How Newton Sets its Tax Rate
An explanation for those looking for more by Proposition 2 1/2, property values and the related taxes.
The tax money collected in the city of Newton to fund municipal services and salaries is paid based on property value, according to the city assessor's office. When calculating taxes for a new year, the city looks at its tax rate as one sum, and starts by considering its prior year's tax rate. In 2010, Newton raised $233,388,825 in property taxes. Prop 2 1/2 Newton, like all cities and towns in Massachusetts, is bound by Proposition 2 ½, a state law passed in 1980 that limits the total amount of taxes municipalities can demand. Prop 2 ½ has two main provisions: Therefore, in Newton, the city can only raise its tax levy on existing property by $5,834,721 in 2011. The law's limits apply even when the city's overall property value …
