Asheville -- July 17, 2026: The Asheville City Council has approved a new property tax rate after recent changes in North Carolina law required local governments to calculate taxes using older property values instead of the county's newly completed reappraisal.
During its meeting this week, the council voted 4-2 to adopt a revised property tax rate of 50.78 cents per $100 of assessed property value. The previous rate was 37.69 cents per $100.
While the higher tax rate may appear to signal a tax increase, city officials emphasized that the adjustment is intended to be revenue neutral. The change was necessary after the North Carolina General Assembly passed legislation requiring Buncombe County and municipalities to temporarily use older property assessments rather than updated 2026 reappraisal values.
Because the taxable property values are now lower than expected under the city's original budget calculations, officials said the tax rate had to increase to generate the same amount of revenue already approved for city operations.
The revised rate allows Asheville to maintain its previously adopted $275.7 million fiscal year 2026-27 budget without requiring additional budget reductions or major service changes.
The issue stems from state legislation that paused the use of Buncombe County's recent property reappraisal for this tax year. The measure was intended to address concerns following Hurricane Helene and the widespread impact the storm had on property owners and local governments throughout Western North Carolina.
City leaders acknowledged that the situation has created confusion for many residents who may assume the higher tax rate automatically means larger tax bills. Officials stressed that the tax rate cannot be viewed by itself because it is now being applied to older property assessments rather than the newer values that had been expected when the city's budget was originally prepared.
Individual property owners could still see differences in their tax bills depending on how their property's assessed value compares under the previous assessment versus the postponed reappraisal. City officials encourage homeowners and business owners to review their property assessments carefully when tax notices are issued.
Several council members voiced frustration with the state's decision, saying the last-minute change complicated local budget planning and made it more difficult to explain the tax situation to residents. Supporters of the adjustment argued that approving the revised rate was necessary to keep city finances stable while complying with state law.
The decision also affects commercial property owners, developers, and businesses throughout Asheville, many of whom closely monitor property tax changes as part of their operating expenses and long-term investment planning.
With the revised rate now approved, Asheville will move forward with its adopted budget while continuing to monitor any additional guidance or legislative action from the state regarding future property assessments.
Residents seeking more information about their individual property assessments or upcoming tax bills are encouraged to contact Buncombe County Tax Administration or visit the City of Asheville's website for additional details.