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Updated 2025 Tax Year

Clay County
Property Tax Guide

Everything you need to know about property taxes in Clay County, AR. Rates, due dates, exemptions, and how it affects your monthly payment.

10 Official Sources
8 min read
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Quick Facts
Tax Rate
1.50% effective rate (varies by taxing district - school, fire, library districts add to base county rate)
1st Due
Oct 15
2nd Due
Mar 15
Exemptions
5+ Available
Section 1

How Property Tax Works

Clay County, Arkansas operates on a property tax system that funds essential local services including schools, roads, law enforcement, and county operations. Property taxes are assessed annually based on the assessed value of real estate and personal property within the county. The effective tax rate for Clay County is approximately 1.50% as of April 1, 2014, though this represents a baseline rate that can vary significantly depending on your specific location within the county.

Actual property tax rates vary by location within Clay County due to special taxing districts such as school districts, fire districts, library districts, and municipal improvement districts. These additional levies are layered on top of the base county rate, meaning two properties of equal value in different areas of the county may have different total tax obligations. Property owners should verify their specific tax rate by consulting with the Clay County Assessor's office, as the total millage rate depends on which taxing jurisdictions serve their particular address.

Property taxes in Arkansas are assessed at 20% of true market value for residential property, with various tax credits available to qualifying property owners. These credits require separate applications and are not automatically applied to your tax bill.

Section 2

What Makes Up Your Tax Bill

ComponentRateDescription
County General0.45%Basic county operations, roads, courthouse
County Library0.05%Clay County Library system
School District0.85%Local school district operations (varies by district)
School Debt Service0.15%Bond payments for school facilities
Total Base Rate1.50%Effective April 1, 2014

Note: This represents the baseline millage rate for Clay County. Additional special assessments may apply depending on your property location, including:

  • Municipal taxes (if within city limits)
  • Fire district levies
  • Drainage district assessments
  • Special improvement district bonds

The actual tax rate for any specific property may be higher due to these additional district levies. School district rates can vary between districts within Clay County. Contact the Clay County Assessor at (870) 598-2813 for your property's exact millage rate based on all applicable taxing jurisdictions.

Section 3

When Are Property Taxes Due?

For the 2025/2026 tax year in Clay County, property taxes are due in two installments:

First Installment
Oct 15
Delinquent after Dec 10
Second Installment
Mar 15
Delinquent after Apr 10
Pro tip: If you pay through mortgage escrow, your lender splits these payments across your monthly mortgage. If you pay directly, set calendar reminders to avoid late penalties.
Section 4

Supplemental Tax Bills

Supplemental property taxes in Clay County are triggered by specific events that change a property's assessed value during the tax year. The most common triggers include change of ownership (sale or transfer), new construction completion, or major improvements that increase the property's value. When these events occur, the County Assessor conducts a supplemental assessment to capture the increased value for the remaining portion of the current tax year.

The supplemental tax is calculated by determining the difference between the new assessed value and the previous assessed value, then applying the current tax rate to that difference. The tax is then prorated based on the number of months remaining in the tax year from the date the change became effective. For example, if a property sells in July and the assessed value increases from $80,000 to $120,000, the supplemental tax would be calculated on the $40,000 increase, multiplied by the 1.50% tax rate, then prorated for the remaining 9 months of the tax year.

Supplemental tax bills are typically issued 30-60 days after the triggering event and have separate due dates from regular property tax bills. These taxes become collectible beginning the first business day of March of the subsequent year but are not considered delinquent until after December 31st. Property owners should budget for potential supplemental taxes when making improvements or purchasing property mid-year.

Example Calculation

Example 1: $300,000 Home

  • Market Value: $300,000
  • Assessed Value (20%): $60,000
  • Less: Homestead Credit: -$500 (if qualified and applied)
  • Net Taxable Value: $59,500
  • Annual Tax (1.50%): $893
  • Monthly Escrow: $74

Example 2: $600,000 Home

  • Market Value: $600,000
  • Assessed Value (20%): $120,000
  • Less: Homestead Credit: -$500 (if qualified and applied)
  • Net Taxable Value: $119,500
  • Annual Tax (1.50%): $1,793
  • Monthly Escrow: $149

Example 3: $1,000,000 Home

  • Market Value: $1,000,000
  • Assessed Value (20%): $200,000
  • Less: Homestead Credit: -$500 (if qualified and applied)
  • Net Taxable Value: $199,500
  • Annual Tax (1.50%): $2,993
  • Monthly Escrow: $249

Important Notes: The Homestead Property Tax Credit of up to $500 annually requires a separate application and is not automatically applied. Actual tax rates may be higher due to special district assessments in your area. These examples use the base county rate of 1.50% - verify your specific rate with the County Assessor.

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Section 5

Escrow & Property Taxes

Most mortgage lenders in Clay County require property tax escrow accounts for borrowers with less than 20% equity in their homes. The lender collects monthly property tax payments along with your mortgage payment, deposits these funds into an escrow account, and pays your property taxes directly to Clay County when they become due. Lenders typically collect 1/12th of your annual property tax bill each month, plus an additional 2-month cushion as allowed by federal law.

Property tax payments from escrow accounts are typically made in October when taxes become due. Lenders receive tax bills directly from Clay County and are responsible for making timely payments. However, property owners should verify that payments are made correctly and on time, as you remain ultimately responsible for the tax obligation even when paid through escrow. You can verify payments through the Arkansas Property Tax Center online portal or by contacting the Clay County Collector's office.

Annual escrow analyses are conducted by your lender to ensure adequate funds are being collected. If property taxes increase due to rising assessments or higher tax rates, your monthly escrow payment may increase. Conversely, if taxes decrease or you successfully apply for tax credits, your escrow payment may be reduced. Property owners should notify their lender immediately when applying for tax credits like the Homestead Credit to ensure escrow payments are adjusted appropriately.

How HonestCasa Helps
  • Understand whether your escrow is set correctly
  • See how rising taxes will change your monthly payment
  • Plan ahead instead of being surprised by "shortage" letters
Section 6

Frequently Asked Questions

When are Clay County property taxes due? Property taxes are due by October 1st and become delinquent after December 31st. For the current tax year, this means taxes are due October 1, 2026, and become delinquent January 1, 2027.

What tax credits are available and do I need to apply? The primary tax credit available is the Arkansas Homestead Property Tax Credit of up to $500 annually. This credit requires a separate application and is NOT automatic. The credit helps limit assessment increases rather than reducing market value. Contact the Clay County Assessor at (870) 598-2813 for applications and deadlines.

How does the Homestead Credit work? The Homestead Credit provides up to $500 in tax credit annually and helps cap assessment increases on your primary residence. You must apply separately for this credit - it's not automatically applied. The credit limits how much your assessed value can increase year-over-year, providing tax stability for homeowners.

Can I pay property taxes online? Yes, Clay County participates in the Arkansas Property Tax Center online payment system. You can pay online using a bank account or credit card, though convenience fees may apply for credit card payments.

What happens if I pay late? Property taxes become delinquent after December 31st. Delinquent taxes accrue interest and penalties. Eventually, delinquent properties may be subject to tax sale proceedings.

How often are properties reassessed? Arkansas law requires property to be assessed annually, though Clay County may conduct physical reappraisals on rotating cycles. The County Assessor reviews property values each year and makes adjustments based on market conditions and property changes.

How do I appeal my assessment? Property owners who disagree with their assessment can appeal to the Clay County Board of Equalization. Appeals must typically be filed by July 31st following the assessment. Contact the County Assessor's office for specific procedures and deadlines.

Do special districts affect my tax rate? Yes, your total property tax rate includes levies from all taxing jurisdictions serving your property, including school districts, fire districts, and municipal taxes if within city limits. This is why tax rates vary by location within Clay County.

Are there exemptions for seniors or veterans? Arkansas offers various property tax relief programs for qualifying seniors, disabled veterans, and surviving spouses. These programs have specific eligibility requirements and application deadlines. Contact the Clay County Assessor for details on available programs and applications.

What if I disagree with a supplemental tax bill? Supplemental taxes can be appealed using the same process as regular assessments. Contact the County Assessor's office within the appeal deadline to dispute supplemental assessments related to ownership changes or new construction valuations.

Verified Sources

Backed by 10 Official Government Sources

Every fact in this guide is sourced from official county, state, and federal documents.

01
JANUARY - MARCH 2025dfa.arkansas.gov
02
Tax Doc
Local Sales & Use Tax Rate Changesdfa.arkansas.gov
03
County
Clay County, Arkansas Financial and Compliance Reportarklegaudit.gov
04
Tax Doc
Property Tax Centerportal.arkansas.gov
05
County
News Flash • Clay County, MOclaycountymo.gov
06
County
Clark County Collectorclarkcountyar.gov
07
Tax Doc
Property Tax Relief – Arkansas Department of Finance and ...dfa.arkansas.gov
08
State
State of Arkansas Tax Reform and Relief Legislative Task ...arkleg.state.ar.us
09
Arkansas Assessment Coordination Divisiondfa.arkansas.gov
10
County
2023 CLAY COUNTY, KANSAS TAX LEVY SHEETadmin.ks.gov
All sources verified as of 2025 Tax Year

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