Tax Roll

What Is a Tax Roll?

A tax roll is an official record of property subject to property tax within a given jurisdiction.

Tax rolls, or tax assessment rolls, are usually maintained by the municipal government department to which the property taxes are owed. Local tax rolls may also be integrated with county, state, and national reporting databases. Multiple tax rolls may be created in jurisdictions that tax a variety of different types of assets.

Understanding Tax Rolls

Tax rolls list detailed information about an individual’s property and associated property tax within a specific jurisdiction. Each individual city, county, and state can legislate property tax laws as a means for generating revenue.

Most local municipalities will charge property taxes on all residential and commercial real estate within the jurisdiction as a means for collecting revenue to fund local infrastructure and public services. Law enforcement, fire service, schools, water, sewage, and road and highway construction projects are some of the most common recipients of property tax roll funds.

Property taxes, in general, are a type of ad valorem excise tax. This is a tax on a specific item with the tax revenue based on a percentage of the property’s value. Jurisdictions can require a property tax on any type of property they choose. They can also adjust the tax rate annually in conjunction with needs for the annual budget.

The two most common types of property tax rolls are real estate property tax rolls and vehicle tax rolls.

Real estate property taxes are the most common type of property tax but some states also charge property taxes on motor vehicles and other assets. As such, most jurisdictions keep a separate tax roll for each type of asset. The local assessor’s office will usually be responsible for creating real estate property tax rolls annually. The department of motor vehicles is generally involved in the creation of a motor vehicle tax roll.

Each governing department can have its own rules and regulations for determining the value and taxation of property on a tax roll. Real estate property is often appraised on a regular schedule by the local assessment department. Motor vehicle property values may be based on data from the department of motor vehicles. Most tax rolls are created annually as reporting for a taxpayer’s annual tax obligation.

Tax Roll Delinquency

Any delinquent tax activity will be included on an annual tax roll until all tax bills are paid. If property taxes are not paid, most governments will tag the property with a tax lien. A tax lien will usually result in a freeze on the sale or refinancing of a real estate property until the tax is paid.

A tax lien on any type of property can also potentially allow the government to take the property to cover any past-due tax debts. Unpaid property taxes usually also come with accumulating monetary penalties.

Tax Roll Communication

Typically, if property tax is required on a specific piece of property, it will be communicated after the release of a preliminary and final tax roll. Government agencies often provide both online and mailed communications on preliminary and final tax roll reporting.

Some jurisdictions may only allow disputes of tax roll obligations between the preliminary and final releases. Overall, tax roll information is usually communicated to each taxpayer individually through a tax bill, which specifically shows their tax owed and value assessment as well as everything detailed on the tax roll. 

Real Estate Property Tax Roll

A real estate property tax roll is simply a record of all land and building property located within a given jurisdiction. Each reported property listing includes important details such as the owner, property location, property class, property value, valuation date, property appraiser, taxable status, and tax owed.

A real estate property tax roll is created annually by the designated assessment office. Properties on the roll are valued based on a jurisdiction’s appraisal rules. Many jurisdictions appraise property values annually. The designated assessment office is responsible for determining each property’s appraisal value and its property tax, which is all detailed on the roll.

Annual property taxes are usually imposed based on a millage rate. In millage rate terms, 1 mill is equal to 0.10% of $1,000. Therefore, a millage rate of 2 mills would be 0.20% of $1,000 or $2, and a millage rate of 30 mills would be $30 per $1,000.

The governing tax roll office is responsible for enforcing the millage rate, applying it based on a property’s taxable value, recording the tax obligation on the tax roll, and notifying the taxpayer as required.