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Tax Rates Applicable to Governments Served by the Tax Custodial Fund Fiscal Year 2 0 2 3 ( All amounts rounded to next higher dollar

Tax Rates Applicable to Governments
Served by the Tax Custodial Fund
Fiscal Year
2
0
2
3
(
All amounts rounded to next higher dollar
)
Tax Rate
(
Per $
1
0
0
Assessed Tax
Governments
/
Funds of Assessed Valuation
)
Valuation Levy
City of Smithville:
General Fund $
0
.
5
5
$
3
4
1
,
5
8
1
,
8
1
8
$
1
,
8
7
8
,
7
0
0
Total city rate and levy $
0
.
5
5
$
1
,
8
7
8
,
7
0
0
Smithville CSD:
General Fund $
2
.
3
8
$
4
0
8
,
0
2
4
,
9
7
0
$
9
,
7
1
0
,
9
9
4
Debt service fund
0
.
1
2
4
8
9
,
6
3
0
Total CSD rate and levy $
2
.
5
2
$
1
0
,
2
0
0
,
6
2
4
Smith County:
General Fund $
0
.
6
4
$
4
0
8
,
0
2
4
,
9
7
0
$
2
,
6
1
1
,
3
6
0
Total county rate and levy $
0
.
6
4
$
2
,
6
1
1
,
3
6
0
Grand Total tax rates and levies
*
$
3
.
6
9
$
1
4
,
6
9
0
,
6
8
4
*
Note: Each property owner will receive a tax bill equal to the tax rates of all taxing
authorities that have jurisdiction over his
/
her property times the assessed valuation of
his
/
her property. Shown above are the aggregate taxes levied by each government,
which are also the total amounts billed by the Tax Custodial Fund to all taxpayers in
each jurisdiction.
Record the following transactions that occurred during
2
0
2
3
in the general journal of
the Tax Custodial Fund.
1
.
[
Para
.
8
-
b
-
1
]
On January
2
,
2
0
2
3
,
the city
s tax administrator mailed annual tax
bills to all property owners in the total amount of $
1
4
,
6
9
0
,
6
8
4
(
see preceding
table
)
.
The tax administrator maintains a detailed tax ledger to track amounts
billed to and collected from each taxpayer and total amounts applicable to each
fund and government.
Required: Record in the general journal the total taxes receivable, the amount
due to the city and the total amount added to the net position for property tax
collections for the other governments as shown in the schedule above. See the
transactions illustrated in Chapter
8
of Reck, Lowensohn, and Neely.
2
.
[
Para
.
8
-
b
-
2
]
Delinquent taxes
(
including any interest and penalties assigned to
the delinquent taxes
)
were collected during the year for the taxing authorities
shown below:
Governments
/
Funds: Delinquent Taxes
City of Smithville General Fund $
4
2
1
,
4
7
1
Smithville CSD
7
8
0
,
4
6
0
Smith County
6
7
6
,
9
9
0
Total collected $
1
,
8
7
8
,
9
2
1
Required: Record the cash collection of delinquent taxes. The Tax Custodial
Fund records the total amount of delinquent taxes in the Taxes Receivable for
Other Funds and Governments
Delinquent account.
3
.
[
Para
.
8
-
b
-
3
]
The
1
percent collection fee was assessed on the Smithville CSD
and the Smith County collections made in transaction
8
-
b
-
2
.
Required: Calculate the
1
percent collection fee on the amounts collected for the
Smithville CSD and Smith County; the total collection fee for these two
governments should be recorded as Deductions
Administrative Fee and as a
Due to Other Funds for the amount due to the City of Smithville. Round all
amounts to the nearest whole dollar
(
.
5
0
is rounded up
)
.
Make these entries only
in the Tax Custodial Fund general journal. All cash receipts and collection fees
were recorded in earlier chapters in the journals for the General Fund and
governmental activities at the government
-
wide level. The collection fees,
though not separately identified, were included in Revenues
Charges for
Services in the General Fund and in Program Revenues
General Government
Charges for Services in governmental activities.
4
.
[
Para
.
8
-
b
-
4
]
All cash collected in paragraph
8
-
b
-
2
was transferred to the city
and the other two governments in the amounts calculated, adjusted for the
1
percent collection fee deducted from cash distributions to the Smithville CSD
and the Smith County. The collection fee is added to the distribution to the City
of Smithville
(
see Para.
8
-
b
-
3
)
.
Required: Record the payment of cash to the city, Smithville CSD
,
and Smith
County.
5
.
[
Para
.
8
-
b
-
5
]
Current taxes were collected during the year for the funds and
governments shown below:
Current Taxes
Funds
/
Governments: Collected
City of Smithville General Fund $
1
,
5
9
6
,
8
9
5
Smithville CSD
8
,
6
7
0
,
5
3
0
Smith County
2
,
2
1
9
,
6
5
6
Total collected $
1
2
,
4
8
7
,
0
8
1
Required: Record the collection of current taxes, record this entry only in the
Tax Custodial

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