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Updated 2025 Tax Year

Butler County
Property Tax Guide

Everything you need to know about property taxes in Butler County, KY. 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
Approximately 0.9% (varies by district due to special taxing districts including fire districts and municipal services)
Exemptions
4+ Available
Section 1

How Property Tax Works

Butler County, Kentucky's property tax system is designed to fund essential local services including schools, county government operations, and various special districts. The county currently maintains the 6th lowest property tax rate out of 171 Kentucky school districts at approximately 0.9% for the 2025 tax year. Property owners in Butler County pay $2,009.84 per student in local tax revenue, which is significantly lower than surrounding districts.

Property tax rates in Butler County vary by location within the county due to special taxing districts, including school districts, fire districts, and other municipal services. The Butler County Schools recently approved a property tax increase to qualify for future state equalization funding, particularly in response to proposed cuts to Title V funding ($70,000 in 2025-26) and potential 15% cuts to Title I funding in 2026-27. Property taxes are assessed based on fair cash value and fund critical services throughout the community.

Section 2

What Makes Up Your Tax Bill

ComponentRateDescription
County GeneralVariesCounty government operations and services
Butler County SchoolsIncreased RateEducational services and facilities (recently increased for state equalization)
State Property Tax~1% baseKentucky state property tax component
Special DistrictsVaries by LocationFire districts, water districts, and other local services
Total Effective Rate~0.9%Combined rate for FY 2025-2026

Note: Actual rates vary by specific location within Butler County based on which special taxing districts serve your property. Contact the Butler County Property Valuation Administrator for your exact rate.

Section 3

When Are Property Taxes Due?

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

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 taxes in Butler County are triggered by changes in property ownership, new construction, or improvements that occur after the January 1st assessment date. When these changes happen, the Property Valuation Administrator calculates additional tax based on the increased assessed value for the remaining portion of the tax year.

For example, if you complete a $50,000 home addition in June, you would receive a supplemental tax bill covering July through December (6 months) based on the increased assessed value. The supplemental tax is calculated by applying Butler County's tax rate to the additional assessed value, prorated for the remaining months in the tax year. These bills are typically issued within 30-60 days of the assessment change and have separate due dates from your regular property tax payments.

Example Calculation

Example 1: $300,000 Home

  • Assessed Value: $300,000
  • Homestead Credit Applied: -$40,200 (if qualified and applied)
  • Net Taxable Value: $259,800
  • Annual Tax: $2,338 (at 0.9% rate)
  • Monthly Escrow: $195

Example 2: $600,000 Home

  • Assessed Value: $600,000
  • Homestead Credit Applied: -$40,200 (if qualified and applied)
  • Net Taxable Value: $559,800
  • Annual Tax: $5,038 (at 0.9% rate)
  • Monthly Escrow: $420

Example 3: $1,000,000 Home

  • Assessed Value: $1,000,000
  • Homestead Credit Applied: -$40,200 (if qualified and applied)
  • Net Taxable Value: $959,800
  • Annual Tax: $8,638 (at 0.9% rate)
  • Monthly Escrow: $720

Note: Homestead credit requires application and eligibility verification. Credits are not automatic and must be filed with the Butler County Property Valuation Administrator.

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Section 5

Escrow & Property Taxes

Most Butler County homeowners with mortgages have property taxes collected through escrow accounts managed by their lender. Your mortgage servicer estimates annual property tax obligations and collects 1/12th of that amount with each monthly mortgage payment. The lender pays your property taxes directly to Butler County when due dates arrive.

Property tax payments in Butler County follow a split schedule: the first half is due February 26, 2026, while personal property taxes are due May 15, 2025. Property taxes paid by November 1st receive a 2% discount. Lenders typically pay during the discount period to minimize escrow account balances. You should verify that your lender is paying correctly and on time, as you remain ultimately responsible for ensuring taxes are paid even when using escrow services.

How HonestCasa Helps
  • Understand whether your escrow is set correctly
  • See how rising taxes will change your monthly payment
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Section 6

Frequently Asked Questions

Q: When are Butler County property taxes due for the current fiscal year? A: The first half of real estate taxes is due February 26, 2026. Personal property taxes are due May 15, 2025. A 2% discount is available for payments made by November 1st.

Q: What tax credits are available to Butler County homeowners? A: The primary credit is the Homestead Credit for property owners age 65+ or those classified as totally disabled. This credit requires an application filed with the Butler County Property Valuation Administrator and is not automatic.

Q: How does the Homestead Credit work? A: The Homestead Credit caps assessment increases rather than reducing market value. It limits how much your assessed value can increase year-over-year. You must apply with the Property Valuation Administrator and meet age or disability requirements.

Q: How often are properties reassessed in Butler County? A: Kentucky requires property reassessment every four years. The Butler County Property Valuation Administrator conducts these assessments to ensure fair market value accuracy.

Q: What happens if I pay my property taxes late? A: Late payments incur penalties and interest charges. Contact the Butler County Sheriff's office for specific penalty rates and collection procedures.

Q: Can I pay my Butler County property taxes online? A: Contact the Butler County Sheriff's office to inquire about online payment options and accepted payment methods for property tax bills.

Q: How do special district taxes affect my bill? A: Special districts (fire, water, etc.) add to your total tax rate. Your exact rate depends on which districts serve your property location within Butler County.

Q: How can I appeal my property assessment? A: Assessment appeals must be filed with the Butler County Property Valuation Administrator within specific deadlines. Contact their office for appeal forms and procedures.

Verified Sources

Backed by 10 Official Government Sources

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

01
County
Butler County Schools - Funding Initiativesbutler.kyschools.us
02
Tax Doc
Motor Vehicle Property Tax Rates 2025revenue.ky.gov
03
Tax Doc
COMMONWEALTH OF KENTUCKY PROPERTY TAX RATESrevenue.ky.gov
04
Tax Doc
2025 PERSONAL PROPERTY TAX FORMS AND ...revenue.ky.gov
05
Tax Doc
The Collection Process for Property Tax Billsrevenue.ky.gov
06
County
Home - Butler County Clerkbutlercountyclerk.ky.gov
07
Homestead Exemption - Department of Revenue - Kentucky.govrevenue.ky.gov
08
Tax Doc
Property Tax Exemptions - Department of Revenuerevenue.ky.gov
09
County
Butler County Auditor OH - Nancy Nixauditor.bcohio.gov
10
Tax Doc
Property Tax Forms and Instructions for Public Service ...revenue.ky.gov
All sources verified as of 2025 Tax Year

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