Property tax is a tax assessed on real estate by local government authorities, typically at the municipal or county level. The tax is based on the assessed value of the property.

Governments and local authorities might implement charges for water usage to encourage responsible consumption and fund water infrastructure projects. These charges could be in the form of water rates.

Local tax authorities determine the assessed value, which may involve periodic evaluations of the property's market value. The tax rate is then applied to this assessed value to calculate the annual property tax.