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Updated 2025 Tax Year

Clay County
Property Tax Guide

Everything you need to know about property taxes in Clay County, TN. 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 1% base rate, varies by taxing district (school, fire, municipal service areas)
Exemptions
4+ Available
Section 1

How Property Tax Works

Clay County, Tennessee operates on a property tax system that serves as the primary funding source for essential local services including public schools, county government operations, road maintenance, and emergency services. The county follows Tennessee's statewide property tax framework, with properties assessed at their full market value and a 2025 appraisal ratio set at 1.0000 as approved by the State Board of Equalization.

Property tax rates in Clay County vary by location within the county due to special taxing districts, which may include school districts, fire districts, and other municipal service areas. The effective tax rate typically ranges around Tennessee's base rate of approximately 1%, though your actual rate depends on the specific taxing districts where your property is located. Property owners should note that most tax credits and exemptions require formal application and are not automatically applied to your tax bill.

Section 2

What Makes Up Your Tax Bill

ComponentRateDescription
County General FundVariesBasic county operations, services, and infrastructure
School DistrictVariesLocal school funding and educational services
Special DistrictsVariesFire protection, utility districts, and other local services
Total Effective Rate~1.0%Combined rate varies by property location within county

Note: These rates apply to the FY 2025-2026 levy year. Actual tax rates vary significantly based on the specific taxing districts where your property is located within Clay County. Contact the Clay County Assessor's office for precise rates applicable to your property address.

Section 3

When Are Property Taxes Due?

For the 2025/2026 tax year in Clay 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 Clay County are triggered by changes in property ownership, new construction, or significant improvements that occur after the annual assessment date. When these events happen, the county assessor calculates the difference between the previous assessment and the new assessed value, then applies the current tax rate to determine the supplemental tax amount.

For example, if you complete a $50,000 home addition in September and your property tax rate is 1.2%, you would owe a supplemental tax of approximately $600 ($50,000 × 1.2%) prorated from the completion date through the end of the tax year. This supplemental bill is separate from your regular annual property tax bill and typically arrives 30-60 days after the assessor processes the change.

Example Calculation

Example 1: $300,000 Home

  • Market Value: $300,000
  • Assessed Value: $300,000 (at 1.0000 ratio)
  • Less: Homestead Credit: $0 (requires application)
  • Net Taxable Value: $300,000
  • Annual Tax (at 1.2% rate): $3,600
  • Monthly Escrow: $300

Example 2: $600,000 Home

  • Market Value: $600,000
  • Assessed Value: $600,000 (at 1.0000 ratio)
  • Less: Applied Tax Credits: $0 (requires application)
  • Net Taxable Value: $600,000
  • Annual Tax (at 1.2% rate): $7,200
  • Monthly Escrow: $600

Example 3: $1,000,000 Home

  • Market Value: $1,000,000
  • Assessed Value: $1,000,000 (at 1.0000 ratio)
  • Less: Applied Tax Credits: $0 (requires application)
  • Net Taxable Value: $1,000,000
  • Annual Tax (at 1.2% rate): $12,000
  • Monthly Escrow: $1,000

Note: Tax credits shown require formal application to the assessor's office. Actual rates vary by taxing district location.

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Section 5

Escrow & Property Taxes

Most mortgage lenders in Clay County require property tax escrow accounts, where you pay 1/12th of your estimated annual property tax bill with each monthly mortgage payment. Your lender holds these funds in escrow and pays your property taxes directly to Clay County when they become due on April 15th each year.

Lenders typically conduct an annual escrow analysis to ensure adequate funds are collected, which may result in payment adjustments if your property taxes increase or decrease. You'll receive an escrow statement showing the previous year's tax payments and any adjustments needed for the coming year. If you pay your mortgage off or don't have an escrow account, you're responsible for making property tax payments directly to the Clay County Trustee's office by the April 15th deadline to avoid penalties and interest charges.

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Section 6

Frequently Asked Questions

Q: When are Clay County property taxes due for FY 2025-2026? A: Property taxes are due April 15, 2026. Late payments incur penalties and interest charges.

Q: What tax credits are available and how do I apply? A: Tennessee offers property tax relief programs for qualifying homeowners. Applications must be filed with tax collecting officials including the county trustee. Contact the Clay County Assessor's office for specific credit programs and application requirements.

Q: Does Tennessee have a homestead exemption? A: Tennessee has tax relief programs rather than traditional homestead exemptions. These programs provide state reimbursement for qualifying homeowners but require application and income eligibility verification.

Q: How often are properties reappraised in Clay County? A: Clay County follows the state reappraisal schedule. Check with the Clay County Assessor's office for the next scheduled reappraisal cycle and assessment review dates.

Q: How do I appeal my property assessment? A: Assessment appeals must be filed with the Clay County Board of Equalization during designated appeal periods. Contact the assessor's office for appeal forms and deadlines.

Q: What happens if I pay my property taxes late? A: Late payments after April 15th incur penalties and interest. Continued non-payment can result in tax liens and potential foreclosure proceedings.

Q: Can I pay my property taxes online? A: Contact the Clay County Trustee's office to inquire about online payment options and accepted payment methods.

Q: How do special district taxes affect my bill? A: Properties may be subject to additional taxes for fire districts, school districts, or other special service areas. Your total tax rate depends on which districts serve your property location.

Q: Do senior citizens qualify for special tax relief? A: Tennessee's property tax relief program includes provisions for elderly homeowners meeting income and residency requirements. Applications must be filed with the appropriate tax official.

Q: What exemptions are available for disabled veterans? A: Tennessee provides property tax relief for qualifying disabled veterans. Contact the Clay County Assessor's office for eligibility requirements and application procedures.

Verified Sources

Backed by 10 Official Government Sources

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

01
Reappraisal Schedule - Tennessee Comptroller of the Treasurycomptroller.tn.gov
02
Tax Doc
Tax Year 2025 - ApprAisAl rAtio study reportcomptroller.tn.gov
03
Tax Doc
Local Property Tax in Tennesseetn.gov
04
County
Clay County, Tennessee - Comptroller of the Treasury - TN.govcomptroller.tn.gov
05
Frequently Asked Questions - CivicPlus.CMS.FAQbristoltn.gov
06
Tax Doc
Property Tax Relief - Tennessee Comptroller of the Treasurycomptroller.tn.gov
07
Exemptions - Tennessee Comptroller of the Treasurycomptroller.tn.gov
08
FERC CID Listing 11-1-2023ferc.gov
09
County
Clay County, Tennesseecomptroller.tn.gov
10
County
Clay County Annual Financial Report 2020 - Tennessee Comptroller ...comptroller.tn.gov
All sources verified as of 2025 Tax Year

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