The State of TN calculates property taxes by utilizing four components.  Those components are:

1. APPRAISED VALUE
2. ASSESSMENT RATIO
3. ASSESSED VALUE
4. TAX RATE

The APPRAISED VALUE for each taxable property in a county is determined by the county property assessor.   If you are purchasing a home, you would calculate your taxes on the anticipated purchase price.

The ASSESSMENT RATIO is established by state law and is based on the different classes of property.  Those classes are:  Residential/Farm @ 25% of appraised value and commercial/industrial @ 40% of appraised value).

The ASSESSED VALUE is calculated by multiplying the appraised value by the assessment ratio.

The TAX RATE for each county is set by the county commission and will vary depending on services provided and the total value of the county's tax base.  

If you do not know the tax rate for the county in which you live, or will be moving to, you can go to the Tennessee Division of Property Assessment and fine your current rate.  Just click the link below to take you to the appropriate page.  Then select your county and write down your tax rate.  Keep in mind that there are city AND county taxes.  If you purchase or live in the city limits you will pay BOTH city and county taxes and will need to calculate your tax base from the TOTAL tax rate.  However, if you purchase a home in the county, you would only calculate your tax base on the county tax rate only and not the total.  

CLICK HERE FOR TN PROPERTY TAX RATES BY COUNTY AND CITY

To calculate the tax on your property, assume you have a house with an APPRAISED VALUE (or purchase price) of $200,000. The ASSESSED VALUE is $50,000 (25% of $200,000), and the TAX RATE has been set by your county commission at $3.38 per hundred of assessed value. To figure the tax simply multiply the assessed value ($50,000) by the tax rate (3.38 per hundred dollars assessed).

for a tax bill of $1690.00