LOUISVILLE, Ky. — Louisville residents will see a slight shift in the property tax rates under a proposal pending before Metro Council.
The countywide Metro real property tax rate will go from 12.89 cents per $100 of assessed value to 12.40 cents, according to a property tax ordinance filed Monday with Metro Council. That amounts to a $4.90 savings for every $100,000 of assessed property value. At the same time, the rate in the Urban Service District (USD) will move from 35.46 cents per $100 of assessed value to 35.80 cents per $100 of assessed value. This equates to a slight increase of $3.40 per $100,000 of assessed property value.
In addition, all Louisville businesses will decrease personal property tax rates: The countywide personal property rate goes from 16.60 per $100 of assessed value to 16.41 cents, while the USD rate will decrease from 56.60 cents per $100 of assessed value to 56.00 cents.
Metro Chief Financial Officer Monica Harmon said that ongoing improvement in our local economy, coupled with high demand in real estate, has resulted in increased property values, leading to higher assessments.
“These reassessments were primarily conducted outside the USD. In order to stay in line with HB44, a state law that limits property tax growth in revenue to 4 percent,” Harmon said, “the countywide Metro real property tax rate was lowered while slightly increasing the rate inside the USD.”Property taxes fund approximately 24 percent of the city’s budget. The proposed real property rate changes do not require a general vote by the public and are consistent with the FY23 budget adopted by the Metro Council in June, which increased the property tax revenue estimate from $163,350,000 to $170,770,000.
Metro residents can comment on the proposed property tax rates during a public hearing at noon on Wednesday, Sept. 7, in room 106 at Metro Hall, 527 W. Jefferson St.
Once Metro Council approves the ordinance, the rates take effect on property tax bills released by the Jefferson County Sheriff in early November.
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