How is the proration for taxes assessed on a nonhomestead property sold on April 12th calculated if the millage rate is 24 mills?

To determine why the answer indicating a debit to the seller and a credit to the buyer is accurate, we need to understand how property tax proration works upon the sale of a property.

When a nonhomestead property is sold, property taxes must be prorated between the seller and the buyer based on the date of the sale. In this case, the property is sold on April 12th. Typically, property taxes for the year are calculated and billed on a full year's basis, which is often assessed as of January 1st for the upcoming tax year.

To calculate the proration for taxes:

1. First, ascertain the annual tax amount based on the millage rate. A millage rate of 24 mills means that for every $1,000 of assessed value, there are $24 in taxes owing.

2. Determine the amount of taxes that need to be prorated from January 1 until the sale date, which in this case is April 12th. This means the taxes need to be calculated for 101 days (from January 1 to April 12).

3. The proportion of the taxes applicable to the seller is calculated based on how many days the seller owned the property in relation to the total days of the