Printable cheat sheet

Texas property tax and millage cheat sheet

Built for Texas sales agent exam prep. Identify the value type, apply the cap and exemption in the right order, normalize the rate unit, and calculate only what the question asks.

Use the calculator

Taxable value suppliedUse it directly

Taxable value already reflects the exemption used to produce it. Do not subtract that exemption again.

Appraised value suppliedAppraised value - applicable exemption

Subtract only the exemption stated for that taxing unit to find its taxable value.

Rate per $100Taxable value / 100 x rate

Texas tax rates are stated as dollars of tax per $100 of value. Keep the rate intact and round the final money result.

Mills conversion1 mill = $1 per $1,000 = $0.10 per $100

Divide mills by 10 to convert to dollars per $100. For example, 21 mills becomes $2.10 per $100.

Residence-homestead capLower of market value or (prior appraised x 1.10 + improvements)

Use qualifying new improvements only. Find the capped appraised value before subtracting an exemption.

Current school exemption$140,000 general residence homestead

This mandatory amount applies to school districts. Other taxing units and other exemption categories can differ.

The six-step exam setup

Identify the requested answer and whether the starting number is market, appraised, or taxable value.
If the residence-homestead cap is required, use the lower of current market value or prior appraised value plus 10% plus qualifying new improvements.
If taxable value is given, use it directly. Otherwise subtract the applicable exemption from appraised value.
Match each taxing unit's rate to its taxable value. Calculate units separately when their exemptions differ.
Use a per-$100 rate directly. If the rate is in mills, divide the mills by 10 first.
Divide, multiply with full precision, and round the final money answer to cents.

Unit and savings shortcuts

Equivalent rate$2.10 per $100 = 2.10% = 21 mills

The numeric per-$100 rate is also the percentage rate. Multiply it by 10 to express the same rate in mills.

Exemption tax reductionExemption / 100 x rate

An exemption removes value from taxation. It is not a dollar-for-dollar credit against the tax bill.

Several taxing unitsCalculate separately, then add

Combine rates only when every included unit applies its rate to the same taxable value.

Five worked examples

Taxable value supplied$260,000 taxable value at $2.10 per $100

Use the taxable value directly. $260,000 / 100 x $2.10 = $5,460 annual tax.

Current school homestead$300,000 appraised value, $140,000 school exemption, example $1.00 rate

$300,000 - $140,000 = $160,000 taxable. $160,000 / 100 x $1.00 = $1,600 annual school tax.

Cap, then exemption$250,000 prior appraisal, $300,000 market, no improvements, $140,000 exemption, $1.00 rate

Lower of $300,000 or $250,000 x 1.10 is $275,000 appraised. $275,000 - $140,000 = $135,000 taxable. Annual tax: $1,350.

Mill-rate question$260,000 taxable value at 21 mills

21 / 10 = $2.10 per $100. $260,000 / 100 x $2.10 = $5,460 annual tax.

Different taxing-unit bases$300,000 appraised homestead; school uses $140,000 exemption at $1.00, example city uses no exemption at $0.50

School: $160,000 / 100 x $1.00 = $1,600. City: $300,000 / 100 x $0.50 = $1,500. Add the separate results: $3,100.

Traps to check

Do not subtract an exemption when the question already gives taxable value.
Do not treat an exemption as a dollar-for-dollar tax credit. It reduces the value exposed to the rate.
Do not divide by 1,000 when the rate is per $100. The per-$1,000 denominator belongs to mills.
Do not add 10% to current market value. Start with the prior appraised value and then compare the cap amount with market value.
Do not subtract the exemption before finding the capped appraised value.
Do not assume the $140,000 school exemption applies to a city, county, or special district.
Do not combine taxing-unit rates when their exemptions create different taxable values.
Do not apply residence-homestead benefits to a rental or second home that does not qualify as the owner's principal residence.

Sanity check

$2.10 per $100, 2.10%, and 21 mills are the same rate written three ways.
Taxable value cannot exceed the appraised value used for that taxing unit.
A capped appraised value cannot exceed either current market value or the statutory cap amount.
At a fixed rate, a larger exemption must lower the tax by exemption / 100 x rate.
If taxing units use different taxable values, the combined answer must equal the sum of the separately calculated taxes.