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Updated 2025 Tax Year

Lake of the Woods County
Property Tax Guide

Everything you need to know about property taxes in Lake of the Woods County, MN. 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
Varies by taxing district, typically ranges from 0.8% to 1.5% of assessed value
1st Due
May 15
2nd Due
Oct 15
Exemptions
6+ Available
Section 1

How Property Tax Works

Lake of the Woods County, Minnesota operates on a property tax system that serves as the primary funding mechanism for essential local services including county government operations, schools, emergency services, and infrastructure maintenance. Property taxes in the county are calculated based on the assessed value of real estate and applied at varying rates depending on the specific taxing districts where the property is located.

The effective property tax rate in Lake of the Woods County varies significantly by location due to multiple overlapping taxing districts including the county levy, school districts, townships, and special service districts. Property owners can expect rates to differ between communities within the county, with the overall tax burden depending on the combination of local levies that apply to their specific property location. All property tax credits and exemptions require formal application and are not automatically applied to tax bills.

Section 2

What Makes Up Your Tax Bill

ComponentRateDescription
County General LevyVariesBasic county services, roads, administration
School District LevyVaries by districtLocal school funding, varies by specific school district
Township/Municipal LevyVaries by locationLocal government services for townships and cities
Special AssessmentsVariesFire districts, library districts, other special services
Total Composite Rate36.893%Combined rate for FY 2025 (varies by location)

Note: The 36.893% rate represents one taxing district combination within Lake of the Woods County for the 2025 levy year. Actual rates vary significantly by property location due to different combinations of school districts, townships, and special taxing districts. Contact the Lake of the Woods County Assessor's office for your specific property's tax rate.

Section 3

When Are Property Taxes Due?

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

First Installment
May 15
Delinquent after Dec 10
Second Installment
Oct 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 taxes in Lake of the Woods County are typically assessed when significant changes occur to a property during the tax year. The most common triggers include new construction completions, major improvements or additions, and changes in property classification (such as converting from agricultural to residential use).

When supplemental taxes are assessed, they are calculated by applying the current year's tax rate to the increase in assessed value, prorated for the portion of the tax year remaining after the change occurred. For example, if a $100,000 addition is completed on July 1st, the supplemental tax would be calculated on the added value for half the tax year (July through December).

Example Calculation

Example 1: $300,000 Home

  • Market Value: $300,000
  • Assessed Value: $300,000
  • Less: Homestead Credit (estimated): -$15,000
  • Net Taxable Value: $285,000
  • Annual Tax (36.893%): $10,514
  • Monthly Payment: $876

Example 2: $600,000 Home

  • Market Value: $600,000
  • Assessed Value: $600,000
  • Less: Homestead Credit (estimated): -$20,000
  • Net Taxable Value: $580,000
  • Annual Tax (36.893%): $21,398
  • Monthly Payment: $1,783

Example 3: $1,000,000 Home

  • Market Value: $1,000,000
  • Assessed Value: $1,000,000
  • Less: Homestead Credit (estimated): -$25,000
  • Net Taxable Value: $975,000
  • Annual Tax (36.893%): $35,971
  • Monthly Payment: $2,998

Note: Credit amounts are estimates and require application. Actual rates may vary by specific location within the county.

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Section 5

Escrow & Property Taxes

Most mortgage lenders in Lake of the Woods County require property tax escrow accounts, where monthly tax payments are collected along with principal and interest payments. Lenders typically collect 1/12th of the annual tax bill each month, plus an additional cushion amount to ensure sufficient funds are available when taxes are due.

Property taxes are paid twice yearly, with the first half due May 15th and the second half due October 15th. Lenders monitor these due dates and make payments directly to the county on behalf of homeowners. Property owners should verify that their lender has the correct tax amount, as changes in assessed value or tax rates can create escrow shortages or surpluses that require account adjustments.

How HonestCasa Helps
  • Understand whether your escrow is set correctly
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Section 6

Frequently Asked Questions

Q: When are property taxes due in Lake of the Woods County? A: For FY 2025, the first half payment is due May 15th and the second half is due October 15th. The tax levy notice is mailed in March.

Q: What is the Homestead Credit and how do I apply? A: The Homestead Credit limits annual assessment increases rather than reducing market value. New homeowners must contact the Assessor's Department to apply for homestead classification. This is not automatic and requires application.

Q: What other tax credits are available? A: Various credits may be available for seniors, disabled veterans, and low-income households. All credits require separate applications and are not automatically applied. Contact the County Assessor for specific eligibility requirements and application deadlines.

Q: How often are properties reassessed? A: Minnesota requires annual assessment updates, with the assessment date being January 2nd for the following year's taxes.

Q: What happens if I pay my taxes late? A: Late payments incur penalties and interest charges. Contact the County Treasurer's office for specific penalty rates and payment options.

Q: Can I pay property taxes online? A: Contact Lake of the Woods County Treasurer's office to inquire about available online payment options and accepted payment methods.

Q: How do I appeal my property assessment? A: Property owners can appeal assessments through the local board of appeal and equalization. Contact the County Assessor's office for appeal deadlines and procedures.

Q: Why do tax rates vary within the county? A: Different combinations of school districts, townships, cities, and special taxing districts create varying total tax rates depending on your property's specific location within Lake of the Woods County.

Verified Sources

Backed by 10 Official Government Sources

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

01
Tax Doc
Classification Rates for Taxes Payable in 2025revenue.state.mn.us
02
Tax Doc
2025 Final Annual Budget and Tax Levy December 10, 2024daytonmn.gov
03
County
Minnesota County 2025 Summary Budget Data Together ...auditor.state.mn.us
04
County
Property Taxes - Lake of the Woods Countyco.lake-of-the-woods.mn.us
05
County
How Do I? - Lake of the Woods Countyco.lake-of-the-woods.mn.us
06
County
Lake of the Woods County Financial Statements and ...osa.state.mn.us
07
eo_mn.csvirs.gov
08
County
Assessment Process - Lake of the Woods Countyco.lake-of-the-woods.mn.us
09
Tax Doc
Property Tax Programsrevenue.state.mn.us
10
Tax Doc
PROPERTY TAX House Omnibus Tax Bill Articles 6-8, 10- ...revenue.state.mn.us
All sources verified as of 2025 Tax Year

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