Economic growth is one of the most important indicators of Red Oak's healthy economy. One of the biggest impacts of long-term growth is that it has a positive impact on income and the level of employment, which increases the standard of living.
Below is a current list of the taxes collected by the City of Red Oak:
Taxes & Cost of Doing Business (City, County, & State)
Property Tax Rates Ad Valorem Tax Rates (Per $100 Assessed Value) City of Red Oak $0.697464 Red Oak ISD $1.325600 Ellis County $0.339338 Total Property Tax $2.362402
Property Tax Exemptions Residence homestead exemptions are listed below. Homestead – 10% Over 65 - $20,000 Over 65 – Frozen Disabled Person – 3,000
Sales Tax Rates State Sales Tax 6.25% City Sales Tax 1.00% Industrial Development (A) 0.50% (1/2 Cent) Economic Development (B) 0.50% (1/2 Cent) Total Sales Tax 8.25%
Income Tax The State of Texas does not impose a personal or corporate income tax.
Corporate Franchise Tax A corporate franchise tax is levied in Texas in place of a corporate income tax. The tax is levied on businesses organized in the corporate form in Texas. Corporations are taxed at the rate of the greater of $2.50 per $1,000 of net taxable capital or 4.5% of net taxable earned surplus.
Hotel / Motel Occupancy Tax The State of Texas imposes a hotel/motel occupancy tax of 6% with individual cities having the option to increase the tax rate up to 7%. The total Hotel / Motel Occupancy Tax Rate in the City of Red Oak is 13%.
The City of Red Oak adopted a tax rate that will raise more taxes for maintenance and operations than last year's tax rate. The tax rate will effectively be raised by 5.38 percent and will raise taxes for maintenance and operations on a $100,000 home by approximately $-40.57.