What You Need to Know About Pennsylvania Property Taxes

PA Property Taxes - What to Know. Contact us for help in filing a Real Estate Tax Appeal in Berks, Lehigh, Northampton, Bucks, Montgomery, Philadelphia, Chester, Delaware, Lancaster, Lebanon, Dauphin, Schuylkill, York, Carbon, Luzerne, Monroe, Columbia and Northumberland counties.

Pennsylvania property taxes can be pretty complicated, and not understanding how these taxes are calculated or if there are ways to lower them can cost PA homeowners money. Some basic knowledge and an experienced real estate attorney can help.

While Pennsylvania has a lot to offer – beautiful rolling hills, a rich history, proximity to large cities, low cost of living, etc. - there's no denying that property taxes are a significant expense to Pennsylvania homeowners. In fact, PA property taxes are higher than the national average and vary significantly from county to county and even within each school district and municipality. PA's average effective property tax rate can range from .87% to 2.45%, with a 1.36% average rate.

Anyone who owns property in the commonwealth is required to pay property taxes, which are used to fund public services, such as schools, roads, bridges, parks, police, etc. The commonwealth does not charge a property tax; however, each of the 67 counties, along with municipality and/or local taxing authorities (such as school districts), has its own property tax assessment system.

How are Property Taxes Determined in Pennsylvania?

All Pennsylvania counties base their property taxes on the assessed value of your home, which is determined by the county or municipality assessor. However, some counties base it on 100% of the current market value of your home, while others use a fraction of the home's current market value to determine your rate. The reassessment of your property value may occur but the timing of that reassessment varies from county to county.

The PA State Tax Equalization Board publishes the Common Level Ratios (CLR), which is the average ratio between the assessed value and the market value within a county. The CLR is sometimes used to appeal an assessment; however, the burden of proof is on the homeowner.

Tax rates are stated as "mills," with one mill equal to $1 of property tax for every $1,000 in assessed value. However, because each county has its own system to determine assessed values, mill rates are not comparable across all counties. Therefore, if you want to compare apples to apples, it's better to look at the "effective tax rate," which reflects the percentage of a home's value in property tax.

PA Property Tax Exemptions

Some PA homeowners may qualify for exemptions that may lower their property taxes.

Homestead/Farmstead Exemption – If you own your primary residence, you may be eligible for this exemption, which reduces the taxable portion of your property's assessed value.
Pennsylvania's Property Tax/Rent Rebate Program – "The rebate program benefits eligible Pennsylvanians age 65 and older; widows and widowers age 50 and older; and people with disabilities age 18 and older. The income limit is $35,000 a year for homeowners and $15,000 annually for renters, and half of Social Security income is excluded," the PA Department of Revenue states. "The maximum standard rebate is $650, but supplemental rebates for qualifying homeowners can boost rebates to $975."

Real Estate Tax Appeal

Another way to potentially lower your property taxes is to have your home reassessed. Do you think your property taxes are too high? A tax assessment may reveal that your home is assessed too high.

The property lawyers at Bingaman Hess can put you in touch with a real estate appraiser, submit a real estate assessment appeal, and resolve or mediate your tax appeal.

Give us a call today at 610.374.8377 or find us online .

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Business Succession Planning

By Mahlon Boyer • May 30, 2026

Business succession planning is an important process that helps business owners prepare for the upcoming transfer of ownership and leadership. Whether the transition involves passing the company to family members, selling to business partners or transferring ownership to outside buyers, having a clear succession plan helps reduce uncertainty and protect the long-term security of the business. A careful plan can also minimize disputes, preserve business value and ensure continuity in periods of change. Planning for Business Transfer The first step in business succession planning is identifying how the business will be transferred and who will assume control. Business owners should evaluate their long-term goals, retirement plans, and the financial needs of both the company and their family members. Some owners choose to pass the business on to children or relatives who are already involved in operations. Others may transfer ownership to key employees, business partners or third party buyers. Each option has different legal, operational and financial consequences. A successful transition often takes years of preparation. Potential successors may need leadership training, operational experience and gradual increases in responsibility to ensure they are ready to effectively manage the business. Good communication with family members, partners and stakeholders is also important to avoid misinterpretations and conflict. Business owners should work with legal and financial professionals to create formal succession documents, update corporate records, and establish a realistic timeline for the transfer process. Use of Buy-Sell Agreements Buy-sell agreements are an essential part of many succession plans. These legally binding agreements specify what happens to the interest of a business owner if certain events occur, such as retirement, disability, death or voluntary departure from the company. A buy-sell agreement typically defines who may buy the shares of the departing owner, how the business interest will be valued and the terms of payment. This structure helps maintain stability and prevents ownership disputes that could disrupt operations. For businesses with multiple owners, buy-sell agreements provide understanding and protections for all parties involved. They can prevent unwanted external ownership and ensure that remaining owners retain control of the company. Funding mechanisms are also important. Many businesses use life insurance policies to fund buyouts in the event of an owner's death. This allows surviving owners or family members to complete the transfer without putting financial hardship on the business. Tax Considerations Tax planning is an important part of business succession planning. If the transfer of ownership is not well planned, the business owner and successor will face a substantial tax liability. Depending on how the transfer takes place, the owners may face capital gains, estate, or gift taxes. With good planning, these tax burdens can be reduced with trusts, step-by-step ownership transfers, family partnerships, or changing the type of business entity. Another important factor is valuation. A proper valuation of a business is important for determining tax liability and ensuring that everyone involved in the transfer is treated fairly. Business owners should regularly review their succession plans with accountants, tax advisors, and attorneys, as tax laws are often changing. Regular updates keep the plan in line with changing legislation and the business’s needs. Let Us Help You Navigate the Essentials of Business Succession Planning Don’t wait! Talk to one of the experienced estate planning attorneys at Bingaman Hess today at 610.374.8377 or contact us online. This article is for informational purposes only and does not constitute legal advice. No one may rely on this information without consulting an attorney. Anyone who attempts to use this information without attorney consultation does so at their own risk. Bingaman Hess is not and shall never be responsible for anyone who uses this information. It is not legal advice.