The taxable value is the value used to calculate your property taxes. A property's taxable value can only increase annually by the rate of inflation or 5% whichever is less, unless there is an addition to the property (i.e., physical improvement or omitted property) or the property transferred in ownership during the previous tax year. Properties that transferred during the year prior to the current tax year will uncap to the assessed value in the current billing period, but can never exceed the assessed or state equalized value.