Quick Answer
Your property tax bill is generally driven by your assessed value, applicable deductions, and the local tax rate, sometimes referenced as a mill rate, set by the taxing units in your area. Rates vary by county, city, school district, and other local taxing bodies, so two similarly valued homes in different parts of Central Indiana can have different bills.
- Set by
- Local taxing units (county, city, schools, etc.)
- Combined with
- Your assessed value and any deductions
- Varies by
- Taxing district, not statewide
- Where to check yours
- Your county auditor or treasurer's office
How the Mill Rate Fits Into Your Tax Bill
Property tax bills are built from several taxing units layered together, such as the county, city or town, school corporation, and library district, each with its own rate. These combine into the total rate applied to your property's taxable assessed value after deductions.
Because so many local units contribute to the total, rates can differ noticeably between neighboring Central Indiana communities, even when home values are similar.
Indiana's Property Tax Caps Provide a Ceiling
Regardless of how local rates add up, Indiana's constitutional property tax caps limit how much of a home's gross assessed value can actually go toward property tax, generally 1 percent for a homestead, 2 percent for other residential and agricultural property, and 3 percent for most other property. See property tax caps for a full explanation.
For the specific rate and deduction figures that apply to a particular property, Your Realty Link always points clients to their county auditor or the Indiana Department of Local Government Finance (DLGF), since these figures are set locally and can change.
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Frequently Asked Questions — Mill Rate
Is the mill rate the same everywhere in Central Indiana?
No, it varies by taxing district, since it's built from county, city, school, and other local unit rates layered together.
Where can I find my property's exact tax rate?
Your county auditor or treasurer's office publishes current rates and can explain how they apply to your property.
Does a higher mill rate always mean a higher tax bill?
Not necessarily on its own; your assessed value and any deductions also factor into the final bill.
Do Indiana's tax caps protect me from a high mill rate?
Yes, the constitutional caps limit the total percentage of assessed value that can go to tax, regardless of how local rates combine.