Florida is a confusing state when it comes to tax bills.\u00a0 Most people think they pay their taxes in advance, but just the opposite is true.\u00a0 Today is May 26th, 2013, and even if I wanted to pay my taxes for 2013 today, I\u00a0couldn’t do it.\u00a0 That’s because the tax bill will not be out until November of this year.\u00a0 To add even more confusion, Its really not due until March of 2014.<\/p>\n
To throw a little more confusion into the mix, garbage expense\u00a0is often part of the tax bill.\u00a0 But the garbage portion is paid in advanced, not in arrears.\u00a0 To make it even worse, the garbage portion runs on a September\/October period, not a January\/December period.\u00a0 Needless to say, this makes for some interesting questions when it comes to a closing.<\/p>\n
Only in the months of November and December of each year can tax prorations be accurate.\u00a0 The other ten months of the year is a best guess scenario.\u00a0 The contract in Collier County does a good job covering the “best guess” scenario.\u00a0 The contract simply allows for either the buyer or seller to readjust the taxes accurately after the tax bill is issued.\u00a0 As a practical matter, this is rarely done.\u00a0 And the only time either a buyer or seller will benefit is when there is a huge up or down swing in the tax bill.\u00a0 When it comes to closings, there is never a shortage of information to learn.<\/p>\n\n\n\n\n","protected":false},"excerpt":{"rendered":"
Florida is a confusing state when it comes to tax bills.\u00a0 Most people think they pay their taxes in advance, but just the opposite is true.\u00a0 Today is May 26th, 2013, and even if I wanted to pay my taxes … Continue reading