If you struggle to pay your Georgia property tax bill, you’re not alone. From 2018 to 2022, Georgia property tax collections rose by 41% — not to mention total assessment values increased by almost 39%. In fact, the property tax rate in Georgia as of 1 March 2025 is 1.08%, which is 0.06% higher than the national average of 1.02%. However, many Georgian property owners don’t know that several options are available to help reduce their property tax burden.
How can homeowners reduce their tax burdens? It all starts with understanding how to calculate property tax in Georgia.
Assessing Property Taxes in Georgia
While annual average Georgia property tax bills are $188 less than that of the average American resident, property taxes in the Peach State vary from county to county. For instance, property owners in Fulton County pay a yearly median property tax of up to $3,345 compared to just $367 in Coffee County.
To understand how property taxes in Georgia are calculated, remember these key pointers:
Assessing Property Taxes in Georgia
While annual average Georgia property tax bills are $188 less than that of the average American resident, property taxes in the Peach State vary from county to county. For instance, property owners in Fulton County pay a yearly median property tax of up to $3,345 compared to just $367 in Coffee County.
To understand how property taxes in Georgia are calculated, remember these key pointers:
Assessment Ratios and Millage Rates
Georgia property tax is figured using a property’s assessed value. This entails taking the property’s fair market value — the amount an informed buyer would pay and a willing seller would accept in a fair and honest sale — multiplied by the assessment ratio. Note that all Georgia properties have an assessment rate of 40% of their fair market value.
Based on Georgia trends, property taxes have been increasing year after year, mainly due to the increasing population and an ever-rising Georgia property tax rate. Local authorities adjust this rate annually when they estimate the budget required for providing services in their jurisdiction. They then divide the estimated budget value by the total value of all taxable property within their area to get the effective property tax rate.
A quick tip: Some counties in Georgia, like Forsyth County, refer to the effective tax rate as millage rates (mill rates), which is a thousandth of a dollar. In other words, mills refer to $1 of taxes for every $1,000 in assessed value.
Role of County Assessors
The County Board of Tax Assessors determines the value of all properties within its jurisdiction every year for taxation purposes. More concerned with value, they determine the fair market price of all real property within its area, whose value they multiply by the assessment ratio to get the property’s assessed value.
County Assessors also send assessment notices to property owners, usually between late May and the end of June. If property owners disagree with the assessed value, they can file a property tax appeal, which county assessors also handle.
Appraisal Methods
Generally, county assessors use mass appraisal techniques to determine the value of all properties within their area. They use flawed data analytics and statistical modeling programs to analyze large datasets based on specific factors like economic growth, neighborhood, and the property’s condition.
Example Calculation of Georgia Property Tax:
Step 1: Fair market value x 40% = Assessed property value
Say a property’s fair market value is $100,000. Multiplying 40% by $100,000 (0.4 x 100,000) puts the assessed value at $40,000.
Step 2: Assessed value - exemptions = Taxable property value
Suppose the property qualifies for the $2,000 statewide homestead exemption, you would subtract this from $40,000 to put the property’s taxable value at $38,000 ($40,000 - $2,000).
Step 3: Taxable property value x tax rate = Property taxes due
If you live in Fulton County, where the median tax rate is 1.05%, multiply the property's taxable value ($38,000) by the tax rate percentage. That makes the property tax bill total for this property $399 ($38,000 x 0.0105).
Exploring Property Tax Exemptions in Georgia
Property tax exemptions can reduce your property’s taxable value and, therefore, your property taxes. Available property tax exemptions in Georgia include:
Statewide Homestead Exemptions:
A standard $2,000 exemption applies to all statewide property tax bills in Georgia.
County-Specific Tax Benefits:
The Constitution of Georgia allows local governments to set their own exemptions. These include homestead exemptions, which apply to a homeowner’s primary residence, and surviving spouse exemptions, which apply to deceased veterans' children and surviving spouses.
Special Exemptions for Seniors and Disabled Veterans:
No one can legally avoid paying Georgia property tax, regardless of age or position. However, seniors and veterans with a 100% VA disability qualify for additional exemptions. For example, the school tax exemption allows those aged 62 years or older to reduce their property tax bill by the portion paid to fund local schools.
Property Owner’s Right to Appeal
Georgia's median property tax bill is $2,212, which is pretty typical compared to other U.S. states, like Texas, whose median property taxes are $3,971.
Even so, if you receive your annual assessment notice and believe that your property’s assessed value is inaccurate, you have a right to file a property tax appeal in Georgia within 45 days of receiving the assessment notice.
The Georgia Property Tax Appeal Process
First, begin by writing a property tax appeal to the County Assessors’ office or via the county’s online portal. If available, cite reasons for contesting the assessed value.
Once the property tax appeal is filed, the Board of Tax Assessors (BOA) will review it and adjust the assessed value if it finds merit in the argument presented.
Suppose you're still unsatisfied with the Board’s judgment. In that case, you can raise the issue with the Board of Equalization (BOE) — a bench consisting of impartial local residents who’ll listen to you and the assessor’s evidence before making a final decision.
It is worth noting that you may receive a property tax bill based on a temporary assessment during your property tax appeal process. Depending on the county, the bill may be a fraction of the previous tax year’s assessed value or 85% of the current tax year’s proposed value. Legislation HB 197 says taxpayers are 100% liable to pay the proposed bill. But once the appeal concludes, the tax bill will be recalculated, factoring in the paid amount.
Please read our article on Georgia's property tax bills and payments for more details.
Upcoming Changes for 2025
Georgian residents approved two new statewide property tax bills in November 2024, aiming to reduce homeowners' financial burdens.
Georgia Amendment 1 introduced a new "floating" homestead exemption. This amendment caps homeowners’ property tax increases based on the statewide inflation rate, allowing exemptions to be applied uniformly across all counties, municipalities, and school districts.
However, many urban counties, cities, and school districts have opted out of this floating homestead exemption.
On the other hand, Georgia Referendum A raises the assessed value of tangible personal property, besides motor vehicles, mobile homes, and trailers, from $7,500 to $20,000 as of January 1st, 2025. This means homeowners and property owners do not have to pay taxes on property valued up to $20,000.
While both laws relieve existing homeowners, they also decrease revenue for local authorities, which can negatively impact funding for essential services like schools, public health, and infrastructure. However, legislation HB 581 allows local areas that do not opt out of the new property taxes to increase local sales tax by one percent to compensate for the lost revenue.
How to Lower Your Georgia Property Taxes With Ownwell
Dealing with property tax in Georgia — whether it's filing appeals or applying for exemptions — can be confusing and overwhelming. The good news is that Ownwell can help you save money.
At Ownwell, we specialize in filing for exemptions and managing the entire property tax appeal process. No upfront fees are required to get started. You only pay if we help you save.
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