Residents are likely to see an increase in their property tax bills this tax season when the bills start arriving Dec. 1.
The Boone County Assessor’s Office reassessed properties this year as required by state statute and recorded an upward shift in market value for homes.
The Missouri Code of State Regulations states that counties will reassess on a two-year cycle, which falls every odd year, said Kenny Mohr, Boone County assessor.
Reassessment works by looking at what each individual property could sell for on the market at this moment in time. That number is then divided by 100 and multiplied by a tax rate to determine the tax bill residents receive.
The county has seen increased assessment values for residential properties in 2019, 2021 and this year.
“The market conditions at the time of the reassessment will determine if a change in valuations is warranted,” Mohr said.
The median market value for a single-family home from 2020-2022 has gone up 27.5%. This led to an average increase of 8% in property taxes across Boone County.
In addition to the assessment value, tax levies from each taxing jurisdiction are a major factor in determining each property tax bill. Taxing jurisdictions include cities within the county, school districts, fire districts and library districts.
Each jurisdiction is allowed to set a levy each year as long as it is within what the public has voted to approve, Mohr said.
Missouri state law, through the Hancock Amendment, states that all local taxes must be approved by voters.
“Many taxing districts have not eliminated this levy, and that causes taxes to increase,” he said.
Mohr pointed out that many don’t realize how little the county receives from taxes. Around 80 cents to 85 cents on every dollar collected through property taxes goes to the local school district, he said.
The Columbia City Council voted to maintain the current tax rate as part of its FY2024 budget approval. But council members warned the public that holding the line on the tax rate would not shield property owners from higher taxes because of the increase in assessed property values.
“We saw an increase in both real estate and personal property taxes billed for tax year 2023,” said Brian McCollum, Boone County collector.
Taxpayers who were likely to see an increase in taxes received an impact notice from the assessor’s office. These notices were sent out May 22, and residents had an opportunity to appeal the assessment, Mohr said.
Tax bills must be paid by Dec. 31.
