Property Taxes in Alaska: Rates, Exemptions, and How They Work (2026)
TL;DR
Alaska has no state property tax, income tax, or sales tax. Property taxes are levied only by boroughs (Alaska's equivalent of counties) and municipalities. Not all areas levy property taxes, as some rural areas have no organized borough. The average effective rate in taxed areas is about 1.04%. Most boroughs offer a senior exemption on the first $150,000 of assessed value. The Municipality of Anchorage and Fairbanks North Star Borough are the largest taxing jurisdictions. Appeal to the borough Board of Equalization.
Borough-Based System
Only organized boroughs and municipalities levy property taxes. Unorganized areas (which cover much of rural Alaska) have no property tax at all. The 19 organized boroughs each set their own rates, exemptions, and assessment practices.
Assessment
Property is assessed at 100% of full and true value in most boroughs. Borough assessors handle valuations, typically updating annually.
Exemptions
| Program | Benefit | Who Qualifies |
|---|---|---|
| Senior Exemption | First $150,000 of assessed value exempt | 65+ or surviving spouse 60+ |
| Disabled Veteran | First $150,000 exempt (or full exemption) | 50%+ disabled veterans |
| Disabled | Varies by borough | Totally disabled |
The $150,000 exemption is set by state law. Some boroughs offer additional local exemptions on top of this.
Unique Considerations
- The Permanent Fund Dividend (PFD) is not related to property taxes but is a separate annual payment to Alaska residents
- Property in unorganized boroughs pays no property tax but receives fewer services
- Some boroughs impose a cap on annual assessment increases
Appeal
- Borough Board of Equalization: File within 30 days of assessment notice
- Superior Court: Appeal within 30 days of the board's decision
Check your Alaska assessment with our free property tax analyzer.
Frequently Asked Questions
What should I know about property taxes in alaska: rates, exemptions, and how they work (2026)?
Alaska has no state property tax, income tax, or sales tax. Property taxes are levied only by boroughs (Alaska's equivalent of counties) and municipalities. Not all areas levy property taxes, as some rural areas have no organized borough.
What should I know about borough-based system?
Only organized boroughs and municipalities levy property taxes. Unorganized areas (which cover much of rural Alaska) have no property tax at all. The 19 organized boroughs each set their own rates, exemptions, and assessment practices.
What should I know about assessment?
Property is assessed at 100% of full and true value in most boroughs. Borough assessors handle valuations, typically updating annually.
What should I know about exemptions?
The $150,000 exemption is set by state law. Some boroughs offer additional local exemptions on top of this.
What should I know about appeal?
Check your Alaska assessment with our free property tax analyzer.