It’s one of the most common questions we hear from buyers after closing:
“Why did I just get a property tax bill? Didn’t the seller already pay the taxes at closing?”
The short answer: The seller didn’t pay the tax bill — they credited you for their share of the year’s taxes so that you could pay the full bill when it comes due.
Let’s break it down.
How Property Taxes Work in Georgia
In most Georgia counties, property taxes are billed once a year, usually in the fall — and the bill covers the entire calendar year.
But real estate closings happen all year long. So what happens if you buy a house before the tax bill is issued? While the taxes haven’t been billed yet, both the buyer and the seller owe part of the year’s taxes.
That’s where proration comes in.
What Does It Mean to “Prorate” Taxes?
At closing, we estimate how much the seller owes for their share of the calendar year. For example, if the property is sold on April 30, then the seller owes taxes for the first 4 months of the year – January 1 through April 30, and the buyer will owe the remaining taxes. We estimate the taxes based on the previous year’s bill, and divide it proportionally between the buyers and sellers. The seller’s portion of taxes is credited to you (the buyer) on the closing statement (in effect reducing the amount of money a buyer brings to closing). The seller doesn’t pay the tax bill directly — they’re just reimbursing you for their portion in advance.
So when the bill comes due later in the year, you pay the full bill — using the credit you received at closing to cover the seller’s share.
Understanding the Credit on Your Closing Statement
If you look back at your closing statement, you’ll see a tax line showing a credit from the seller. That credit reflects the seller’s portion of the year’s property taxes — based on the date of closing — and was calculated using the previous year’s tax amount as an estimate.
Since the official tax bill is issued later in the year (usually in the fall), the bill will come directly to you as the new owner. You’ll use the credit from closing to pay that full amount when it’s due. To find your property tax bill, visit the Tax Commissioner’s website for your county. Most counties allow you to search by property address or parcel ID, and many offer online payment options.
After closing, if property taxes change dramatically from one year to the next, one of our experienced real estate closings attorneys can help calculate a revised proration amount. But it’s up to the buyer and seller to work together to make any revised prorated payments.
Still Have Questions?
We know tax proration can be confusing — especially months after closing when the bill finally shows up. If you have questions about the real estate closing process, we’re happy to walk you through your settlement statement and help you understand what you’re seeing.
At Sherman & Phalen, we don’t just close deals — we help clients feel confident long after closing day.
Where to Find Your Property Tax Bill in Metro Atlanta
You can look up your tax bill or parcel information using the links below. Most counties post bills online and allow payments through the County Tax Commissioner’s website:
- Cobb County
https://www.cobbtax.org - Fulton County
https://www.fultoncountytaxes.org - DeKalb County
https://dekalbtax.org - Gwinnett County
https://www.gwinnetttaxcommissioner.com - Cherokee County
https://www.cherokeega.com/tax-commissioner - Clayton County
https://www.claytoncountyga.gov/government/tax-commissioner - Henry County
https://www.henrycountytax.com - Forsyth County
https://www.forsythco.com/Departments-Offices/Tax-Commissioner - Douglas County
https://www.celebratedouglascounty.com/243/Tax-Commissioner - Paulding County
https://www.paulding.gov/93/Tax-Commissioner - Rockdale County
https://rockdalecountyga.gov/government/departments/tax-commissioners-office/
