The Harrodsburg City Commission approved new real estate and property tax rates for the new fiscal year.
At a special-called meeting on Tuesday, Sept. 20, the city commission voted to take the compensating rate, which is calculated by the state to generate the same tax revenue produced the preceding year. Last year, the city charged .0697 per $100 in assessed value for real and personal property. The new rate approved by the city commission is .0690 per $100 in assessed value.
The commission also approved the ad valorem tax on motor vehicles at 0.23 per $100 in assessed value, which is unchanged from last year.
While the tax rate is somewhat lower, due to rising property valuations, some property owners may see a higher bill.
Back in July, the Mercer County Fiscal Court also voted to take the compensating rate on real estate at 12.60 per $100 in assessed value for 2022, down from 13.0 in 2021. They also chose 18.31 per $100 in assessed value for personal property. It was 19.17 in 2021
However, county officials estimated the owner of a $150,000 home would see a $189 increase under the compensating rate.
“If your house has not been reassessed, your rate will be lower this year,” said Harrodsburg City Clerk Shavonna Huffman.
Last week, the fiscal court approved new real estate and property tax rates for the year. Most of the taxing districts lowered their rates.