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Updated 2025 Tax Year

Hill County
Property Tax Guide

Everything you need to know about property taxes in Hill County, TX. 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 location - combines county, school district, municipal, and special district rates
1st Due
Jan 31
Exemptions
5+ Available
Section 1

How Property Tax Works

Hill County, Texas operates under the state's property tax system to fund essential county services including law enforcement, courts, roads, emergency services, and other municipal functions. Property owners in Hill County pay taxes to multiple entities including the county, school districts, municipalities, and various special districts, creating a combined tax rate that varies by location within the county.

Based on recent budget documents, Hill County's property tax collections have increased by 5.96% for the current fiscal year, reflecting changes in both assessed values and tax rates. The effective tax rate varies significantly across the county depending on your specific location and the combination of taxing entities that serve your property. Texas law provides several tax credits and exemptions that can reduce your tax burden, but most require formal application and are not automatically applied to your property.

Property taxes in Hill County are governed by the Texas Property Tax Code, which includes provisions for homestead protections, assessment caps, and various relief programs for qualifying property owners. Understanding these provisions and application requirements is crucial for managing your property tax liability effectively.

Section 2

What Makes Up Your Tax Bill

ComponentRate RangeDescription
Hill County General FundVariesCounty operations, law enforcement, courts, roads
School DistrictsVaries by districtLocal school district operations and debt service
MunicipalVaries by cityCity services (if within city limits)
Emergency Services DistrictsVaries by ESDFire protection and emergency medical services
Water/Utility DistrictsVaries by districtWater, sewer, and utility infrastructure
Hospital DistrictsVaries by districtLocal hospital and healthcare services

Note: The combined tax rate increased by 5.96% compared to the previous fiscal year according to the county's budget documents. Exact rates vary significantly by location within Hill County due to different combinations of special taxing districts. Property owners should consult the Hill County Appraisal District for their specific tax rate based on their property's location and applicable taxing entities.

Section 3

When Are Property Taxes Due?

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

First Installment
Jan 31
Delinquent after Dec 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 Hill County are triggered by changes in property ownership, new construction, or improvements that increase a property's assessed value during the tax year. When these events occur, the county issues a supplemental tax bill for the additional taxes owed from the date of the change through the end 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 amount is then prorated based on the number of months remaining in the tax year from the date of change.

Example: If you purchase a home in Hill County in July that was previously assessed at $200,000 but now appraises at $250,000, you would owe supplemental taxes on the $50,000 difference from July through December (6 months). With a hypothetical combined rate of 2.5%, this would result in approximately $625 in supplemental taxes ($50,000 × 0.025 ÷ 2 for half the tax year).

Example Calculation

Property Value: $300,000

  • Assessed Value: $300,000
  • Homestead Exemption Applied: -$25,000 (school district portion)
  • Net Taxable Value: $275,000
  • Annual Tax (est. 2.2% rate): $6,050
  • Monthly Escrow: $504

Property Value: $600,000

  • Assessed Value: $600,000
  • Homestead Exemption Applied: -$25,000 (school district portion)
  • Over-65 Exemption Applied: -$10,000 (if applicable, requires application)
  • Net Taxable Value: $565,000
  • Annual Tax (est. 2.2% rate): $12,430
  • Monthly Escrow: $1,036

Property Value: $1,000,000

  • Assessed Value: $1,000,000
  • Homestead Exemption Applied: -$25,000 (school district portion)
  • Net Taxable Value: $975,000
  • Annual Tax (est. 2.2% rate): $21,450
  • Monthly Escrow: $1,788

Note: Tax credits and exemptions shown require formal application and approval. Actual rates vary by specific location within Hill County based on applicable taxing districts.

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Section 5

Escrow & Property Taxes

Most mortgage lenders in Hill County require property tax escrow accounts for borrowers with less than 20% down payment or upon borrower request. The lender collects monthly payments equal to 1/12 of your annual property tax bill and maintains these funds in an escrow account to pay your taxes when due.

Property taxes in Texas are typically due by January 31st for the previous tax year. Lenders usually pay the taxes in December or January to ensure timely payment and avoid penalties. Your lender will provide an annual escrow analysis showing the account activity and any required payment adjustments based on actual tax bills and assessment changes.

If your property taxes increase due to rising assessments or rate changes, your lender will adjust your monthly escrow payment accordingly. You'll receive advance notice of any payment changes, typically with options to pay any escrow shortage in a lump sum or spread it over 12 months. Property owners should verify that their lender has paid taxes on time by checking with the Hill County Tax Office, as borrowers remain ultimately responsible for ensuring taxes are paid.

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 property taxes due in Hill County? A: Property taxes are due by January 31st for the previous tax year. For the current FY 2024-2025 cycle, taxes are due by January 31, 2025.

Q: What tax credits are available and do I need to apply? A: Common tax credits include the Homestead Exemption ($25,000 for school taxes), Over-65 Exemption, Disabled Veterans Exemption, and Agricultural Use Exemption. All require formal application with the Hill County Appraisal District and are NOT automatically applied.

Q: How does the Homestead Exemption work? A: The Homestead Exemption provides a $25,000 reduction in assessed value for school district taxes and caps annual assessment increases at 10% for your primary residence. You must file an application with the Hill County Appraisal District - it's not automatic.

Q: When are properties assessed and how can I appeal? A: Properties are assessed annually as of January 1st. You'll receive a notice of appraised value in spring. Formal appeals must be filed with the Hill County Appraisal Review Board by May 15th or within 30 days of receiving your notice, whichever is later.

Q: What are the penalties for late payment? A: Late payments incur penalties of 6% in February, 7% in March, 8% in April, 9% in May, 10% in June, and 12% beginning July 1st. Interest also accrues at 1% per month.

Q: Can I pay property taxes online? A: Yes, Hill County offers online payment options through their official website. Contact the Hill County Tax Office for current payment portal information and accepted payment methods.

Q: Why do tax rates vary within Hill County? A: Different areas of Hill County are served by different combinations of school districts, emergency services districts, hospital districts, and other special purpose districts, each with their own tax rates.

Q: What is the 10% assessment cap and who qualifies? A: Texas law limits annual assessment increases to 10% for homestead properties. This applies automatically to qualified homesteads but you must first file for homestead exemption status with the appraisal district.

Verified Sources

Backed by 10 Official Government Sources

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

01
County
FY 25 Adopted Budget - Hill County, Texasco.hill.tx.us
02
Tax Doc
Notice About 2025 Tax Ratesnewtools.cira.state.tx.us
03
Tax Doc
tax rate levy for fiscal year 2024 - 2025libertyhilltx.gov
04
Tax Doc
96-1717 Handbook of Texas Property Tax Rulescomptroller.texas.gov
05
County
Hill County Clerk's Officeco.hill.tx.us
06
Appraisal Protests and Appeals - Texas Comptrollercomptroller.texas.gov
07
Homestead Exemptions - Texas Comptrollercomptroller.texas.gov
08
Application for Residence Homestead Exemptioncomptroller.texas.gov
09
County
Hill County Small Estate Affidavit Checklistco.hill.tx.us
10
County
HILL COUNTY, TEXAS - ANNUAL FINANCIAL REPORT For the ...co.hill.tx.us
All sources verified as of 2025 Tax Year

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