State Income Taxes and County Assessed Taxes for 2003:
State Income Taxes
Arkansas individual income tax is graduated, up to 7 percent at the $50,000 income level. Arkansas corporate income tax is also graduated. Example: A business with a taxable income of between $25,000 and $100,000 would pay $940 plus 6%. Visit the Arkansas Department of Finance and Administration website www.state.ar.us/dfa for more information about Arkansas taxes.
Real Estate Taxes
Real property is assessed at 20% of its fair market value, and total real estate taxes are based on this assessment. To calculate the real estate taxes in a particular city, you must add the total county millage rates to the city, school district, and fire protection district millage rates.
For instance, if the property is valued at $50,000, it is assessed at $10,000. Total millages for Harrison would be 45.5, and total taxes on the property would be $455.00.
Personal Property Taxes
Personal property, such as automobiles, RV's, boats, motorcycles, ATV's, utility trailers, tractors, as well as machinery, equipment, and business inventories, are taxed based according to the usual selling price for the item. These taxes are assessed at 20%. The millage rates for these taxes are usually the same as for real estate taxes, but not always. For instance, a $10,000 car would be assessed at $2,000. Total millages for Harrison would be 45.5, and the taxes would be $91.00.
