Real Estate Math

A South Carolina property has an assessed value of $40,000 (at 4% owner-occupied ratio on $1,000,000 market value). The millage rate is 100 mills. What is the annual property tax?

A$100✓ Correct
B$400
C$1,000
D$10,000

Explanation

Tax = Assessed Value × Millage Rate. $40,000 × (100/1000) = $40,000 × 0.10 = $4,000. Note: 100 mills = $100 per $1,000 of assessed value.

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