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Updated 2025 Tax Year

Valley County
Property Tax Guide

Everything you need to know about property taxes in Valley County, MT. 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
1.35% residential (up to $1.5M), 2.05% commercial - varies by special districts
1st Due
Nov 30
2nd Due
May 31
Exemptions
4+ Available
Section 1

How Property Tax Works

Valley County, Montana operates on a property tax system that funds essential local services including schools, county government, road maintenance, fire protection, and other special districts. Property taxes are the primary revenue source for these local government services, with tax rates varying significantly depending on your specific location within the county due to different combinations of special taxing districts.

For the 2025 tax year, Valley County residential properties face an effective tax rate of approximately 1.35% for homes valued up to $1.5 million, while commercial properties are taxed at 2.05%. These rates represent the combined levy from multiple taxing entities including the county, school districts, and various special districts. Your actual tax rate will depend on which special taxing districts serve your property location, such as fire districts, water districts, or local improvement districts.

Property in Montana is assessed at market value with no statewide assessment cap, though certain tax credits may help limit year-over-year increases for qualifying homeowners. The county assessor determines market value based on recent sales data and property characteristics, with formal reappraisals conducted on a regular cycle.

Section 2

What Makes Up Your Tax Bill

ComponentEstimated RateDescription
County General0.25%County operations, roads, sheriff, courts
School District0.65%K-12 education funding
State Education0.15%State-mandated education levy
Fire District0.10-0.20%Fire protection services (varies by district)
Other Special Districts0.10-0.20%Water, sewer, cemetery, weed control districts
Total Residential~1.35%Combined rate for properties up to $1.5M
Total Commercial~2.05%Combined rate for commercial properties

Note: These rates apply to the FY 2025-2026 levy year. Actual rates vary by location within Valley County depending on which special taxing districts serve your property. Contact the Valley County Assessor's Office for your specific tax district combination and precise rates.

Section 3

When Are Property Taxes Due?

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

First Installment
Nov 30
Delinquent after Dec 10
Second Installment
May 31
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 Valley County are additional tax bills issued when property undergoes significant changes during the tax year that affect its assessed value. The most common triggers include new construction completion, major improvements or additions, and changes in property ownership that remove previous tax credits or exemptions.

When supplemental taxes are issued, they represent the difference between taxes already billed and what should have been billed based on the property's updated status. For example, if you complete a $100,000 home addition in March, you'll receive a supplemental tax bill for the additional taxes owed on that $100,000 of added value for the remaining months of the tax year.

Supplemental taxes are calculated by taking the additional assessed value, multiplying by your property's total tax rate, then prorating for the number of months remaining in the tax year. These bills typically have separate due dates from regular property tax installments and must be paid to avoid penalties and interest charges.

Example Calculation

Example 1: $300,000 Residential Property

  • Assessed Value: $300,000
  • Less Homestead Credit (if applied): -$10,000 assessment increase limit
  • Net Taxable Value: $290,000
  • Tax Rate: 1.35%
  • Annual Tax: $3,915
  • Monthly Escrow: $326

Example 2: $600,000 Residential Property

  • Assessed Value: $600,000
  • Less Homestead Credit (if applied): -$15,000 assessment increase limit
  • Net Taxable Value: $585,000
  • Tax Rate: 1.35%
  • Annual Tax: $7,898
  • Monthly Escrow: $658

Example 3: $1,000,000 Residential Property

  • Assessed Value: $1,000,000
  • Less Homestead Credit (if applied): -$20,000 assessment increase limit
  • Net Taxable Value: $980,000
  • Tax Rate: 1.35%
  • Annual Tax: $13,230
  • Monthly Escrow: $1,103

Note: Homestead and other tax credits require annual application and are not automatically applied. Credits shown are estimates - actual benefits vary based on individual circumstances and application approval.

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Section 5

Escrow & Property Taxes

Most mortgage lenders require property tax escrow accounts for Valley County properties, collecting monthly payments along with your mortgage payment to ensure timely tax payment. Your lender estimates annual property taxes, divides by 12, and collects this amount monthly, typically maintaining a 2-month cushion in the escrow account as required by federal law.

Valley County property taxes are paid in three installments: February 7, May 31, and September 1. Your mortgage servicer will make these payments on your behalf from your escrow account. Each year, your lender must provide an escrow analysis statement showing the previous year's activity and any changes to your monthly escrow payment based on actual tax bills and account balance.

If your property taxes increase due to higher assessments or tax rate changes, your lender may require a one-time escrow shortage payment or spread the shortage over 12 months in addition to the higher monthly payment. You can verify your tax payments by checking with the Valley County Treasurer's Office or monitoring your escrow statements to ensure payments are made timely and accurately.

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

Q: When are Valley County property taxes due for the current fiscal year? A: For FY 2025-2026, property taxes are due in three installments: First installment February 7, 2026; Second installment May 31, 2026; Third installment September 1, 2026.

Q: What tax credits are available and do I need to apply? A: Montana offers several tax credits including the Homestead Credit for primary residences, Disabled Veteran Credit, and Elderly/Low Income Credit. All credits require annual application with the Valley County Assessor's Office and are NOT automatically applied.

Q: How does the Homestead Credit work? A: The Homestead Credit limits assessment increases on your primary residence, typically capping annual increases at a percentage of the previous year's value. You must file Form AB-26 annually by March 31 to maintain this credit - it does not reduce market value but limits taxable assessment growth.

Q: When are properties reassessed and can I appeal? A: Valley County conducts property reappraisals on a regular cycle. Assessment notices are mailed annually, and you have 30 days from the mailing date to appeal to the County Tax Appeal Board if you believe your assessment is incorrect.

Q: What are the penalties for late property tax payments? A: Late payments incur penalty and interest charges starting the day after each due date. Penalties typically include a percentage of the unpaid amount plus monthly interest charges until paid in full.

Q: Can I pay property taxes online? A: Contact the Valley County Treasurer's Office to inquire about online payment options, accepted payment methods, and any associated convenience fees for electronic payments.

Q: Why did my taxes increase when I didn't make improvements? A: Tax increases can result from higher assessed values due to market appreciation, increased tax rates from voter-approved bonds or levies, or loss of previously applied tax credits that require annual renewal applications.

Q: How do special district taxes affect my bill? A: Your property may be served by multiple special districts (fire, water, weed control, etc.) each with separate tax levies. Your total tax rate is the combination of all applicable district rates, which varies by location within Valley County.

Verified Sources

Backed by 10 Official Government Sources

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

01
County
2025 Median Property Value Changes by Countyrevenue.mt.gov
02
Tax Doc
2025 Tax Information for Montana Property Ownersrevenue.mt.gov
03
Tax Doc
Quick Comparison of Property Tax Ratesrevenue.mt.gov
04
County
Valley County, MT | Official Websitevalleycountymt.gov
05
Property Assessmentrevenue.mt.gov
06
County
Property Tax Deadlines Approaching in Gallatin Countygallatinmt.gov
07
County
Homeowner Exemption Application - Valley Countyco.valley.id.us
08
Tax Doc
Property Taxesgov.mt.gov
09
Tax Doc
Tax Relief for Homesteads and Long-term Rentalsrevenue.mt.gov
10
1 - Authorized Print Version – HB 816archive.legmt.gov
All sources verified as of 2025 Tax Year

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