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1. What is the city's property tax rate?

Property taxes, along with other funding sources, fund your city services including police, fire and ems, streets, drainage and traffic control, animal services, code compliance, building and health inspections, parks and recreation, and library services. 

The following chart shows the change in the city’s property tax rate since 2010. The 4-cent increase in 2012 was due to the voter-approved bonds for the new city hall.  

2. Who authorizes the city’s property tax rate?

As part of the annual city budget process, the City Council sets the property tax rate each September following required public hearings. You can view the public hearing notices for this year at www.nrhtx.com/budget. 

3. How is city property tax revenue spent?

Your city taxes fund the services and infrastructure you depend on every day, such as good roads and the police, fire and emergency medical services that respond in a crisis and keep our community safe. These funds also provide for innovative library programs that encourage life-long learning, as well as superior park and recreation amenities that promote active lifestyles and provide beautiful green space for recreation and play. In 2022, the average NRH homeowner will pay $1,280.52 annually (or $106.71 per month) in property taxes to the city. The following chart shows how the tax payment is distributed to provide city services. 

City Service	Dollar	Percent
Public Safety	$ 52.26	49.0%
Public Works (Streets & Traffic)	$ 22.99	21.5%
City Facilities	$ 12.09	11.3%
Library	$   4.56	4.3%
Neighborhood Services	$   3.71	3.5%
Parks	$   3.69	3.5%
Admin Svs*	$  7.41	6.9%
Monthly Tax Bill	$106.71	100.00%

* Admin Svs includes information technology, budget, finance,  communications, human resources and other administrative services.

Property taxes fund about 44% of the city’s daily operations, with sales tax contributing about 21%. Franchise fees, permits, fines, charges for service, grants and other sources also help fund your city services.

4. How much does the average NRH homeowner pay in city property tax?

In 2022, the average NRH home had a taxable value of $233,679. At the adopted tax rate of $0.547972 per $100 property valuation, the city tax bill for this home will be $1,280.50 annually or $106.71 per month. 

As a reminder, the taxable value of your home is significantly less than the market value of your home, due to appraisal caps and the exemptions offered by the city. 

• The Market Value is the amount the Tarrant County Appraisal District believes your home is currently worth. 
• The Appraised Value is the value of your home after state-mandated limitations on value increases for residential homesteads is factored in. This value is set by the Tarrant County Appraisal District. In Texas the appraised value of a homestead may increase no more than 10% per year. 
• The Taxable Value is the Appraised Value minus Exemptions. The tax rate is applied to the Taxable Value to determine your tax bill.  

To lower your home’s taxable value and your tax bill, the City of North Richland Hills provides the following exemptions:

• 20% homestead exemption;
• $36,000 exemption for senior citizens (65 and older) and disabled residents;
• Senior and disabled tax ceiling (also known as tax freeze).

5. Why do some other nearby cities have a lower property tax rate?

Property tax rates vary by city, as do property values. Some cities may have a lower tax rate, but a significantly higher average home value. Also, they may offer no homestead exemption or a lower homestead exemption.  Some cities have much higher sales tax and hotel/motel tax revenue that help fund city services, enabling the city to maintain a lower property tax rate. The following shows the average annual city property tax bill in NRH compared to the average city property tax bill in neighboring cities. (Please note, this reflects city taxes only and does not include property taxes levied by school districts or county entities.)

City	2022 Average Taxable Value	2022 Average City Tax Bill
Southlake	$712,461	$2,565
Colleyville	$650,119	$1,727
Fort Worth	$199,169	$1,419
Keller	$387,825	$1,375
Bedford	$265,968	$1,318
North Richland Hills	$233,694	$1,281
Hurst	$199,125	$1,223
Arlington	$195,555	$1,173
Watauga	$194,833	$ 1,111
Euless	$221,739	$1,020
Richland Hills	$180,686	$  974
Haltom City	$152,153	$  925
Grapevine	$320,441	$  871

6. How does the average tax bill compare to last year?

Visit www.tarranttaxinfo.com to view your 2022 estimated tax bill and compare it to your 2021 tax bill.  You can also look up your property value and tax payment history online.

It is important to note for homeowners who have a senior/disabled exemption in place, property taxes are capped and will not go up. In NRH, 28.7% of homeowners benefit from the senior/disabled exemption.

Year	Average Taxable Value	City’s Tax Rate	Annual Tax Bill	Monthly Tax Bill
2021	$220,247	$0.572184	$1,260.22	$105.02
2022	$233,679	$0.547972	$1,280.50	$106.71
Difference	$  13,432	$0.024212	$     20.28	$    1.69

 

7. What are the homestead and senior exemptions?

What is a homestead exemption? 
It’s a discount applied to the appraised value of your home. In 2022, the City Council increased the homestead exemption to 20%. Previously, the city’s homestead exemption was 15%. Under the 20% exemption, homeowners’ taxes to the city will be based upon only 80% of their home’s appraised value.  

Is there a Senior Exemption? 
Yes, homeowners can also receive a senior exemption when you turn 65. The senior exemption is in addition to the homestead exemption that is available to homeowners of any age. The exemption lowers the taxable value of your property and the amount of property taxes you owe. For example, on a home valued at $200,000 the 20% homestead exemption from the city reduces the home's Taxable Value to $160,000. If you also receive the senior exemption, the Taxable Value is reduced by another $36,000 to $124,000. The city's property tax rate is applied to the $124,000 Taxable Value to determine the amount of taxes you owe to the city. Other taxing entities also offer a senior exemption. You can learn more on our Senior Exemption / Freeze page. 

Not sure if you have a homestead and / or senior exemption on your property? You can check your status with the Tarrant Appraisal District at https://www.tad.org/ or give them a call at 817-284-0024. Once you have an exemption, it will stay with you as long as you own the property. You do not need to reapply each year.

8. What would be the result if NRH's property tax rate were further reduced?

Each decrease in the property tax rate by a penny would reduce the average NRH residential tax bill by $23.37 annually or $1.95 per month.

Each decrease of a penny on the property tax rate would reduce revenues to the city’s general fund by $635,182.

9. Why does my property value increase every year?

Property values are set by the Tarrant Appraisal District (TAD) and may decrease, increase or remain the same from year to year. Property values are based on a number of factors including current housing market conditions. Overall, existing property values decreased from 2009 to 2011 and it was not until 2014 that they returned to pre-recession levels. There was essentially no increase in existing home values in 2015. While property values have increased since 2016, it is important to note that the taxable value has not increased as much as the market value due to state mandated limitations on value increases for residential homesteads and exemptions offered by the city. While senior and disabled residents may see their property values increase, their tax bill will not increase above the amount they paid in the year that they qualified for the tax ceiling, unless they buy a new home or add to on to their home. The chart below shows the change in both the average taxable value and average market value for single family homes in North Richland Hills. 

10. Can I protest my property value?

Yes. To protest a property tax appraisal, you must file a notice of protest with the TARRANT APPRAISAL REVIEW BOARD. As a general rule, the deadline for filing is MAY 15, or the deadline printed on the Property Value Notice from the Tarrant Appraisal District, whichever is later.  

Tarrant Appraisal District has extended the protest deadline for 2023. A notice posted today atop the homepage of TAD.org states: "Any 2023 protests filed after May 15 but before May 30, 2023 will be considered a timely filed protest this year."  

11. How do my City property taxes compare to other taxes I pay?

The tax you pay to the city equals around 22.8% of your overall property tax bill. Over half of your property taxes, 53.2%, goes to the school district, with the rest going to county agencies.

While it does not collect property taxes, the State of Texas collects around $2,000 in sales and other taxes per person per year. (Year: 2015, Source: State)

The federal government collects more than $10,000 per person per year in income taxes. (Year: 2015, Source: Federal)

12. How is the senior / disabled tax ceiling applied?

The senior / disabled tax ceiling (also known as a tax freeze) ensures that a senior or disabled person will not have a city tax bill any higher than what was paid in city taxes in the year the homeowner turns 65 or becomes disabled, even if there are increases to their property value or the tax rate.

The amount a senior or disabled homeowner pays in city taxes can decrease if changes to the appraised value and tax rate equal an amount lower than their frozen amount.  However, if in subsequent years the value increases and/or the tax rate increases, the homeowner can pay more in property taxes but not more than the amount previously frozen. The cap does not reset. 

If improvements are made to the home (such as an addition, not general maintenance type improvements), then the tax bill can go up by the amount of taxes related to the improvement.  This amount added to the previously frozen amount would then become the new ceiling on the amount of taxes a homeowner would pay.

If a homeowner benefits from the freeze, sells their home and buys a new home of higher value, the freeze will apply to the new home at the same proportion as the freeze applied to the home they sold.

The tax freeze may be passed on to a surviving spouse if the surviving spouse is 55 years of age or older at the time of the eligible homeowner’s death and continues to reside in the residence.

A senior / disabled tax ceiling is in place for 1 out of 4 homeowners in North Richland Hills. This number continues to grow each year. To verify that you have the senior / disabled tax ceiling in place, contact the Tarrant Appraisal District at 817-284-0024.

13. What is the breakdown between maintenance and operations and debt service?

There are two parts to the tax rate: the maintenance and operations (M&O) rate that goes to the day-to-day operations of the city and the interest and sinking (I&S) rate that goes to the city's debt service. 

Year	M&O Rate	I&S Rate	Total Tax Rate
FY 2022/23	$0.347744	$0.200228	$0.547972
FY 2021/22	$0.34886	$0.22332	$0.57218
FY 2020/21	$0.34361	$0.23209	$0.57570