Property taxes are fees that local governments charge property owners based on the value of their property. These taxes help fund essential services such as public schools, police and fire departments, and infrastructure maintenance. The amount of tax owed is typically calculated by multiplying the assessed value of the property by the local tax rate. Property taxes can vary significantly depending on the location and the type of property, such as residential or commercial. Homeowners usually receive a tax bill annually, and failure to pay these taxes can result in penalties or even foreclosure. Understanding property taxes is important for budgeting and financial planning.