Resources · Paying your taxes
Penalties for Not Paying Property Taxes in Texas
Reviewed by Daniel Ortiz · Senior Property Tax Consultant · Last reviewed September 2026
Texas property taxes are due January 31. Starting February 1, penalty and interest add up fast: 18% by July, plus collection fees that can reach 20% on top.
The Penalty and Interest Schedule
| Paid in | Penalty | Interest | Total added |
|---|---|---|---|
| February | 6% | 1% | 7% |
| March | 7% | 2% | 9% |
| April | 8% | 3% | 11% |
| May | 9% | 4% | 13% |
| June | 10% | 5% | 15% |
| July | 12% | 6% | 18% |
After July, the penalty stays at 12% and interest keeps adding 1% a month until the tax is paid.
Collection fees. Taxing units that hire a collection attorney can add a penalty of up to 20% of the total owed. For real property, it’s added to taxes still unpaid on July 1. For business personal property, it can start earlier.
Not getting a bill doesn’t stop the clock. The tax is still due January 31.
What Happens If the Taxes Stay Unpaid
A lien on the property. Property taxes are a lien on the property from January 1 of the tax year. It stays until the tax is paid, and it can block a sale or refinance.
A lawsuit. The taxing units can sue to collect. A judgment adds court costs.
A tax sale. As a last resort, the property can be sold at a tax sale. After a sale, the owner has a right to buy it back: two years for a homestead or agricultural land, 180 days for other property, by paying the purchase price plus a premium.
Can you go to jail for not paying property taxes? No. The tax is collected from the property, not by criminal prosecution.
If You Can’t Pay in Full
Call the tax office before February 1. Options include:
Installment plans. Many tax offices offer payment plans for homesteads, which can limit penalties while you pay. Some homeowners, including those 65 or older, disabled, or disabled veterans, can pay in four installments.
Split payment. Where offered, you can pay half by November 30 and the rest by June 30 without penalty.
Deferral. Homeowners 65 or older, or disabled, can defer taxes on their homestead until the home is sold or no longer their homestead. Interest still accrues, at a lower rate.
The Best Way to Avoid Penalties
Pay on time, and make sure the bill is as low as it should be. A protest each spring lowers the value. Exemptions lower the taxable value. Neither helps after the bill is late.
Alamo Ad Valorem doesn’t give legal advice. If you’re facing a tax lawsuit or a tax sale, talk to a real estate attorney.
This article is general information about Texas property tax, not legal advice. Rules and deadlines can change with each legislative session.
Late Property Tax FAQs
Are penalties ever waived?
Rarely. Narrow exceptions exist, such as for some active-duty military members. Ask the tax office.
Does a protest delay the due date?
No. If your protest is still open when taxes come due, pay at least the undisputed amount on time.
Who do I pay?
The county tax assessor-collector, not the appraisal district.
Lower the Bill Before It’s Due
We protest your value every year so the bill you pay is a fair one. No savings, no fee.