What factor does a taxable assessed value represent in determining the tax rate?

The taxable assessed value represents the value subject to taxation, which is crucial for determining the tax rate. This value is derived from the overall valuation of properties within a jurisdiction that are eligible for taxation. It excludes any non-taxable properties, such as certain government-owned or exempt properties, ensuring that only properties that contribute to the tax base are considered. The total tax revenue collected is then divided by this taxable assessed value to establish the tax rate.

In contrast, the total property value encompasses all properties, including those not subject to taxation, while net recoverable value is more associated with an appraisal context rather than directly impacting tax rates. The property's market value reflects what the property would sell for on the open market but does not necessarily correlate directly with the taxable amount recognized for taxation purposes. Therefore, the focus on the value subject to taxation is key to understanding how tax rates are formulated and applied.