Dallas County property taxes are due by January 31 each year. Bills typically go out around October 1, and any payment not made or postmarked by January 31 becomes delinquent on February 1, triggering penalties and interest that can add up to nearly 40% of the original bill within six months.
When Bills Arrive and When Payment Is Due
Under Texas law, tax bills must be mailed by October 1 or as soon after as practicable.1State of Texas. Texas Tax Code 31.01 – Tax Bills Even though the bill arrives in the fall, it covers the full calendar year from January 1 through December 31.
Your payment must be made or postmarked by January 31 to avoid delinquency. The Dallas County Tax Office uses the U.S. Postal Service postmark, not a private postage meter date, to decide whether a mailed payment was timely.2Dallas County: Tax Office. Deadlines and Delinquency If January 31 falls on a weekend or holiday, the deadline moves to the next business day. Anything not received or postmarked by that date is delinquent as of February 1.
If your mortgage lender collects taxes through escrow, the bill goes directly to the lender rather than to you.3Texas Comptroller. Paying Your Taxes The legal obligation to pay the tax still belongs to you as the owner. Check each year that your lender actually submitted the payment, either by requesting a receipt from the tax collector or looking up your account on the Dallas County Tax Office website. Any penalty from an escrow shortage or lender error falls on you.
What a Late Payment Costs
Once your bill is delinquent, Texas law charges both a penalty and interest, and both grow every month. In February, you owe a 6% penalty plus 1% interest on the unpaid balance. The penalty then rises by 1% each month through June, and interest keeps accruing at 1% per month on top of it.4Texas Property Tax Code. Texas Property Tax Code 33.01 – Penalties and Interest
The combined charges on an unpaid bill build like this:
- February 1: 6% penalty + 1% interest = 7% total
- March 1: 7% penalty + 2% interest = 9% total
- April 1: 8% penalty + 3% interest = 11% total
- May 1: 9% penalty + 4% interest = 13% total
- June 1: 10% penalty + 5% interest = 15% total
- July 1: 12% penalty + 6% interest = 18% total (before collection costs)
On July 1, the penalty caps at 12% no matter how long the tax remains delinquent. Interest, however, keeps running at 1% per month for as long as the balance is unpaid, even after a court judgment.4Texas Property Tax Code. Texas Property Tax Code 33.01 – Penalties and Interest
The July 1 Collection Penalty
If the taxing unit has contracted with an attorney to collect delinquent taxes, an additional penalty of up to 20% may be added on July 1 to cover legal costs. It applies to taxes that became delinquent between February 1 and May 1 and remain unpaid on July 1.5State of Texas. Texas Tax Code 33.07 – Additional Penalty for Collection Costs for Taxes Due Before June 1 The tax collector must send you notice of the delinquency and the pending collection penalty at least 30 days before July 1. When the collection penalty applies, your total charges by mid-summer can reach roughly 38% of the original bill.
What Happens If Taxes Stay Unpaid
Unpaid property taxes create a lien on your property that secures the debt for the taxing unit. The taxing unit can file suit at any time after the tax becomes delinquent to foreclose on that lien, enforce your personal liability, or both.6State of Texas. Texas Tax Code Chapter 33 – Delinquency There is no mandatory waiting period; the right to sue exists as soon as the tax is delinquent.
If the taxing unit wins, the property can be sold at public auction to satisfy the debt. Texas gives former owners a redemption period to reclaim the property by paying the purchase price plus a statutory premium. For homestead properties and properties owned by someone 65 or older or disabled, the redemption window is generally two years. Once that window closes, any remaining interest passes to the purchaser. Even if foreclosure never happens, the lien stays on your property and can complicate a future sale or refinance.
The statute of limitations for collecting delinquent real property taxes in Texas is 20 years, so ignoring the debt does not make it disappear.6State of Texas. Texas Tax Code Chapter 33 – Delinquency
Installment Plans and Deferrals for Qualifying Homeowners
If you are 65 or older, disabled, a disabled veteran, or an unmarried surviving spouse of a disabled veteran who qualifies for certain exemptions, Texas law gives you two separate options that change how the January 31 deadline works for you.
Four-Payment Installment Plan
Qualifying homeowners can split the bill into four equal payments with no penalty or interest. Pay the first 25% before February 1 and include a written notice that you intend to pay the balance in three installments.7Texas Comptroller. Property Tax Assistance – Payment Options The remaining payments are due:
- Second installment (25%): before April 1
- Third installment (25%): before June 1
- Fourth installment (25%): before August 1
There is no application fee. Miss any of these installment deadlines and a penalty applies to the unpaid portion.
Tax Deferral
Homeowners who are 65 or older, disabled, or disabled veterans can also defer property tax payments on a homestead for as long as they own and live in the home.8State of Texas. Texas Tax Code 33.06 – Deferred Collection of Taxes on Residence Homestead of Elderly or Disabled Person or Disabled Veteran A deferral stops any penalty or lawsuit for delinquent taxes, but interest keeps accruing. Deferred taxes and accumulated interest come due once you no longer own or occupy the property. To request a deferral, file an affidavit with the appraisal district stating that you qualify. Once filed, the taxing unit cannot start or continue a collection suit while the deferral is in effect.
How to Pay Before the Deadline
The Dallas County Tax Office accepts payment through several channels:
- Online through the Dallas County Tax Office website by credit card (2.05% convenience fee), debit card (flat $2.85 per transaction), or electronic check (free).9Dallas County. Property Tax – Payment Methods
- By mail with a check or money order. Because the Postal Service postmark controls the payment date, use certified mail if you are paying close to January 31.2Dallas County: Tax Office. Deadlines and Delinquency
- In person at any Dallas County Tax Office location, Monday through Friday, 8:00 a.m. to 4:30 p.m. Cash, checks, cashier’s checks, money orders, and credit or debit cards are accepted.10Dallas County. Tax Office
- Secure drop boxes at tax office locations for after-hours or no-wait submissions.
If you are paying by mail in late January, get the postmark in hand. A missed postmark by one day is the difference between paying what you owe and paying 7% more on February 1.