Property taxes are imposed by states, counties, cities, and/or other taxing entities on both real and personal property. Property tax is also known as ad valorem tax. Property owners pay the annual tax, but residential property tax is calculated by multiplying the assessed valuation of a home (11.5% of its fair market value) by the overall mill levy, and then dividing by 1,000. One mill is equivalent to $1 for every $1,000 of assessed property value. Residents can view the 2012 mill levies for cities in Johnson County, but the City of Olathe's mill levy is 24.924, or approximately 20% of an Olathe resident’s annual property tax bill. Other portions are determined and collected by the county, state, Johnson County Community College and Olathe school district. Property tax is the second largest source of revenue for the City’s general fund. 

Olathe residents who would like to learn more about taxation and valuation can visit the Johnson County Treasurer's website, where they can also look up their property tax bills.