Real Estate Tax | Services (2024)

Due date

March

31st

of each year.

Tax rate

1.3998%

of the assessed property value.

You can complete online payments, print payment vouchers, and look up your balance for this tax on the Philadelphia Tax Center. For help getting started, see our tax center guide.

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Who pays the tax

Anyone who owns a taxable property in Philadelphia is responsible for paying Real Estate Tax. Typically, the owner of a property must pay the real estate taxes. However, anyone who has an interest in a property, such as someone living in the property, should make sure the real estate taxes are being paid.

Important dates

Payments are due and payable on March 31. The Department of Revenue usually mails Real Estate Tax bills to property owners in December.

Tax rates, penalties, & fees

How much is it?

The City of Philadelphia and the School District of Philadelphia both impose a tax on all real estate in the City. For the 2022 tax year, the rates are:

0.6317% (City)+ 0.7681% (School District)= 1.3998% (total)

The amount of Real Estate Tax you owe is determined by the value of your property, as assessed by the Office of Property Assessment (OPA).If you disagree with your property assessment, you can file an appeal with the Board of Revision of Taxes (BRT). Appeals must be filed by the first Monday in October of the year prior to the tax year you are appealing. (For example, to dispute an increase to your property assessment that is set to take effect in the 2020 tax year, you would need to file an appeal by the first Monday in October 2019.)

What happens if you don't pay on time?

If you fail to pay your Real Estate Taxes by March 31, increased charges – which include interest – will be added to the principal amount of the tax. Collectively called “additions,” these charges accrue at the rate of 1.5% per month, beginning April 1 until January 1 of the following year.

If the taxes remain unpaid on January 1 of the following year:

A 15% maximum addition is added to the principal balance.
The taxes are registered delinquent.
Liens are filed in the amount of the total delinquency, including additions.
The City can begin the process of selling your home at a sheriff sale.

Discounts & exemptions

Are you eligible for a discount?

The due date to pay your Real Estate Tax is March 31.

The City of Philadelphia also offers a number of income-based assistance programs for owner-occupied households and senior citizens. These programs include:

Owner-occupied Real Estate Tax payment agreement (OOPA). Income-based program for homeowners with past-due Real Estate Taxes who might qualify for a monthly payment agreement.
Low-income senior citizen Real Estate Tax freeze. Income-based senior citizen program that “freezes” real estate taxes so that they don’t increase in the future.
Real Estate Tax installment plan. Qualified homeowners may pay current year property taxes in up to twelve monthly installments through December 31st.
Longtime Owner Occupants Program (LOOP). Income-based program for homeowners who experience a substantial increase in their property assessment.
Real Estate Tax deferral program. Income-based program for homeowners with Real Estate Tax increases of 15% or higher.
Tax credits for Active Duty Reserve and National Guard Members who serve outside of Pennsylvania.
City Council tax credits for homeowners with higher property tax bills.

Pennsylvania also offers an income-based program for senior citizens Property Tax/Rent Rebate Program. Visit the Commonwealth of Pennsylvania website for full eligibility and application details. You can also call the Commonwealth’s Philadelphia District Office at (215) 560-2056. You do not need a receipt for real estate taxes paid to the City to apply for the Commonwealth’s Property Tax Rebate.

Can you be excused from paying the tax?

The City offers a number of abatement and exemption programs for Real Estate Taxes. These programs include:

Homestead Exemption for all Philadelphia homeowners who complete an application. This program reduces the taxable portion of your property assessment by $80,000 in effect for 2023 Real Estate Tax bills and future years. The exemption for tax year 2020 through tax year 2022 was $45,000.
Property tax abatements for both residential and commercial projects. Abatements encourage new construction or the rehabilitation of properties by making them more affordable.
Non-profit tax exemptions for qualifying non-profit organizations.
Catastrophic loss adjustment for people whose property has been damaged by a fire or other natural disaster. To qualify as a catastrophic, the damage must result in a decrease of 50% or more in property value.

The Commonwealth of Pennsylvania also offers the Disabled Veterans Real Estate Tax Exemption, which permits a veteran’s home to be exempt from real estate tax if the veteran has a service-connected disability.

How to pay

Pay online

Pay online through thePhiladelphia Tax Centerby entering your physical address or Office of Property Assessment (OPA) number. You can check your tax balance and make payments through the“Search for a property”link on the Tax Center’s homepage, under the “Property” panel.

Pay by mail

Pay by mail with a check or money order. Be sure to attach a payment voucher to your bill and write the tax type and account number on your check. Payment vouchers can be printed from the Philadelphia Tax Center.

Mail payments with coupon to:

Philadelphia Dept. of Revenue
P.O. Box 8409
Philadelphia, PA 19101-8409

Pay by phone

Pay by phone by calling (877) 309-3710. If you experience any problems with the telephone system, call customer service at (800) 487-4567.

Pay in person

Pay in person with a check or money order at one of our three authorized payment centers. Visit the Department of Revenue website to check payment center locations and hours.

Tax code

Forms & instructions

Applications for Senior citizen Real Estate Tax freeze

Longtime Owner Occupants Program (LOOP) forms

Owner-occupied Real Estate Tax payment agreement (OOPA) forms

FAQs

What are the arguments for the estate tax? ›

The tax helps support the nonprofit sector by providing incentives to give to charity at precisely the time when people are distributing large amounts of wealth. The tax also helps provide equal opportunity by reducing the extent of huge inheritances.

Learn More ›

Can TurboTax do estate taxes? ›

Which product or service you use will depend on whether you need to file an income tax return for an estate (Form 1041), or an estate tax return (Form 706). TurboTax Desktop for Business handles Form 1041 and will also generate the K-1 schedules and figure out how much net income is allocated to the estate's heirs.

Get More Info Here ›

What questions should I ask a property accountant? ›

Best Types of Questions to Ask property accountants

What accounting software are you proficient in? What is your experience with lease accounting? How have you ensured accuracy in your financial records in the past? Can you explain a complex financial analysis project you worked on in the past?

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How is real estate a tax advantage? ›

Property owners can borrow against the home equity in their current property to make other investments. Depending on the property sale value, home-owners can be excluded from capital gains taxes on the gains of their home sale. Individuals are also able to deduct the interest paid on their mortgages.

Read On ›

What are the criticisms of estate tax? ›

The estate tax is a “virtue tax” in the sense that it penalizes work, saving and thrift in favor of large- scale consumption. Empirical and theoretical research indicates that the estate tax is ineffective at reducing inequality and may actually increase inequality of consumption.

How to write off taxes with real estate? ›

The property tax deduction allows you as a homeowner to write off state and local taxes you paid on your property from your federal income taxes. This includes your annual property taxes on the assessed value of your house as well as the taxes you may have paid at closing during the sale or purchase of the property.

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What is a lazy 1031? ›

A Lazy 1031 exchange is a tax strategy used by real estate investors to defer taxes on the sale of a rental property. This strategy involves selling one rental property at a gain and then, in the same year, placing a second property in service.

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Should the estate tax be abolished? ›

You don't need to repeal the estate tax to save the family business or farm. The impact of the tax on wealth accumulation is unproven. But the impact of large inheritances on the behavior of recipients is quite clear: Inheriting a large estate causes people to work less and spend more.

Know More ›

Why do we repeal estate tax? ›

This unfair tax hurts our economy and puts unnecessary pressure on families and small businesses. After Americans have paid taxes on income all their lives, this an additional tax on those same assets imposed at death. And often times, small family–owned businesses, farms, or ranches are hit the hardest.

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Who bears the burden of an estate tax? ›

The executor or the trustee of a qualified grantor trust is responsible for filing the applicable federal and state estate tax returns and ensuring that all taxes are paid from estate.

What is the burden of the federal estate tax? ›

Also known as the "death tax," the federal estate tax is a tax that's levied on a dead person's inherited assets. The estate tax ranges from rates of 18% to 40% and generally only applies to assets over $13.61 million in 2024. Thirteen states levy an estate tax.

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