How Your Property Taxes Are Calculated

Learn more about how the Property Tax system works in Oregon

The information on this page will help you understand how your taxes are calculated and answer frequently asked questions about property taxes in Multnomah County. Visit the Property Assessment page to get information about how we determine the value of your home.

You may also contact us with your questions via phone (503) 988-2225, or email at propertytax@multco.us.

How are my property taxes calculated?

Two calculations are performed each year to determine your property tax amount. Your tax bill is always the lower of these two amounts:

  1. Your Assessed Value is multiplied by the tax rate for your code area, and any Special Assessments are added.
  2. Your Real Market Value is multiplied by the Measure 5 limits of $5 per $1000 for Education taxes (or .005 x RMV) and $10 per $1000 for General Government taxes (or .010 x RMV). This amount is then added to the amount for items that are excluded from the Measure 5 limits.

What is my Tax Rate?

Tax rates are comprised of individual rates for the different taxing jurisdictions in your Levy Code Area. The Levy Code Area number can be found at the top middle of your tax bill between the legal description and account number.

The tax levy area is located next to the words Code Area at the top of the page

Once you have located the Levy Code Area number, refer to the Rate Sheet for your tax rate.

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Why are my taxes higher than my neighbor’s?

There are many reasons why the taxes on one property may be different than the taxes on another.

Generally your taxes would be higher than your neighbors’ because your property value is higher than your neighbors’ (Assessed Value, Real Market Value, or both). This may be caused by

  • Improvements to the property made in prior years

  • Differences between your property and your neighbors’ such as square footage, lot size, condition, construction quality, or other differences.

  • Your neighbor may have an exemption on their property

In some cases, properties in close proximity with similar values may be in different Levy Code areas.

For information regarding the taxes for a specific property, please contact our office by phone (503) 988-2225 or by email at propertytax@multco.us.

Why did my taxes increase so much?

Tax amounts are not limited to a 3% increase from one year to the next. The Maximum Assessed Value is the only place where a 3% limit applies.

Tax amounts may increase more than 3% due to

  • changes in the tax rate for your Levy Code Area

  • loss of compression savings,

  • an exception event

  • combination of any or all of these reasons.

See a graph of the last five years of your property value and taxes.

What is compression?

Compression occurs when your tax amount calculation based on the Ballot Measure 5 limits of $5 per $1000 of Real Market Value (RMV) for Education taxes and $10 per $1000 for General Government taxes results in a lower bill than the calculation based on the Assessed Value and tax rate.

Certain items are excluded from the $5 and $10 limits such as bond levies and some special assessments. These amounts can be found on the right-hand side of your bill in the third section of itemized amounts. These items are calculated based on the Assessed Value and tax rate for the individual items.

See a graph of the last five years of your property value and taxes.

For information regarding the tax amount calculation for a specific property, please contact our customer service department by phone (503) 988-2225 or by email at propertytax@multco.us. Have your account number or property ID available.

Property Tax Documents

Last reviewed October 16, 2024