Property taxes are primarily levied by local governments to raise revenue for various public services and infrastructure projects within their jurisdictions.

Income tax is a tax levied on an individual's or business's income, while property taxes are specifically levied on real estate assets.

The assessed value of a property is typically based on its current market value, as determined by an appraisal or other valuation method.

Property tax rates in the United States generally fall within the range of 1% to 2% of the assessed value of the property.

Owners of real estate can claim depreciation deductions on their federal income tax returns, which allow them to recover the cost of the property over its useful life.

Residential rental property is depreciated over a period of 27.5 years for federal income tax purposes.

Commercial real estate is depreciated over a period of 39 years for federal income tax purposes.

Depreciation deductions reduce the taxable income of a real estate investor by allowing them to deduct a portion of the cost of the property each year.

The capital gains tax rate for the sale of real estate held for more than one year is 0% for most taxpayers.

The capital gains tax rate for the sale of real estate held for less than one year is 25% for most taxpayers.

A 1031 exchange allows real estate investors to defer capital gains taxes on the sale of a property by reinvesting the proceeds in a similar property.

Real estate investors have 180 days from the date of the sale of the relinquished property to identify and acquire a replacement property in order to complete a 1031 exchange.

In a 1031 exchange, the basis of the replacement property is generally the same as the basis of the relinquished property.

Property tax reassessments are conducted periodically to ensure that property taxes are fair and equitable by updating the assessed values of properties to reflect current market conditions.

The frequency of property tax reassessments varies by jurisdiction, with some jurisdictions conducting reassessments annually, while others may conduct them less frequently.