Real Estate Property Tax Information

Penalties & Liens
Taxes not paid in full on or before December 31 will accrue penalties and fees which can be as high as 25% during the 1st year of delinquency.

Taxes are a lien with the tax liability on real estate remaining with the property. When the ownership changes, the new owner is liable for any unpaid property taxes.

Tax bills are sent to the mailing address in the tax file as of the date the bill is printed unless escrowed.

Back Taxes
Property is subject to be sold at public auction for back taxes if the real estate taxes remain unpaid for 3 years. The tax certificate sale is held annually on the 4th Monday in August at 10 a.m. on the Courthouse steps.

Taxes are levied against real property based on the maximum rates as determined by voters, collected by the collector and then distributed back to the taxing entities.

Determination of Real Estate Taxes
The amount of real estate property taxes imposed is determined by 2 factors:

• The assessed value of their taxable property set by the local assessor; and
• The tax rate established by the governing bodies of local taxing entities where the property is located.

Example
Assessed Value / 100 x Tax Rate = Tax Levied
$9,500/100 (=95) x $5.1240 = $486.78

Assessed Value
Assessed value is a percentage of the market value as determined by the assessor's office. In order to calculate the assessed value, multiply the market value (or appraised value) by the appropriate assessment rate for the type of property.

• Agricultural Property 12%
• Commercial Property 32%
• Residential Property 19%

Setting Tax Rates
Tax rates are set each year by local taxing entities within the limits allowed under the constitution and state law.

New Purchaser/Seller Information

• The new owner/buyer has the responsibility for paying the total tax bill by December 31.
• Generally, taxes are prorated between the buyer and seller. If this is being done, a proportionate amount of the estimated tax amount is credited to the buyer at the time of sale based on the number of months/days the seller owned the property during the tax year.
• No money is paid to the Collector for taxes at the time of sale.
• You will have real estate property taxes to pay each year you own the property.
• If you do NOT receive a real estate tax statement from the Cole County Collector by December 10, contact the Collector's office.
• Taxes are levied annually and due upon receipt. After December 31, late charges will apply.

Real estate closing on or after October 1: The tax bill may be generated in the previous owner's (seller's) name and mailed to their mailing address unless the purchaser advises the Cole County Collector's or Assessor's office of the property ownership.

If you are the seller of property during the tax year and receive a tax bill on the property you sold, please notify the Collector's Office of the name and address of the new owner so a bill can be sent to them timely.

Important Tax Payment Facts

• Property is subject to be sold at Public Auction for back taxes if the real estate taxes remain unpaid for 3 years.
• Tax bills are sent to the mailing address in the tax file as of date the bill is printed unless escrowed.
• If you receive a bill that your mortgage company is to pay, please forward the bill to them for timely processing.