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Updated 2025 Tax Year

Shelby County
Property Tax Guide

Everything you need to know about property taxes in Shelby 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
2.69% effective rate for FY 2025 (varies by district and municipality within county)
1st Due
Jan 31
Exemptions
5+ Available
Section 1

How Property Tax Works

Shelby County, Texas operates under the state's property tax system, which serves as the primary funding mechanism for local government services including schools, county operations, municipal services, and various special districts. Property taxes in Shelby County fund essential services such as public education, law enforcement, fire protection, road maintenance, and judicial services. The county follows Texas Property Tax Code regulations, with properties assessed annually based on market value as of January 1st.

The effective property tax rate in Shelby County for FY 2025 is approximately 2.69%, representing a 2.46% increase from the previous year. This rate includes combined levies from the county, school districts, municipalities, and various special taxing districts. Actual tax rates vary significantly by location within Shelby County depending on which city, school district, and special districts (such as hospital districts, emergency services districts, or municipal utility districts) serve your specific property. Property owners should verify their exact tax rate based on their property's location and applicable taxing jurisdictions.

Section 2

What Makes Up Your Tax Bill

ComponentRate (per $100)Description
County General Fund$0.5500County operations, roads, courts, sheriff
School District$1.2000-1.4000Public education (varies by district)
City/Municipality$0.3000-0.7000Municipal services (varies by city)
Emergency Services District$0.0500-0.1000Fire and EMS services
Hospital District$0.0800-0.1200Public health services
Other Special Districts$0.0200-0.0500Water, MUD, utility districts
Combined Rate Range$2.20-2.90Total varies by location

Rates shown are estimates for FY 2025-2026 levy year. The county-wide average composite rate is $2.69 per $100 of assessed value. Your actual rate depends on the specific combination of taxing jurisdictions that serve your property location. Contact the Shelby County Appraisal District for your exact rate breakdown.

Section 3

When Are Property Taxes Due?

For the 2025/2026 tax year in Shelby 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 Shelby County are additional property tax bills issued when there are changes to property ownership, new construction, or significant improvements that increase a property's assessed value during the tax year. These supplemental assessments ensure that property taxes are properly allocated based on current ownership and property conditions rather than waiting until the next regular assessment cycle.

Common triggers for supplemental taxes include: property sales that result in removal of assessment caps, completion of new construction or major renovations, subdivision of land, or correction of assessment errors. The supplemental tax is calculated by applying the current tax rate to the difference between the old and new assessed values, prorated for the portion of the tax year remaining. For example, if a $400,000 home receives $50,000 in improvements completed in July, and the property is subject to a 2.69% tax rate, the supplemental tax would be approximately $1,345 ($50,000 × 0.0269) prorated for the remaining months of the fiscal year, resulting in a supplemental bill of about $673.

Example Calculation

Example 1: $300,000 Home with Homestead

  • Market Value: $300,000
  • Less: School Homestead Exemption: $100,000
  • Less: General Homestead Exemption: $25,000
  • Net Taxable Value: $175,000
  • Annual Tax (at 2.69%): $4,708
  • Monthly Escrow: $392

Example 2: $600,000 Home with Homestead and Senior

  • Market Value: $600,000
  • Less: School Homestead Exemption: $100,000
  • Less: General Homestead Exemption: $25,000
  • Less: Over-65 Exemption: $10,000
  • Net Taxable Value: $465,000
  • Annual Tax (at 2.69%): $12,509
  • Monthly Escrow: $1,042

Example 3: $1,000,000 Non-Homestead Property

  • Market Value: $1,000,000
  • Less: No exemptions (rental/commercial)
  • Net Taxable Value: $1,000,000
  • Annual Tax (at 2.69%): $26,900
  • Monthly Escrow: $2,242

Note: All exemptions require application and approval. The 10% homestead assessment cap limits annual increases for qualified homesteads but does not reduce market value.

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Section 5

Escrow & Property Taxes

Most mortgage lenders in Shelby County require property tax escrow accounts for loans with less than 20% down payment. Your lender collects monthly escrow payments along with your mortgage payment, typically 1/12th of your estimated annual property tax bill. The lender holds these funds in an escrow account and pays your property taxes directly to Shelby County when due. Lenders must provide annual escrow analysis statements showing account activity and any required payment adjustments.

Texas property taxes are due January 31st each year for the previous tax year, though some taxing units may offer split payment options. Your lender will typically pay the full amount by the January 31st deadline to avoid penalties and interest. If your escrow analysis shows a shortage, your lender may increase monthly payments or require a lump sum payment to cover the deficit. Property owners should review their annual escrow statements carefully and contact their lender if they believe their property taxes are incorrectly calculated or if they've applied for new exemptions that should reduce their tax burden.

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 Shelby County for FY 2025-2026? A: Property taxes are due January 31, 2026, for the 2025 tax year. Some taxing units may offer split payment options with installments due in the fall and winter.

Q: What tax credits are available and do they require applications? A: Available exemptions include homestead ($25,000 general + $100,000 school), over-65 ($10,000), disabled veteran (varies), and agricultural use. All exemptions require application by April 30th and are NOT automatic - you must apply with the Shelby County Appraisal District.

Q: How does the homestead exemption work? A: The homestead exemption provides two benefits: 1) reduces your taxable value by up to $125,000 total ($25,000 general + $100,000 school district), and 2) caps assessment increases at 10% annually. You must apply for homestead exemption - it's not automatic upon purchase.

Q: When can I appeal my property assessment? A: You can appeal your assessment after receiving your notice of appraised value (typically mailed by April). Informal appeals are heard first, followed by formal appeals to the Appraisal Review Board if needed.

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, and 10% in June and after, plus 1% interest per month.

Q: Can I pay my property taxes online? A: Yes, most Shelby County taxing units offer online payment options through their websites or third-party services, though convenience fees may apply.

Q: How do special district taxes affect my bill? A: Your location determines which special districts serve your property (fire, EMS, hospital, MUD, etc.). Each adds to your total tax rate, typically ranging from 0.05% to 0.15% per district.

Q: What triggers a supplemental tax bill? A: Property sales, new construction, major improvements, or assessment corrections can trigger supplemental taxes calculated from the date of change through the end of the tax year.

Verified Sources

Backed by 10 Official Government Sources

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

01
County
Untitled - Shelby Countyco.shelby.tx.us
02
County
TAX RATE - Shelby County, Texasco.shelby.tx.us
03
County
Adopted FY2025 Budget - Shelby County, Texasco.shelby.tx.us
04
Tax Doc
96-1717 Handbook of Texas Property Tax Rulescomptroller.texas.gov
05
County
Tax Assessor - Collector - Shelby County, Texasco.shelby.tx.us
06
Shelby - 210 - Texas Comptrollercomptroller.texas.gov
07
County
Shelby County Appraisal Districtcomptroller.texas.gov
08
County
A Favor - Shelby County, Texasco.shelby.tx.us
09
2024 ISD Summary Worksheet - Texas Comptroller - Texas.govcomptroller.texas.gov
10
Tax Doc
Property Tax Today - Texas Comptrollercomptroller.texas.gov
All sources verified as of 2025 Tax Year

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