New York City Assessor Civil Service Practice Exam 2025 – The All-in-One Guide to Master Your Exam!

The calculation of property taxes involves determining the value of property subject to taxation, which is referred to as "taxable value." The correct formula articulates the relationship between assessed value and exemptions. When determining the taxable value, exemptions are subtracted from the assessed value. This reflects the reduced amount of the property upon which taxes will be calculated.

Exemptions can include various forms of relief that reduce the assessed value of a property for tax purposes, such as those for senior citizens, veterans, or certain types of housing. By using the formula, you arrive at the taxable value that is used in subsequent calculations to determine the final tax bill.

The other options present parts of the property tax calculation process but do not accurately define the necessary relationship. They might include components like market value, assessed value, and tax rates; however, they do not specifically illustrate the adjustment made for exemptions which is crucial in determining what portion of the assessed value is ultimately taxable.