Arkansas property taxes are assessed on20% of market valueappraised value not the full market value like most states This constitutional quirk means your assessed value is automatically 1/5 of what your property is worth which is one major reason Arkansas taxes are so low to begin with
But there's significant variation across counties A home worth 200,000 might cost 600 year in taxes in one county and nearly 1,200 in another depending primarily on school district millage rates
How Property Tax Rates Work in Arkansas
Each county's total millage rate is the sum of millage levied by
- County government(roads, county services
- School district (s)the largest component often 25–40 mills)
- City/municipality(if applicable)
- Special districts(fire, library, hospital, etc.)
Tax formula:Assessed Value×Total Mills÷1,000=Annual Taxminus any homestead credit)
Counties with Lowest Millage Rates
The following counties consistently have some of the lowest total millage rates in Arkansas Rates for any specific parcel depend on the exact city limits and school district use the detailed county pages or our calculator for precision
Montgomery County
Rural Ouachita Mountain region Very low school millage Sparse population
Sevier County
Southwestern Arkansas Small school district Agriculture heavy area
Calhoun County
South central Arkansas One of the least populous counties Minimal services
Dallas County
South central Arkansas Small county seat Fordyce Lowtax base
Searcy County
North central Arkansas Ozark Mountains Low population minimal services
Counties with Higher Millage Rates
For comparison counties with larger urban centers and more school spending tend to have higher millage rates:
| County | Approx. Total Mills (Urban) | Key Driver |
|---|---|---|
| Pulaski (Little Rock) | 45–55 | Large city schools services |
| Washington Fayetteville | 40–52 | Rapidly growing urbanarea |
| Benton (Bentonville) | 38–50 | Growing NW Arkansasmetro |
| Sebastian Fort Smith) | 38–48 | Second largest city in state |
| Garland (Hot Springs) | 35–45 | Tourism resort community |
Note that higher millage counties often have higher home values higherwages, and better funded public schools factors that attract many buyers despite higher taxes
What Does This Mean for Actual Tax Bills?
Low millage rates don't always translate to lowtax bills because home values matter too Here's a comparison:
| Example | Home Value | Assessed Value | Millage | Annual Tax* |
|---|---|---|---|---|
| Rural low rate county | $120,000 | $24,000 | 25 | ~$225 |
| Rural low rate county | $200,000 | $40,000 | 25 | ~$625 |
| Urban higher rate county | $200,000 | $40,000 | 50 | ~$1,625 |
| Urban higher rate county | $350,000 | $70,000 | 50 | ~$3,125 |
*After $500 homestead credit Estimates only.
Calculate Taxes for Any Arkansas County
Enter any home value and choose your county to get an instant accurate tax estimate
Open Tax Calculator →Why Are Arkansas Property Taxes Low?
Several factors keep Arkansas property taxes among the lowest in the US:
- 20% assessmentratio:Only 20% of market value is taxed not the full value like in manystates
- $500 homestead credit:State funded credit reduces every homeowner's bill
- Lowerhomevalues:Arkansas median home values are lower than national averages meaning smaller assessed values
- Ruraldemographics:Many counties have small populations with modest service needs and school budgets
- State constitution:Arkansas requires voters to approve millage rate increases limiting how fast rates grow
Frequently Asked Questions
Which county in Arkansas has the lowest property taxes?
Several very rural counties including Montgomery, Calhoun, Sevier, and Dallas tend to have some of the lowest millage rates. However theactualtaxbillalso depends on home value so comparing effective rates tax home value gives a more accurate picture
What is the average property tax rate in Arkansas?
The statewide average effective property tax rate in Arkansas is approximately0.61% of market value, one of the lowest in the United States The average annual tax bill is roughly $800–$1,200 for median priced homes
Do all counties in Arkansas tax at 20%?
Yes—the 20 assessment ratio is set by the Arkansas Constitution and applies uniformly statewide All residential property is assessed at 20 of appraised market value.
Is it better to live in a low tax county?
Lower taxes are attractive but lower tax counties often have fewer services lower funded schools and less infrastructure The right balance depends on your personal priorities Cities and counties with higher taxes often offer stronger schools services, and higher quality of life amenities