Rate Breakdown

Property taxes in Story County are calculated by multiplying the assessed value (minus exemptions) by the total local millage rate.

Understanding property taxes in Story County, Iowa, is crucial for every homeowner. This guide provides essential information on how your property taxes are calculated, available exemptions, payment schedules, and the process for appealing your assessment. Our aim is to demystify the system, helping you better understand your property tax obligations and rights.

How Property Tax Works in Story County

In Story County, your property tax bill is primarily determined by two factors: your property's assessed value and the applicable levy rates. The Story County Assessor's Office is responsible for determining the "actual value" (or market value) of all taxable real estate within the county, typically conducting a revaluation every odd-numbered year. For residential and commercial properties, the assessed value is generally 100% of the market value. This assessed value is then used to calculate your "taxable value" after any applicable exemptions are applied.

Various taxing authorities, including the county, city, school district, and other special districts, establish their annual budgets and set "levy rates" (also known as millage rates). These rates are expressed as dollars per $1,000 of taxable value. Your total property tax is calculated by multiplying your property's taxable value by the combined levy rates of all applicable taxing authorities and then dividing by 1,000.

Available Exemptions

Iowa offers several property tax exemptions and credits that can reduce your taxable valuation, thereby lowering your overall property tax bill. It's important to apply for these through the Story County Assessor's Office if you meet the eligibility criteria:

• Homestead Exemption: This is the most common exemption, available for owner-occupied primary residences. It reduces the taxable value of your home by a set amount (which can change annually), resulting in a lower tax bill.
• Military Service Tax Exemption: Qualified veterans or their surviving spouses may be eligible for a reduction in their property's taxable value. Eligibility depends on active duty service during specific periods.
• Disabled Veteran Homestead Tax Credit: Veterans who are permanently and totally disabled as a result of their service may qualify for a significant homestead tax credit, potentially exempting the entire assessed value of their homestead from taxation.
• Iowa Property Tax Credit for the Elderly and Disabled: This state-funded program provides a credit against property taxes for qualifying low-income elderly and disabled homeowners.

Always contact the Assessor's Office for detailed eligibility requirements and application deadlines.

Payment Schedule & Deadlines

Property tax statements in Story County are typically mailed by the Story County Treasurer annually in August. You have the option to pay your property taxes in two installments:

• First Half: Due by September 1st, becoming delinquent if not paid by October 1st.
• Second Half: Due by March 1st, becoming delinquent if not paid by April 1st of the following year.

It's crucial to adhere to these deadlines. Iowa law mandates that interest accrues on delinquent taxes at a rate of 1.5% per month, rounded up to the next full month. Failure to pay property taxes can lead to serious consequences, including the eventual sale of a tax certificate on your property, which could ultimately lead to the loss of your property.

Appealing Your Assessment

If you believe your property's assessed value is unfair or inaccurate, you have the right to appeal it. The appeal process typically involves these steps:

• Informal Review: It's recommended to first contact the Story County Assessor's Office directly to discuss your concerns. They can explain their valuation methods and potentially make adjustments if an error is identified.
• Formal Appeal to the Board of Review: If an informal discussion doesn't resolve the issue, you can file a formal protest with the Story County Board of Review. This board consists of independent citizens appointed to hear property assessment appeals.
• Deadline: The filing period for protests with the Board of Review is strictly from April 2nd to April 30th annually. You must submit your protest in writing within this window.
• Evidence: When appealing, provide strong evidence to support your claim, such as recent appraisals, sales data of comparable properties in your neighborhood, or documentation of property defects.
• Further Appeals: If you are dissatisfied with the Board of Review's decision, you may appeal to the Iowa Property Assessment Appeal Board (IPAAB) or the District Court.