The following hypothetical example illustrates the calculation of the 1% surcharge for a residential property (showing the $100,000 exemption):Assessed value: $300,000
Less residential exemption $100,000
CPA taxable value: $200,000
x Tax Rate: 10.00
Net Tax: $2,000.00
x 1% .01
Annual CPA Surcharge $ 20.00
The surcharge for commercial & industrial properties is calculated in the same manner but those properties do not receive the benefit of the $100,000 value reduction which is applied to all Class 1 residential properties.