Property Tax

Property tax is the yearly tax your city or town charges to fund schools, roads, and services. It is calculated by multiplying your home's assessed value by the local mill rate, then dividing by 1,000. Rates vary widely from one municipality to the next, so two similar homes in different towns can carry very different tax bills. In Rhode Island and Massachusetts, some towns also tax residential and commercial property at different rates, and a few offer a homestead exemption that lowers the bill on your primary residence. Because rates and exemptions change each year, always confirm the current figure with the local tax assessor before you rely on it. See RI property taxes by town for a side-by-side comparison.