What is a MUD tax in Montgomery County?
A municipal utility district (MUD) is a local government that borrows money to build water, sewer and drainage infrastructure for a new subdivision, then levies its own property tax to repay that debt. It is charged on top of county, school district and city taxes.
Why MUDs exist
When a developer builds a subdivision outside city limits, somebody has to pay for water lines, sewer lines and drainage. A MUD is the mechanism: the district issues bonds, the developer builds the infrastructure, and homeowners repay the bonds through a district tax over decades.
What it costs
MUD rates vary widely between districts. Because the rate services debt, it tends to fall slowly as the district builds out and more homes share the burden — but only if the district is not issuing more debt. A district with a large voter-authorized but unissued balance has explicit room to borrow more.
Every district page on this site publishes the authorized, outstanding and unissued figures from the district's own Comptroller filing. Start at the district index.
How to check a specific address
The appraisal district record for a parcel lists every taxing unit that contains it. Look the parcel up with the Montgomery Central Appraisal District, then find each unit named on that record in the district index or the school district table.
What this means when comparing two homes
Two homes at the same price in Montgomery County can carry materially different annual tax bills purely because one sits inside a MUD and the other does not. Compare the total rate, not the sale price alone.
About the advertiser
This site is paid to advertise Alta Homes (Alta Development Group LLC), a homebuilder active in Montgomery County, Texas. Figures on this page come from government records, not from Alta Homes.
Contact Alta Homes Call 1-888-904-7172
Sources
- Texas Comptroller Special Purpose District Public Information Database — retrieved 2026-08-04. Self-reported by each district to the Texas Comptroller and not independently verified by the Comptroller.
- Texas Comptroller Property Tax Assistance Division — Property Tax Rates and Levies — retrieved 2026-08-04. Adopted rates for tax year 2025. Rates for the following year are adopted between August 15 and September 30 and are not published by PTAD until the following January.
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