What Does the Assessor Do?
The assessor is required by the Tennessee Constitution to list and value all property subject to ad valorem taxation on an assessment roll each year. The "ad valorem" basis for taxation means that all property should be taxed "according to value" which is the definition of ad valorem. The assessed value is a percentage of "fair market value" or "use value" as prescribed by law.
Property is assessed as follows:
- Commercial Property - 40% of "Fair Market Value"
- Residential Improvements - 25% of "Fair Market Value"
- Residential Land - 25% of Its "Fair Market Value" or "Use Value"
- Personal Property for Commercial Businesses - 30% of the Appraised Value as Reported on the Tangible Personal Property Schedule
The Blount County Assessor's office must appraise and assess approximately 70,000 parcels of property. All public service properties are assessed by the State Assessed Properties Division (formerly Public Service Commission). Personal Property for commercial businesses are assessed at 30% of the appraised value based on the cost as reported annually by the business owner. The Assessor's Office is required by law to audit a minimum of 10% of the accounts each year.
The assessor does not raise or lower taxes. The assessor does not make the laws which affect property owners. The Constitution of the State of Tennessee, as adopted by the voters, provides the basic framework for taxation, and tax laws are made by the Tennessee Legislature. The laws and regulations for assessment are set by the Tennessee Legislature.
The tax dollars are levied by the taxing bodies, such as the city council or county commission and are collected by the Trustee's Office. The assessor's office has nothing to do with the total amount of taxes collected. The assessor's primary responsibility is to find the "fair market value" of your property so that you may pay only your fair share of the taxes. The amount of taxes you pay is determined by a "tax rate" applied to your property's assessed value
The tax rate is determined by all the taxing agencies within a district, city, or county, and those rates fixed by the Constitution. They include your city council and county commission. The tax rate is the basis for the budget needed or demanded by the voters to provide for services such as schools, roads, law enforcement, etc. Tax rates are simply those rates which will provide funds to pay for those services.
To arrive at "fair market value" for your property the assessor must know what "willing sellers" and "willing buyer" are doing in the marketplace. He must also keep current on cost of construction in the area and any changes in zoning, financing, and economic conditions which may affect property values.
The assessor uses the three nationally recognized appraisal approaches to value, those being cost, income, and market. This data is then correlated into a final value estimate by the appraiser. After your appraisal has been made, the appropriate percentage of value required by law is calculated as your "assessed value."