Property (Ad Valorem) Tax

The property tax is the largest source of funding for local services in Texas. Property taxes help to pay for public schools in the Hutto Independent School District, municipal services in the City of Hutto, Williamson County roads and services, Hutto Fire & Rescue fire protection and many other services.

Property taxes are based on monetary value. For example, the property tax due on a vacant lot valued at $10,000 would be ten times as much as the tax for one valued at $1,000.

Property taxes are local taxes. Local officials establish a value for your property, set tax rates and collect your taxes. State law, however, governs the process.

The Texas Constitution sets out five rules for the property tax. 1) Taxation must be equal and uniform. All property, whether residential or commercial, must be taxed equally and uniformly. No single property or type of properties should pay more than its fair share of taxes; 2) with few exceptions, all tangible property must be taxed on its current market value. (The exceptions include agricultural land and timberland.); 3) all property is taxable unless a federal or state law exempts it from the tax. It authorizes the Texas Legislature to provide certain exemptions. 4) property owners have a right to reasonable notice of increases in appraised property value; and 5) each property in a county must have a single appraised value.

Current Property Tax Rates

Taxing Entity Amount Taxed per $100 Property Value
Hutto ISD $ 1.670000
City of Hutto $ 0.520443
Williamson County $ 0.441529
Williamson County ESD #3 (Hutto Fire & Rescue) $ 0.100000
Temple College (applicable to Hutto ISD residents) $ 0.045905
Williamson County FM/RD $ 0.040000
Upper Brushy Creek Water Control and Improvement District
(only applies to certain addresses within Hutto community)
$ 0.020000
Composite Tax Rate for most of the City of Hutto $ 2.84593 or $2.82593

Sales Tax

The composite sales tax rate in the City of Hutto is 8.25%. The rate is comprised of 6.25% for the State of Texas, 1% for the City of Hutto .5% for property tax reduction in the City of Hutto, and .5% Section A (Formerly 4A) economic development sales tax that funds the Hutto Economic Development Corporation.

About Type A Sales Tax:
The Hutto Economic Development Corporation is funded by a half cent sales tax for economic development that was approved by Hutto voters in 1997. Organized as a nonprofit 501 (c) (3) nonprofit corporation and subject to Section 4A of the Development Corporation Act of 1979, law dictates how Hutto Economic Development Corporation funds may be expended.

Hotel Occupancy Tax (HOT)

The City of Hutto collects a Hotel Occupancy Tax (HOT) from hotels, motels and bed and breakfasts. Under state law, the revenue for the HOT may be used only to directly promote tourism and the convention and hotel industry. The current composite rate in the City of Hutto is 13%. Of that 7% is levied by the City of Hutto, and 6% is levied by the state of Texas.