A village levied property taxes of $910,000 for calendar year 2019 on january 1, 2019 and immediately set up an allowance of $10,000 for uncollectible taxes. The village collected $870,000 in cash during 2019. It expected to collect $22,000 of the unpaid taxes during the first 60 days of 2020 and an additional $8,000 during the rest of 2020. How much should the village recognize as property tax revenues in its 2019 general fund financial statements?

Question

Nicholas Becker

Business

27 September, 06:32

A village levied property taxes of $910,000 for calendar year 2019 on january 1, 2019 and immediately set up an allowance of $10,000 for uncollectible taxes. The village collected $870,000 in cash during 2019. It expected to collect $22,000 of the unpaid taxes during the first 60 days of 2020 and an additional $8,000 during the rest of 2020. How much should the village recognize as property tax revenues in its 2019 general fund financial statements?

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Answers (1)

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Maxim Burton · Answer 1

The answer is $870,000.

Explanation:

Land assessment and property charge are similar things. The IRS utilizes the expression "land assess", however the vast majority call it "property impose". Property (land) impose is charged on steady property. Land structures that are forever appended to the ground, for example, a house, building, or land. In the event that your loan specialist set up an escrow represent your home loan, every month you'll additionally make an escrow installment to cover your property assessments and mortgage holders protection. Your loan specialist will store this sum into your escrow account and will pay for both of these things for your benefit when they are expected.