lowered at any time.