FAQ's

Where do my property taxes go?
The property tax is a local tax. County government administers it. It supports schools (76%), counties (16%), cities (8%), and some community colleges (less than 1%).

When and where can I pay my taxes?
Taxes may be paid by mail or in person to your local county collector and are due by the 10th day of October. Real estate taxes may be paid in installments: 1/4 due by April 15, 1/4 due by July 15, and the final 1/2 due by October 10.

How can I appeal my assessment?
Call your county assessors' office first for an informal appeal. If you are not satisfied with the results then call your county clerk and schedule an appointment with the county equalization board. It is too late to appeal after you have received your tax bill but the assessments for the next tax bill may be appealed.

When can I appeal my assessment?
The county equalization board normally meets in the months of August and September to hear assessment appeals. Schedule your appointment for appeal with the county clerk prior to this meeting.

How do I calculate my tax bill?
The market value of all of your taxable property (as established by the county assessor) is multiplied by 20 % (the assessment level applied in Arkansas). Multiply this assessed value times the millage rate established for your jurisdiction.

How are millage rates established?
School millage is set by election each September. The governing bodies establish county general, county road and city general millage in November. Other millage such as library, and firemen's pension millage are established by election, levied in November of each year and will carry forward as long as the purpose exists.

Why did my property tax increase this year?
One of two things can lead to a tax increase; your property value increased or the millage rate levied in your jurisdiction was increased.

Tax rates are stated in mills. What is a mill?
A mill is one tenth of a percent. On your calculator use .001.

Does the millage rate apply to the full value of my property?
No. Your property is first assessed at 20% of its full value by law. Then the assessed value is multiplied by the millage to determine the property tax.

How much will a one-mill increase cost the average taxpayer in taxes?
Someone who wishes to purpose a tax increase usually asks this question so that they can get the information out to the voting public. The public can best relate to the tax increase on a house. Choose a typical house value for your community, it may be $40,000 or $140,000 or something else. To calculate the tax take the house value you have chosen, $75,000 for example, and multiply this value by 20%, which is the assessment level. In this case it would by $15,000. Multiply the $15,000 times one mill or .001, which is $15.00. So, it can be stated that a one mill increase on a $75,000 home will cost the taxpayer an additional $15.00 a year in taxes.

How many dollars will a one-mill increase generate for my taxing unit (i.e. city, school, county or community college)?
Simply multiply the total assessment base of the taxing unit by .001. The total assessments for a taxing unit can be determined by calling your county assessor or by looking it up on this web site under "Statewide values and rates". You may need to adjust for collection loss, check with the county collector.

How many dollars does a taxing unit receive and for what purposes?
You can call your local county collector for this information or look it up on this web site. To look it up, go to "Statewide values and rates". You can find the total tax for any city, school or county in the state, also you can find the total amount of taxes for all taxing units a county expects to collect. This will be shown as total taxes. In order to find the amount a taxing unit receives for a particular purpose, for example the amount a county receives for expenditures on county roads, you would need to know the millage for county roads. Find this under "Detailed millage by county" and multiply the millage by the total assessments.

What are the requirements for a taxpayer to receive a $350.00 homestead tax credit on his/her property taxes?
The property has to be the principal place of residence for the tax payer. He must be either an owner, purchaser under a recorded contract to purchase, holder of a recorded life estate, or a person that has formed a revocable trust that owns the property. Residing in a nursing home does not disqualify a person from the benefits of this provision.

The property taxes on my home are $325; will the state send me $25 so I get the full $350 credit?
No. Amendment 79 provides that the tax credit will be for up to $350. If your taxes are lower than $350, the credit pays your full tax bill, but nothing more.

What are the requirements for a taxpayer to be able to have any increase in value on his/her homestead limited to not more than 5% a year?
In counties where there has been a countywide reappraisal between January 1, 1986 and December 31, 2000, any increase in value on a taxpayer's principal place of residence is limited to not more than 5% a year. In counties where there has not been a countywide reappraisal as stated above, the 5% limitation is not available to the taxpayer until the fourth year after the county has gone through a countywide reappraisal where any increases in value are put on the tax rolls at the rate of 33 1/3% a year for three years.

Are disabled veterans required to pay property taxes
on their homestead or personal property?
No. In addition, surviving spouses and minor dependents of disabled veterans are not required to pay those property taxes.

Do disabled veterans receive a $350 tax credit on their homesteads?
No. Disabled veterans who are service connected 100% totally and permanently disabled do not pay property taxes on their homesteads so there is no tax to credit against.

Is there any relief available on property taxes for a homeowner who is not a disabled veteran?
Yes. Any increase in assessment will be capped at 5% except for new construction or newly discovered property.

A homeowner asks, "I'm turning 65 in July, does that mean that my property taxes won't go up this year?
Amendment 79 caps the assessment on a person's principle place of residence once he or she is 65 year's of age. There are really two things to address in this question. First, Amendment 79 does not cap taxes. Even if someone's assessment does not increase, his or her taxes will if there is a millage rate increase in the city, county or school district where he or she resides. Second, the timing of someone's 65th birthday is important because it is his or her age on January 1 that determines whether he or she is eligible for a capped assessment.

The answer to the specific question above is that the property owner may see a larger tax bill this year and next because of an assessment increase last year or this year. Whatever his or her assessment is this year will be the assessment for future years unless the property goes down in value or something new is added to it. Tax increases will occur in future years because of additions to the property or millage rate increases.

Every time I turn around county appraisers show up at my house. Why have the appraisers been to my property so many times?
Normally a property will be visited once or twice during a reappraisal. Data collectors will gather quantitative physical data on each parcel of real estate in the county. Qualitative data must be gathered by employees who meet advanced educational and experience requirements, and that may or may not be the data collectors. A return trip might be needed to clarify original data or for quality control review. In addition, Assessment Coordination Department auditors pick random samples to field check and verify compliance with the ACD Rules and Regulations. So, although there will be more than one or two visits in a few cases, the end result is a higher degree of accuracy resulting in fairness and equity.

What gives the assessor the authority to come on to someone's property?
Arkansas law makes it the assessor's responsibility to physically inspect property to determine what is there that gives it value. A. C. A. 26-26-910(b)(1) states,

"For the purpose of enabling the assessor to determine just and equitable values of property, he is authorized, and it shall be his duty, to enter upon and make such personal inspection thereof as he shall deem necessary."

I bought my house from my father-in-law for $20,000 last year. Why is it appraised for $80,000?
The appraised value of your property for ad Valorem tax purposes is based upon market value. Market value is the most probable price that a property would bring if exposed to the open market for a reasonable period of time. It is the price that a willing buyer and a willing seller would agree upon under usual and ordinary circumstances.

Why did the appraiser measure that old barn at the back of my property when it's not worth anything?
The ACD Rules and Regulations require all real estate improvements to be listed on the property record card. That includes any improvements that are deemed to have no contributory value. Dimensional elements of NCV (no contributory value) improvements are optional.

Do I have to let the appraiser in my house?
No. Interior inspections of residences are not required.

Where are values for personal property derived?
Values are based on market research.

When is the deadline for assessing personal property?
The deadline for assessing all types of personal property is May 31. Assessments filed after this date will include a 10% penalty.

When is the Millage Report published?
The Millage Report is published after January 1. Due to revisions and other contributing factors, it could be as late as March or April before it is ready.

When are the Ratio results reported?
The Preliminary Ratio is reported on August 1 unless there are revisions, with the final ratio reported on December 31.

When is the current year Summary Report ready?
Summary information is requested in February to be reported by March but it could be as late as May before the report is finalized.

Who do I contact about property that has been taken by the state for back taxes?
Contact the State Land Commissioners office. The telephone number is 501-324-9222 and the web site is http://www.state.ar.us./land/land.html .

Who do I call about:
Receiving my tax bill - your county collector;
Proof of payment of my taxes - your county collector;
Checking my assessments - your county assessor. NOTE: These phone numbers can be found on this web site at the county officials list link.

What are the guidelines for valuing agricultural land in Arkansas?
The guidelines were developed by the Assessment Coordination Department in compliance with Arkansas Code 26-26-407, which states:

(b)(1) Agricultural land, pasture land, and timber land valuation shall be based on productivity of the soil.

(2) Agricultural land, pasture land, and timber land guidelines shall be developed based on typical or most probable use of the soils for each of the aforementioned categories in the region.

(e) The Assessment Coordination Department (revised), in devising and developing methods of assessing and levying the ad Valorem property tax on real property, shall develop and publish tables and other data which be used by county assessors for assessing land qualifying under the provisions of this sub-chapter.

This code was part of Amendment 59 of the state constitution, passed in 1980.

Is agricultural land valued according to where the property is located?
Yes. The Agricultural Land mass appraisal program launched in 1981 developed seventy-five individual county land values based on published information by the Arkansas Agricultural Statistics Service and the Natural Resource and Conservation Service (NRCS, formally Soil Conservation Service). In an effort to eliminate some of the variables and inconsistencies, in 1996 the introduction of Regional Land Values for the state of Arkansas was implemented.

The land regions are based on those set by the U.S. Forest Service. There are four regions, a brief description, and the counties within that region are listed below:

Delta Region - An alluvial plain reaching from Louisiana to Missouri.
Counties include: Arkansas, Chicot, Clay, Craighead, Crittenden, Cross, Desha, Greene, Jackson, Jefferson, Lawrence, Lee, Lincoln, Lonoke, Mississippi, Monroe, Phillips, Poinsett, Prairie, St. Francis, Woodruff.

Ouachita Region - Extends northward from the coastal plain up to the Arkansas River.
Counties included: Garland, Logan, Montgomery, Perry, Polk, Pulaski, Saline, Scott, Sebastian, Yell.

Ozark Region - Is the largest region and is contained in the northern third of the State west of the Delta and north of the Arkansas River.
Counties included: Baxter, Benton, Boone, Carroll, Cleburne, Conway, Crawford, Faulkner, Franklin, Fulton, Independence, Izard, Johnson, Madison, Marion, Newton, Pope, Randolph, Searcy, Sharp, Stone, Van Buren, Washington, White.

Southwest Region - Southern part of the state west of the Delta. Also known as the Coastal Plains.
Counties included: Ashley, Bradley, Calhoun, Clark, Cleveland, Columbia, Dallas, Drew, Grant, Hempstead, Hot Spring, Howard, Lafayette, Little River, Miller, Nevada, Ouachita, Pike, Sevier, Union.

What are the categories used for the productivity of the soil for agricultural land?
There are four categories: Rice, Crop, Pasture and Timber, listed from the highest value to the lowest value.

What is the difference between the Rice and Crop categories?
The general crop is based on a ten-year market average for soybeans. To adjust for operating cost a 25/75 split is assumed and the 25 percent is applied as net income. The same formula is applied to the rice valuation, however in addition two rotations of soybean values (from the same soil class) are averaged into the final rice value.

How are the agricultural soils grouped?
The soil groupings are based on the NRCS Land Capability Classification System. This system measures the limitations of soils using eight classes. Class I being the least limited and VIII being the most restrictive. The sub class describes the type of limitation be it W-water, E-erosion, and S-shallow or unstable soils. NRCS has published, or is in the process of publishing, a soil survey for each county in Arkansas. Within these surveys each soil is described and is designated a capability class and a subclass. The surveys also contain aerial photographs that depicts where soils are located within the county.

The descriptions are as follows:

ACD Numbers and Interpretations

ACD# LAND CAPABILITY CLASSIFICATION

1 I - Soils have few limitations that restrict use.

2 IIW - Soils have moderate water limitations that reduce the choice of plants or require moderate conservation practices.

3 IIIS- Soils are very swallow and suffer from severe limitations that reduce the choice of plants or that require special conservation practices, or both.

4 IIIW- Soils have severe water limitations that reduce the choice of plants or that require special conservation practices, or both.

5 IIS - Soils are shallow and have moderate limitations that reduce the choice of plants or require moderate conservation practices.

6 IVS - Soils are shallow and have severe limitations that reduce the choice of plants or that require careful management, or both.

7 IVW- Soils have severe water limitations that reduce the choice of plants or that require very careful management, or both.

8 VW - Soils are not likely to erode, but have water limitations, impractical to remove and limits the use.

9 VIS - Soils have severe shallow limitations that make them generally unsuitable for cultivation.

10 VIW- Soils have severe water limitations that make them generally unsuitable for cultivation.

11 VIIS- Soils are shallow and have very severe limitations that make them unsuitable for cultivation.

12 IIE - Soils have moderate limitations to erosion that reduces the choice of plants or that require moderate conservation practices.

13 IIIE- Soils have severe limitations to erosion that reduces the choice of plants or that require special conservation practices, or both.

14 IVE - Soils have very severe limitations to erosion that reduces the choice of plants or that require very careful management, or both.

15 VIE - Soils have very severe limitations to erosion that make them generally unsuitable for cultivation.

16 VIIE- Soils have very severe limitations to erosion that make them unsuitable for cultivation.

17 VIII- (ROCK OUTCROPS ECT) - Soils and miscellaneous areas that have limitations that nearly preclude their use for commercial crop production.

18 NO CLASS OR MISC. LAND

LETTERS INDICATE LIMITATIONS (PROBLEMS) ASSOCIATED WITH THOSE SOILS.

W = WATER PROBLEMS (flooding)
E = EROSION PROBLEMS
S = SHALLOW SOILS (limited root zone, or stony soils)

What are the basic steps in the valuation of agricultural land?
1. An appraiser employed by the county determines the use of the land.

2. The land's soil type(s), based upon the NRCS Land Capability Classification System, is determined by the appraiser by locating the property on a NRCS Land Capability Classification System Map.

3. The appraiser calculates the value of the land using valuation tables, produced by the ACD, which indicate an appropriate value for the land based upon its current use and soil capability.