Millage Definition


The tax rate on real estate, used to calculate property tax. One mill equals a tenth of a cent. To calculate property tax, divide the millage by 1,000 and multiply it by the propertys assessed taxable value. For example, if the millage rate is 20, and the taxable value of your house is $200,000, the property tax is 0.020 x $200,000 or $4,000.