Property Taxes


Property Tax 101

  1. Why Your Property Taxes Change from Year-to-Year

Why is it necessary to pay Property Taxes?

Property taxes are your share of the total cost of local government. Taxes help support a variety of resources in the county, cities and schools. The City of Pipestone commits to managing our share wisely and transparently. 

The revenue generated from property taxes is crucial for city officials to allocate funds for various municipal services, such as public safety, infrastructure maintenance, parks and recreation, education, and administrative functions. City officials carefully distribute the tax revenue to ensure essential services are adequately funded.


Authority to Tax

Property tax provides the greatest percentage of city tax revenue. The Legislature authorizes Minnesota cities to levy and collect taxes on real property. 

How are Property Taxes determined?

  • Property Value
  • Property Use and Classification
  • Homestead Exclusion Credit Qualification
  • Added Special Assessments
  • Tax Levies (City / County / School Districts / Special Districts)


Tax levy basics 

Cities, Counties, School Districts, and Special Districts in Minnesota generally have only one source for tax revenue—the property tax. Therefore, money not available from other revenue sources will need to be raised through the property tax. After listing all the anticipated non-property tax revenues, including the various state aids, the city subtracts that total from the anticipated expenditures. In most cities, this leaves a substantial amount of money the city will need to raise through a property tax levy.


Property Tax Timeline: Property Tax Process diagram

January

  • Value, classification and use are assigned to each property during the annual property assessment completed by the licensed City Assessors.
  • This assessment data reflects property as of January 2nd of the current year. 

March

  • Valuation notices that show how your property is assessed this year are mailed out by the County Auditor's office.
  • This information will be used to calculate your property taxes next year.

June - September

  • Estimated taxes for the next year are calculated during local budgeting processes.
  • Truth-in-taxation meetings are scheduled for property owners to provide input on the proposed budget and levies. 

Mid to late November

  • Proposed levies and tax notices for the next year are sent out by the County.

November 25 - December

  • Truth-in-taxation meetings are held. Pipestone's T-N-T input meeting typically takes place at the first Council meeting in December.
  • Local budgets are finalized.

January and February of next year

  • Final taxes are calculated by the County.

March of next year

  • Property tax statements for taxes payable this year are mailed out by the County. Taxes are due bi-annually on May 15th and November 15th.


How can I find my Property Tax information?

You can find information on Pipestone County properties including but not limited to taxes due (tax statement), current and prior year taxes, assessment values, tax parcel description, and sales information by visiting the Pipestone County website: