Following a presentation by the Board of Assessors during the November 28 public meeting, the Select Board voted unanimously to approve and set the tax rates for fiscal year 2023, as listed below:

Residential Tax Rate: $12.84 per $1,000 (of assessed value)
Commercial/Industrial/Personal Property Tax Rate: $26.55 per $1,000 (of assessed value)

As done at the end of each calendar year, the Board of Assessors prepares a Classification Hearing Presentation through research and documentation, including assessed values for real estate and personal properties in Dedham, and makes a recommendation to the Select Board during a public meeting. A copy of the presentation is available on the Assessor’s Office page of the Town website (linked above).

As the Chief Executive Office for the Town, the Select Board has the option to vote to continue using the existing property tax classification system for the current fiscal year, FY2023, or to discontinue the classification. At the November 28, 2022 public meeting, the Select Board agreed with the recommendation by the Board of Assessors and voted to continue the classification and maintain the existing tax shift from residential property to CIP.

Using the assessment values recorded in the Assessor’s Office, which have been approved by the Department of Revenue for FY2023 and have a valuation date of January 1, 2022, the average single-family home value in Dedham this year is $668,273, an 11.8 percent increase from last year’s value of $597,742.

As a result, the average residential tax bill for a single-family home will increase by 7.53 percent (approximately $601 per year, on average), and the average commercial tax bill will increase by 0.46 percent.

In FY23, the average tax bill for a single-family home in Dedham is approximately $8,581, a savings of approximately $1,557 if the Select Board did not vote to continue the classification.

The new tax rates, as approved and certified by the Massachusetts Department of Revenue, are assigned to each property for FY2023, which runs from July 1, 2022 through June 30, 2023. Residents will see the new tax rate and approved property values on their Q3 tax bill (to be mailed out December 30).

The increase in residential tax bills is due to the combination of the increase in residential property values (11.4 percent) that far outpaced the CIP values (increase of 4 percent) over the last year, along with the Tax Levy increase of $4.6 million (4.78 percent) over last year that was voted on at the 2022 Spring Annual Town Meeting.

About the Dedham Split Tax Rate

The Town of Dedham has used a split tax rate since 1983 where the CIP properties are taxed at a higher rate than residential properties. Historical tax rates are shown on the Assessors Department page on the Town website, www.dedham-ma.gov/departments/assessors.