In California seller usually factors in many of the fees in the listing price, such as the seller and buyer agent fees. To best of my understanding these fees can amount to around 3% for each agent.
So when government asses property tax, then are these fees subtracted from the taxable basis for property tax calculations? Or does the new home owner have to pay property tax also on the fees?
Update #1: As more concrete example, my understanding is that a knowledgeable buyer who is not represented by buyer agent is more likely to negotiate a 2-3% discount compared to a buyer who is represented by buyer agent because the former will not incur buyer agent fees for the seller. So would the former have to pay less property tax or would the property tax be the same for both buyers because fees are subtracted?