Tax Calculation

Tax Calculation

Property taxes are based on the appraised values placed on residential, industrial and commercial properties by the Hamilton County Assessor of Property. Taxes are calculated per $100 of assessed value multiplied by tax rate set by City of Chattanooga.

For addtional information regarding property assessments and calculations, visit State of TN Comptroller Division of Property Assessments.

The property taxes levied on taxable property in the City are billed on October 1st of each year and are due without interest and penalty by the last day of February of the following year.

If the tax bill is not paid by the delinquent date, interest of 1% and a penalty of ½ of 1% (18% per annum) will be added on the first day of March and each month thereafter until the tax bill is paid.

All current taxes are due on Oct 1. If current taxes continue to be unpaid after 18 months, they are turned over to the Delinquent Tax attorneys for collection at which time a collection fee of 10% is imposed. The attorneys then file suit in Chancery Court of Hamilton County and court costs are charged in addition to interest, penalties, and collection fees.

The Tax Rate is set by City Council each year as part of the annual budget process. The current tax rate is 2.25 per $100 of assessed valuation. Residential and commercial properties are assessed at 25% and 40% of appraised value respectively. Property tax collections represents about 59% of the City's general fund annual operating budget.