Fulton County already has the highest property taxes in Georgia, and residents could see an even bigger bill next year, as the county eyes an increase in the millage rate. Many other counties are set to follow suit, as local governments start the process of finalizing how much property tax they will collect. This process is usually settled in either late September or early October and can often go under the radar when it comes to the impact on property taxes.
Despite recent legislation being passed to help make tax bills more transparent, many aspects of Georgia property taxes can be confusing, including the millage rate. Previously, we provided an in-depth look at the assessment freeze, one of the best ways to lower taxes in Georgia. In this article, we will touch on the millage rate and how it affects Fulton County, the Atlanta area, and the rest of Georgia.
Georgia Assessed Value and Assessment Rate
Before millage rates can be discussed, we must explain how the value of property is calculated in Georgia. First, the county’s board of assessors determines the market value of a home or business based on previous property sales and market trends. Once calculated, the market value is then multiplied by the assessment ratio. For most real estate in Georgia, this is a ratio of 40%. This means that a home worth $200,000 will have an assessed value of $80,000. This is the key figure used to calculate property taxes and serves as a building block for property tax bills.
The Georgia Millage Rate
Taxpayers in Georgia will often look to discover what their tax rate is and can often be confused. This is because Georgia uses a millage rate, rather than the standard nomenclature of tax rate. The millage rate, which is set by the county and taxing bodies, such as schools, is how much of a property’s assessed value can be taxed. These rates are expressed in units known as mils, which are applied to every $1,000 in assessed value. If a millage rate of 10 mills is set, then every $1,000 of assessed value would be taxed $10.
Millage rates are set by taxing authorities and counties. Taxing authorities are local government entities that rely on property taxes for the majority of their funding. School districts are the most prominent, and they generate the largest tax demand. However, school districts have a cap on their millage rates and can only add 20 mills at most every year. When put together, this means that taxing authorities and counties can have a significant impact on the wallets of homeowners and businesses if they decide to increase their taxes.
Millage Rollback
The Georgia Property Tax Payer’s Bill of Rights, established in 1999, introduced a millage rollback. Since property values are assessed annually, the overall value of homes and businesses can increase every year. As inflation and other issues drive values up, local governments must make adjustments to its millage rates to ensure that taxpayers don’t simply pay more every year. The rollback occurs when the millage rate is dialed back so that the same tax revenue is generated. In many cases, values will increase, while the millage rate stays the same. In this scenario, the result would be a tax increase, which must be voted on by the City Council or a similar body. This must also be announced to the public, with hearings scheduled.
Fulton County Millage Increase
Fulton County has already dealt with one property tax crisis this year, because the tax digest, which contains the county’s assessed values, was late. This forced a court ruling where tax bills would be sent out at 2026 assessments with 2025 millage rates. This created a scenario where taxpayers could see an additional tax bill in October or receive a refund check, depending on issues such as property tax appeals.
In late September, Fulton County officials proposed an increase of 0.54% above the rollback rate, which translates into a tax increase for most citizens of Atlanta. This would be the first increase in the past few years, after a proposed 1-mill increase in 2025 was dropped. It remains to be seen whether time will tell if this new increase holds, but a rising demand for revenue may lead to the proposed increase becoming permanent. This would have an impact on tax bills sent out in 2027 and will not lead to increases in any secondary bills being sent out.
How Georgia Taxpayers Can Lower Their Property Taxes
With unpredictable bills and millage rates, homeowners or businesses must take steps to protect their interests. The first step should always be to see what exemptions are available, including the homestead exemption. A statewide homestead exemption was enacted into law, but this only applies to primary residences. This means that second homes or rental properties have no protection. Additionally, most businesses have few exemptions to use. With that in mind, many Georgia taxpayers, especially those in and around Atlanta, are using property tax appeals to challenge their property assessments.
Appeals give taxpayers an opportunity to dispute the values put forward by the board of assessors. With strong evidence on their side, taxpayers can prove that they are being unfairly or unequally assessed. This can bring market and assessed values back to reasonable levels, ensuring that taxpayers pay only their fair share. This has another benefit: the Georgia assessment freeze. A successful appeal means that the assessment for a home or business will be frozen for three years, protecting the owner from market forces. With increasing market values and millage rates, this freeze can be a true boon and provides years of protection. This makes landing an appeal an even bigger priority than in other states.
O’Connor Helps with Exemptions and Appeals
Winning an appeal and getting an assessment freeze can be difficult in Georgia. This is because substantial evidence is required. This includes years of property sales or a collection of assessments that show the true value of a home or business. For these comparable properties to be valid, they must meet certain criteria, such as being in a similar location, being the same age, and being of a similar size. This can make finding the best comparables difficult, which is where O’Connor steps in.
When you enroll with O’Connor, our experienced professionals will try to get you the best reduction possible. While it is too late to reduce your current tax bill or assessments, we can begin preparing for an appeal next year. We use data-driven techniques to find any issues in your assessment. Once we move forward, we will find the best comparable properties possible. Our experts will not only identify these properties and challenge the comparables put forward by the assessor. We will help gather evidence, file your appeal, and represent you at every hearing. Best of all, you will not be charged upfront for these services upfront. Instead, you will only be charged a percentage of your winnings if we are able to lower your property taxes.
