2020-2021 gift tax: What it is, how it works and who has to pay it
A special tax return is triggered if you give a gift and exceed the gift tax limit.

Property tax is a money term you need to understand. Here’s what it means.
Property tax is any tax on real estate or certain other forms of property. The proceeds from property taxes represent one of the principal sources of income for local and state governments in the U.S.
Local governments impose property taxes on buildings, land, and certain categories of personal property bought or owned within their jurisdictions. Land, with or without buildings, is usually taxed on an annual basis. The value of a given property fluctuates over time, depending on the value of surrounding properties or improvements to the property. Property owners can appeal a property appraisal if they feel it’s too high.
Municipalities adjust property tax rates on an annual basis depending on their changing fiscal needs and to compensate for inflation. There are several methods for determining the value of real estate and the applicable tax rate:
Some states impose a property tax on cars, RVs, and boats. When you initially license or register your vehicle, you pay a portion of the fee based on the value of the vehicle. This represents the property tax on these items, and usually you only pay once as long as you own the vehicle.
Local governments handle commercial and industrial property taxes a little differently than residential taxes. Business owners need to fill out an income and expenses form. This allows the government office to calculate the required tax according to how much income the business took in compared to how much the business spent on expenses.
Looking for a mortgage? Find a low rate with Bankrate.
The hamlet of Rivendell charges a property tax rate of 4 percent for residential properties, and the assessed value of Elrond’s home is $400,000. Elrond owes Rivendell property taxes of $16,000 for the current tax year.