An Introduction to Iowa Property Tax Property taxes are not determined by a single individual who assesses your property and sends you a bill. The final tax rate is the result of budgets established to provide services, an assessor's assessment, a county auditor's calculations, and laws administered by the Iowa Department of Revenue and Finance. Because property assessment involves a series of events that takes 18 months from start to finish, this booklet will not be able to answer all your questions. It should, however, be able to explain the basic principles and events involved in calculating the property tax rate. Typical improvements include a building, house or mobile home, fences, and paving.
Home owners pay less than half of the property tax collected each year in Iowa.
Farmers pay 21 percent, and businesses and industry, a total of 23 percent. Utility companies, including railroads, pay 10 percent. State law requires that all real property be assessed every two years in odd-numbered years. Railroads and public utilities, which are assessed by the Iowa Department of Revenue and Finance, are assessed every year. Cities, counties, school districts, and townships are the most common.