Rate Breakdown

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

How Property Tax Works in Houston County

Property tax in Houston County is determined by a combination of the property's appraised value and the local tax rate, often referred to as the millage rate. Every few years, the Tennessee State Board of Equalization mandates a reappraisal program to ensure that property values reflect current market conditions. The Assessor of Property determines the fair market value of your real estate, which is then multiplied by an assessment ratio—set at 25% for residential property in Tennessee—to arrive at the assessed value. This assessed value is then multiplied by the local tax rate, which is set annually by the Houston County Commission to fund essential services such as schools, law enforcement, and infrastructure.

Available Exemptions

The state of Tennessee offers several programs to help reduce the tax burden for eligible homeowners. These exemptions are managed through the Office of the Trustee or the Property Assessor. Key programs include:

• Property Tax Relief Program: Available to low-income elderly residents (age 65 or older), low-income disabled homeowners, and disabled veterans. This program provides a partial reimbursement of taxes paid on a primary residence.
• Tax Freeze Program: Qualified senior citizens (age 65 or older) may apply to "freeze" the tax amount on their primary residence at the base year level, protecting them from future tax increases due to rising property values.
• Disabled Veterans Exemption: Veterans with a service-connected disability, or their surviving spouses, may be eligible for a significant exemption on a portion of the property's value.

Payment Schedule & Deadlines

Property taxes in Houston County are billed annually. Typically, tax notices are mailed in mid-October, and payments are due by the last day of February of the following year. It is important to note the following:

• Deadlines: Taxes become delinquent on March 1st. Failure to pay by this date will result in the accrual of interest and penalties.
• Late Penalties: Interest accrues at a rate of 1.5% per month (18% annually) on unpaid balances. Additional attorney fees and court costs may be added if the account remains delinquent and proceeds to a tax sale.
• Installment Options: While most taxpayers pay in a lump sum, you should contact the Houston County Trustee’s office to inquire about current partial payment policies or potential payment plan arrangements for delinquent accounts.

Appealing Your Assessment

If you believe the appraised value of your property is inaccurate, you have the right to appeal. The process begins with an informal review with the Houston County Assessor’s Office. If you remain dissatisfied, you may formally appeal to the County Board of Equalization. This board meets annually to hear evidence regarding property values. To succeed in an appeal, it is recommended that you provide documentation such as recent appraisals, sales data of comparable properties, or photographs of structural issues that may decrease your property's market value.