All property owners in California must pay taxes that are based on the value of their homes or commercial property. Property taxes are paid in two installments. The fiscal year’s first property tax bills are mailed out on October 1st; the first installment is due by November 1st, and is considered delinquent on December 10th. The second installment is due February 1st, and this payment is considered delinquent after April 10th.
For many California taxpayers, the property tax bill is one of the largest tax payments they make each year. For thousands of California local governments—K–12 schools, community colleges, cities, counties, and special districts—revenue from property tax bills represents the foundation of their budgets.
A California property tax bill includes a variety of different taxes and charges.
- The 1 percent rate established by Proposition 13 (1978). Under Proposition 13, a referendum passed in 1978, property taxes may not exceed 1 percent of the assessed value of your home. And cannot rise by an amount greater than the rate of inflation, as measured by the Consumer Price Index, up to a limit of 2 percent a year.
- Additional tax rates to pay for local voter–approved debt.
- Property assessments.
- Mello–Roos taxes.
- Parcel taxes.