Frequently Asked Questions (FAQs)
General
Q: Who do I call about:
How do I access my assessment information?
Real Estate
Q: What is the Homestead Credit?
A: The Amendment 79 Homestead Credit was passed by majority vote of the people of Arkansas during the statewide General Election on November 7, 2000. The intention is to create property tax relief for homeowners in Arkansas.
The homestead credit:
- Provides up to a $375 tax credit on property that is the owner's primary place of residence.
- Limits any increase in taxable value due to a reappraisal to 5% per year on the owner's primary place of residence. Vacant, commercial, and agriculture properties can be subjected to a 10% increase.
- Prevents the taxable value on an owner's primary place of residence from ever-increasing due to a reappraisal for homeowners who are 65 and older or who are disabled as defined by the Social Security Administration standards.
These provisions apply even if the property is titled in a revocable trust set up by the occupant or if the homeowner is staying in a nursing home.
To claim the credit, it is the homeowner's responsibility to notify the assessor in the county where his or her primary place of residence is located. Those who are 65 or older or disabled will need to provide a copy of their proof of age (driver's license or state ID) or their proof of disability to claim their special benefits.
Q: What are the requirements for a taxpayer to receive a $375 homestead tax credit on my property?
A: The property has to be the principal place of residence for the taxpayer. You must be either an owner, purchaser under a recorded contract to purchase, holder of a recorded life estate, or a person who has formed a revocable trust that owns the property. If you meet these requirements you will find more information on the forms page.
Q: What is a tax freeze?
A: The Freeze does not freeze your taxes, it freezes your Taxable Value. When you reach the age of 65 (or if you are older) you qualify for a Freeze. This also applies if you are on Social Security Disability. Simply supply us with a copy of your driver's license or birth certificate for verification of age. If you are disabled, a copy of your Medicare card or Award letter from Social Security will work as verification. The only way your taxable value will change is if you have a major improvement, addition, or new construction to the property. The taxable value will be frozen but if the millage rate changes your taxes can also change.
Q: What gives the Assessor the authority to come onto someone's property?
A: Arkansas law makes it the assessor's responsibility to physically inspect property to determine what is there that gives the value. A.C.A. 26-26-91(b)(1) states: "For the purpose of enabling the assessor to determine just and equitable values of property, he is authorized, and it shall be his duty, to enter upon and make such personal inspections thereof as he shall deem necessary."
Q: How do I purchase tax delinquent properties?
A: All tax delinquent sales are serviced through the Arkansas Commissioner of State Lands who conducts public auctions once a year in which property is located. For more information, see the Arkansas Commissioner of State Lands' website.
Personal Property
Q: What do I need to assess a recent purchase?
A: To add an item to the assessment, you will need to bring in the title and/or the bill of sale. We can assess you with just the bill of sale if you haven't gotten the title yet.
Q: How long do I have to assess my recent purchase?
A: You need to assess your recent purchase within 30 days to avoid possible penalties. That is 30 days from the date of purchase, not when the dealer gets you the title.
Q: What are the values for personal property derived?
A: Values are based on market research by the state of Arkansas.
Q: When are personal taxes due?
A: Taxes are due October 15 of each year and you are able to begin paying the first business day in March of each year. In Arkansas, we pay taxes one year behind. For example, you will receive a bill for your 2018 assessment in 2019.
- The deadline for assessing all types of personal property is May 31st. Assessments filed after this date will include a 10% penalty. This is for personal property and business personal property but does not include real estate.
Business Personal Property
Q: When is the deadline for assessing my business?
A: All assessments should be in our office by the end of the business day May 31st of each year.
Q: I just opened my business on April 10th. Do I still have to assess for the current year?
A: Yes. Since your business was opened prior to May 31st, it will have to be assessed for the current year.
Q: My business leases a copier and some office furniture. Do I need to report that on my business assessment?
A: The business or businesses you lease equipment from are responsible for assessing the equipment unless your lease agreement states that you are responsible. We request that you submit a copy of the leased equipment agreement with your assessment and we will notify the leasing company. Knowing you lease some items will assist the auditors should they review your assessment.
Q: How is a business' merchandise held for the purpose of sale valued?
A: It is calculated by taking the previous year's total inventory and dividing it by 12. This will be the monthly average inventory value that will be entered in Section G-Inventory and Supplies, line 3 of the assessment form.
Q: I don't sell anything or manufacture anything, so what do I do in the Manufacturers' Inventory Report and Merchants Inventory Supplies sections?
A: If you do not manufacture a product you do not have to worry about the Manufacturers Inventory Report section. If you do not sell anything in your business, go to line 2 of the Inventory and Supplies Section. This is where you submit your average monthly supply amount (which the majority of businesses will have) for the previous year. Supplies are what are needed to run the day-to-day operations of your business such as - your paper products, toner cartridges, office supplies, etc.
Q: What personal property do I have to assess for my business?
A: Arkansas law requires businesses to assess any personal property used in and by the business.
Q: Does every piece of property have to be assessed at the same time?
A: No, you may assess different property types on a schedule that fits your business's needs, as long as they are all assessed before May 31st to avoid a late penalty. An example of this is a business that might need to assess their automobiles at the start of the year, but need to wait to submit the rest of the assessment 2 months later.
