When buying a piece of real estate in Georgia, it is important to know about the additional costs such as Georgia Inheritance Tax that are involved in owning a piece of property. One of these costs is the property tax that each piece of property carries with it. The amount in which a homeowner or property owner is expected to pay in property tax varies and is primarily based off of the location and size of the property in question. Property Tax is paid annually, although depending on where you are payments can be spread out into installments.
According to https://dor.georgia.gov residents of the State of Georgia can figure out what their property tax is through this simple equation:
[(Assessed Value) – $200,000] * Millage rate = the amount of tax due
The Georgia Inheritance Tax
The Georgia Inheritance Tax, (technically Georgia’s estate tax) is one that fewer people are familiar with. Essentially, it means that the tax on an estate is paid by the estate prior to any assets or property being distributed. Unfortunately, this is not a tax that the majority of homeowners are knowledgeable of.
The Georgia Inheritance Tax is a lesser known tax primarily because each state has varying rules and specifics unique to their inheritance or estate tax. Whereas property taxes are paid by homeowners throughout the country. There are a number of reasons as to why it is important for any homeowner or potential homeowner to be aware and knowledgeable of both property and the Georgia inheritance tax:
1. As a property owner, you are responsible for your property and any associated taxes. This includes making sure that your property and any other outstanding taxes are paid up to and even after death – which is where the Georgia Inheritance Tax comes in to play.
2. When preparing your last Will and Testament, it is important that you are aware of how any outstanding taxes will be taken care of. The amount of this will also impact how much anyone that is supposed to receive money from your estate might receive.
As a property owner or even a perspective property owner it is your responsibility to be knowledgeable of and to take care of, and pay all associated taxes and fees.
Unfortunately, far too many people claim ignorance to tasks and responsibilities such as these, causing them or their loved ones trouble down the line.