IDEAS home Printed from
   My bibliography  Save this article

The Impact of Property Assessment Standards on Property Tax Burden


  • Seth B. Payton


Property tax is a tax on estimated values rather than on transactions—an important distinction from other taxes. Another distinction is that each state develops its own system for administering the property tax, including how properties are assessed. The consensus among scholars is that current market value assessment is the standard for achieving the most fair and equitable property tax burden. This study compares two disparate assessment standards in one urban county, analyzing potential determinants of systematic bias. The findings indicate that less systematic bias exists under the market value standard, but that the overall equity is only marginally better horizontally and tended toward a more regressive tax structure. A market value assessment standard may mitigate the inherent inequity (i.e., systematic bias) in a nonmarket value system. However, the inequities in the market value system, which may be less predictable, still must be monitored and addressed.

Suggested Citation

  • Seth B. Payton, 2012. "The Impact of Property Assessment Standards on Property Tax Burden," Public Finance Review, , vol. 40(5), pages 584-613, September.
  • Handle: RePEc:sae:pubfin:v:40:y:2012:i:5:p:584-613

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. Thornton, John, 2007. "Further evidence on revenue decentralization and inflation," Economics Letters, Elsevier, vol. 95(1), pages 140-145, April.
    Full references (including those not matched with items on IDEAS)


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:pubfin:v:40:y:2012:i:5:p:584-613. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (SAGE Publications). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.