Real Estate Math

An Iowa property assessed at $185,000 has a homestead credit that reduces taxable value by $4,850. At a mill rate of 28, what are the annual taxes?

A$5,043.00✓ Correct
B$4,907.00
C$5,180.00
D$5,236.00

Explanation

Taxable value = $185,000 − $4,850 = $180,150. Tax = $180,150 × 28 ÷ 1,000 = $5,044.

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