Taxes in Johnson City
Johnson City's property tax picture layers a rising City of Johnson City municipal rate on top of a Washington County rate that carries a real, disclosed three-way reporting conflict -- plus Tennessee's zero state income tax and a combined sales tax reaching the state's 9.75% maximum in parts of the city.
Exploring the idea of moving?
We can connect you with a local real estate professional who knows the area -- no pressure, just a starting point.
Learn moreThe City of Johnson City's own rate rose for FY2027
Johnson City commissioners adopted a $1.66 per $100 assessed value municipal rate for the Washington County portion of the city -- a 28-cent increase following approval of the city's FY2027 budget. This rate applies only inside actual city limits; smaller portions of Johnson City extend into Carter and Sullivan counties, where a different combined rate applies (not independently resolved this pass). Johnson City's median effective property tax rate is cited at 0.70%, 35% higher than the Washington County-wide average of 0.52% -- the county-wide average includes lower-taxed unincorporated areas outside the city.
Washington County's own rate: a real, disclosed reporting conflict
Sources genuinely disagree here. One cites the county rate at $2.15 per $100 of assessed value. A separate source describes the county approving its 2026 budget "without a tax increase for the 16th consecutive year," implying no rate change. A third headline references a "21% property tax hike" approved by the county commission. These do not reconcile cleanly within this research pass -- possibly reflecting different budget years, a countywide vs. school-district-specific rate, or a proposed-vs-adopted distinction. Confirm the current rate directly with the Washington County Trustee's office before budgeting.
Tennessee's zero state income tax, and a high combined sales tax that reaches the state maximum
Tennessee levies no tax on wages, salaries, or (since 2021) investment income at all (see the state record for the full phase-out history). But Johnson City's combined state-and-local sales tax ranges from 7% in one specific ZIP up to Tennessee's statewide maximum of 9.75% depending on ZIP code within city limits, averaging around 9.214% citywide -- among the small group of Tennessee cities (alongside Memphis, Murfreesboro, Kingsport, and Cleveland) cited at or near that ceiling.
Tennessee's property tax relief program for qualifying homeowners
Tennessee's statewide Property Tax Relief program offers real relief for qualifying elderly (65+), disabled, and disabled-veteran homeowners, administered through the county trustee's office -- worth checking eligibility for given Johnson City's real FY2027 rate increase (see retiring for the fuller retiree-specific picture).
Key takeaways
- The City of Johnson City's municipal rate rose to $1.66 per $100 assessed value for FY2027 (up 28 cents), applying only inside actual city limits in the Washington County portion of the city.
- Washington County's own rate carries a real, disclosed three-way reporting conflict ($2.15/$100 vs. 16 years flat vs. a 21% hike) -- confirm directly with the county trustee's office before budgeting.
- Johnson City's median effective property tax rate is 0.70%, 35% higher than the Washington County-wide average of 0.52%.
- Tennessee's zero state income tax is offset by a combined sales tax reaching 9.75% (the statewide maximum) in parts of Johnson City, averaging around 9.214% citywide.
Want to know what your budget actually buys here?
Tell us a bit about what you're looking for and we'll connect you with someone local who can walk you through real numbers.
Get local guidanceRead the full Johnson City overview for the complete picture -- housing, taxes, climate, and who this place genuinely fits.
Planning a move?
Tell us what you're looking for and we'll connect you with a local expert who can help you make it happen.
Talk to a local expert