Neon, Kentucky Property Taxes
The median property tax rate in Neon, KY is 1.46%, considerably higher than both the national median of 0.99% and the Kentucky state median of 1.02%. With the median home value in Neon, the typical annual property tax bill reaches $146, which is significantly lower than the national median of $2,690. Property taxes in Neon are calculated based on the tax assessed value, which typically falls below the market value due to various exemptions like the primary residence and agricultural exemptions. Understanding Neon's property tax system, exploring available exemptions, and identifying opportunities for reductions can lead to significant annual savings. Whether you're in the heart of Neon or another part of the city, understanding the local property tax system will benefit both homeowners and real estate investors.
Last Updated June 14, 2024
Neon, Kentucky Property Tax Bill Calculator
$100,000
$2,500,000
$5,000,000
Average Tax Rate
1.02%
Estimate Property Tax Bill
$2,040
Ownwell’s NEON Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in NEON with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in NEON to estimate your property tax bill. This insightful tool helps you understand potential tax liabilities. If you’re interested in seeing trends on a neighborhood level, scroll down to find more localized information. Your property’s assessed value is the value assigned by the county for property tax calculations, accounting for any exemptions that may apply.
Property Tax Rates Across Neon, Kentucky
Property taxes in Neon, Kentucky, are vital in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Neon is 1.46%, significantly higher than both the Kentucky state median and the U.S. national median of 0.99%. Local government entities within Neon set these rates annually, and they can vary significantly across different neighborhoods. Each year, Neon estimates its required budget to maintain services for the upcoming fiscal year, then divides this budget by the total value of all taxable property within the jurisdiction to calculate the property tax rate. While tax rates and budgets are influenced by laws and voter input, this calculation forms the basis of setting property tax rates. The data below compares Neon's effective property tax rate to other counties in Kentucky and the national median. For comparison, the 41840 zip code has the highest median property tax rate of 1.46%, while the 41840 zip code also has the lowest median tax rate of 1.46%. Understanding how these cities compare with Neon provides valuable insights into the varying tax landscape across Letcher County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Neon Tax Rate
1.46%
Average Letcher County Tax Rate
1.46%
Average Kentucky Tax Rate
1.02%
Average United States Tax Rate
0.99%
Property Tax Rates Across Neon, Kentucky
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 41840 | 0.82% | 1.46% | 1.46% | 1.46% | 1.46% |
Source: Ownwell
Property Tax Assessment Values Across Neon, Kentucky
In Neon, Kentucky, understanding the difference between "market value" and "assessed value" is crucial for comprehending property taxes. The market value is the price a willing buyer would pay a willing seller in an open and competitive market, influenced by factors like location, property condition, and economic trends. This value is estimated by the Letcher County Appraisal District for tax purposes. In contrast, the assessed value is the market value minus any applicable exemptions or limits based on local laws and available programs. The assessed value is then used to calculate your property taxes by multiplying it by the combined tax rates of all relevant taxing entities. In Neon, assessment notices are typically mailed out in the spring, usually by mid-April. These notices provide homeowners with both the market and assessed values, along with an estimate of the annual property tax bill. By understanding the distinction between these valuation concepts, property owners can better navigate their tax responsibilities and comprehend how their property taxes are determined. For instance, the highest median tax bill in Neon is $146.00 in the 41840 zip code, while the lowest is also $146.00 in the same zip code. Being aware of these valuation processes helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Average Neon Assessed Value
$15,250
Average Letcher County Assessed Value
$23,000
Average Kentucky Assessed Value
$110,000
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Neon, Kentucky
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 41840 | $1,500 | $4,000 | $15,250 | $33,000 | $55,000 |
Source: Ownwell
Property Tax Bills Across Neon, Kentucky
Property tax bills in NEON, located in Letcher County, KY, are calculated based on the assessed value of your property. The assessed value is determined by the local tax assessor and is a critical factor in calculating your tax bill. Unlike the market value, which reflects what your property might sell for, the assessed value is used specifically for tax purposes. In NEON, the median home price is $15,250, which significantly influences the property tax bills. Homeowners in the 25th percentile can expect to pay around $44, while those in the 75th percentile may see bills up to $400. For the top 10% of property values, tax bills can reach as high as $728. Comparatively, the national median property tax rate is 0.99%, highlighting that NEON's property tax bills are relatively modest. This lower tax burden can be a financial relief for homeowners, making it easier to manage their annual expenses. However, even modest tax bills need to be planned for, as they are an essential part of homeownership costs.
Average Neon Tax Bill
$146
Average Letcher County Tax Bill
$199
Average Kentucky Tax Bill
$1,031
Average United States Tax Bill
$2,690
Property Tax Bills Across Neon, Kentucky
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 41840 | $17 | $44 | $146 | $400 | $728 |
Source: Ownwell