Huntsville Area

TAXES

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SALES TAX, PROPERTY (AD VALOREM) TAXES, STATE INCOME TAX

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AREA AND STATE TAXES

Property Taxes, Sales and State Taxes

Arkansas property taxes are levied by counties, municipalities, and school districts. All households are eligible for a refund of up to $350 regardless of income or age. Political subdivisions collect taxes on real property (house and land) and personal property (motor vehicles, boats and motors, motorcycles and all-terrain vehicles) These are sometimes referred to as ad valorem taxes. Assessment is based on 20 percent of the true market value.

The taxable assessed value of homesteads of residents aged 65 or older, or those who are disabled are capped at the previous year value unless improvements are made or the property is sold.

There is no inheritance tax. In 2003 the estate tax was repealed for those deceased after January 1, 2005.

Tax rates for Real and Personal Property in Madison County
If you live in the	your tax rate is	or as a percentage
Huntsville city limits	42.90 mils	4.29%
Huntsville School District but live in the county	41.10 mils	4.11%
St. Paul city limits	43.31 mils	4.331%
St. Paul School District but live in the county	42.51 mils	4.251%
Kingston School District	44.90 mils	4.49%

Figuring your tax: Figuring your tax is very simple. The first thing you must do is find out what the actual value of your property is. This value can be obtained from the Madison County Assessor's office. Visit the Asessor's office on-line to find out about the market value of your property.

Basically, if your property is valued at $75,000, you can expect to pay about $300 a year in taxes; if your property is valued at $100,000, you can expect to pay about $500 a year in taxes. If your property is valued at $200,000, you can expect to pay a little over $1,300 a year in property taxes.

Madison County Assessor's Office real property records online. Please use the Search feature to find your property of interest Madison County Assessors Office

Formulas:
Market Value x 20% = assessed valuation;
assessed valuation x millage = your tax;

Example: Your home is located in the Huntsville City limits. From the table above, you note that the tax rate for property located in the Huntsville city limits is 42.9 mils or 4.29%. According to the assessor's office, the actual value of your home and property is $100,000.

$100,000 x .20 = $20,000. (assessed valuation)
$20,000 x .0429 (Huntsville millage rate) = $858 (Your tax)
Remember, everyone gets a $350 credit!

$858 - $350 = $508 - Your total tax to be paid

Other Taxes in Arkansas

State Sales Taxes: 6.0% (prescription drugs exempt).
County Sales Tax: 2.0%
City Sales Tax: 1.0% (Total Sales Tax is 9.0%)
Food taxed at 3%
natural gas and electricity taxed at 4.5%
Gasoline Tax: 21.87 cents/gallon
Diesel Fuel Tax 22.8 cents/gallon
Cigarette Tax: 59 cents/pack of 20

Personal Income Taxes

Tax Rate Range: Low - 1.0%; High - 7.0% *
Income Brackets: Lowest - $3,699; Highest - $30,100
Number of Brackets: 6
Tax Credits: Single - $20; Married - $40; Dependents - $20
65 years of age or older - $20
Standard Deduction: Single - $2,000; Married filing jointly - $4,000
Medical/Dental Deduction: Same as Federal taxes
Federal Income Tax Deduction: None
Retirement Income Taxes: Social Security is exempt. Up to $6,000 in military, civil service, state/local government, and private pensions are exempt.