What is the millage rate?

The millage rate is best defined as the rate at which property taxes are assessed, making it the correct choice. It is expressed in mills, where one mill is equivalent to one-tenth of a cent. Essentially, the millage rate determines how much a property owner will pay in property taxes based on the assessed value of their property. For example, if the millage rate is 20 mills, a property valued at $100,000 would incur a property tax of $2,000.

Understanding the millage rate is crucial for both fiscal planning for local governments and for property owners budgeting for their tax obligations. It directly influences the amount of revenue generated for local services, infrastructure, and educational needs through property taxes.

The other options do not accurately describe the millage rate. While the total tax base divided by revenue to be collected relates to budgeting, it does not pertain to the defined rate of property tax assessment. A flat fee for property registration would not reflect variable property values or tax rates. The amount of interest charged on a mortgage is entirely unrelated to property tax assessment and concerns borrowing costs rather than tax obligations.