Property Taxes
The State of Arkansas does not have a property tax; however, Arkansas cities and counties do collect a property tax, which is the principal source of revenue for funding local public schools.
Arkansas is blessed to be in the Top 10 in the nation for the lowest real estate property taxes in America. Combined with low taxes, low housing costs and 4 distinct seasons, Hot Springs Village is a great choice to live, work and play. Check out our Discovery Packages and see for yourself why Hot Springs Village is one of the premier retirement/relocation destinations in the South.
| Rank | State | Effective Real-Estate Tax Rate |
Annual Taxes on $205K Home | State Median Home Value |
Annual Taxes on Home Priced at State Median Value |
| 1 | HI | 0.27% | $560 | $587,700 | $1,607 |
| 2 | AL | 0.42% | $854 | $137,200 | $572 |
| 3 | CO | 0.53% | $1,076 | $313,600 | $1,647 |
| 4 | LA | 0.53% | $1,091 | $157,800 | $840 |
| 5 | DC | 0.55% | $1,122 | $568,400 | $3,113 |
| 6 | DE | 0.56% | $1,153 | $244,700 | $1,377 |
| 7 | SC | 0.57% | $1,174 | $154,800 | $887 |
| 8 | WV | 0.59% | $1,208 | $115,000 | $678 |
| 9 | WY | 0.61% | $1,247 | $213,300 | $1,298 |
| 10 | AR | 0.63% | $1,290 | $123,300 | $776 |
Source: https://wallethub.com/edu/states-with-the-highest-and-lowest-property-taxes/11585/
Personal Income Taxes
Personal income tax is levied statewide only; not on the local level. The following information is from 2020.
For incomes less than $22,200 per year:
| Taxable Income | Tax Rate |
| $0 – $4,499 | 0.0% |
| $4,400 – $8,899 | 2.0% |
| $8,900 – $13,399 | 3.0% |
| $13,400 – $22,199 | 3.4% |
For incomes between $22,200 and $79,300:
| Taxable Income | Tax Rate |
| $22,200 – $37,199 | 5.0% |
| $37,200 – $79,299 | 6.0% |
For incomes more than $79,300:
| Taxable Income | Tax Rate |
| $79,301 and above | 6.6% |
Incomes between $79,300 and $84,600 shall reduce the amount of income tax due by deducting bracket adjustment as set forth below:
| Taxable Income | Tax Deduction |
| $79,301 – $80,300 | $440 |
| $80,301 – $81,300 | $340 |
| $81,301 – $82,500 | $240 |
| $82,501 – $83,600 | $140 |
| $83,601 – $84,600 | $40 |
| $84,601 and above | $0 |
Source: https://www.arkansasedc.com/why-arkansas/business-climate/tax-structure/personal-income-tax
Sources of Income Not Taxed in Arkansas:
- Social Security benefits
- Military pensions
- Inheritances and estates
- Railroad retirement benefits
Gas Prices in Arkansas
Gas prices in Arkansas are lower than the national average. Learn more information from AAA.