Rate Breakdown

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

How Property Tax Works in Custer County

In Custer County, property taxes are determined by the assessed value of your real estate multiplied by the local mill levy. Each year, the County Director of Equalization assesses property at its full and true market value as of November 1st of the preceding year. This assessment ensures that the tax burden is distributed fairly based on current market conditions.

Once the total assessed value of all property in a taxing district is established, local government entities—including the county, school districts, and municipalities—determine their budget requirements. These requirements are divided by the total taxable value of the district to establish the mill levy. One mill represents $1 of tax for every $1,000 of assessed property value. Your final tax bill is the product of your property’s assessed value and the combined mill rate of all taxing jurisdictions in which your property is located.

Available Exemptions

South Dakota provides several property tax relief programs to assist eligible homeowners in managing their tax obligations:

• Assessment Freeze for the Elderly and Disabled: This program freezes the taxable value of a primary residence for homeowners who meet specific age (65+) or disability requirements and income thresholds.
• Disabled Veteran Exemption: Veterans who have a service-connected disability rated as permanent and total are eligible for a significant reduction in property taxes on their primary residence.
• Homestead Exemption: While not a direct reduction for everyone, South Dakota law provides specific classifications for owner-occupied residences, which are taxed at a different rate than non-owner-occupied properties (commercial or rental).

Payment Schedule & Deadlines

Property taxes in Custer County are billed annually. To remain in good standing, taxpayers must adhere to the following schedule:

• First Half: The first half of property taxes becomes delinquent if not paid by April 30th.
• Second Half: The second half of property taxes becomes delinquent if not paid by October 31st.

If the full amount of taxes is paid by April 30th, the taxpayer may choose to pay the entire balance at once. Failure to pay by the specified deadlines results in the accrual of interest and penalties. Continued non-payment can eventually lead to the issuance of a tax certificate and potential tax deed proceedings, so it is vital to contact the Custer County Treasurer’s office immediately if you anticipate difficulty meeting these deadlines.

Appealing Your Assessment

If you believe your property’s assessed value does not reflect its market value, you have the right to appeal. The process begins with an informal review with the Custer County Director of Equalization. If the issue remains unresolved, you may formally appeal to the Local Board of Equalization, which typically meets in March. Further appeals can be directed to the County Board of Equalization and, ultimately, the South Dakota Office of Hearing Examiners. It is recommended to gather evidence such as recent appraisals, comparable sales data, or photos of property deficiencies before initiating an appeal.