Gross property tax levies across Wisconsin collectively climbed by 5.8% on December 2025 tax bills, marking the largest increase in nearly two decades, according to the Wisconsin Policy Forum's 2026 Property Values and Taxes DataTool. The gross figure encompasses all levies imposed by every local government and school district in the state, calculated before any state tax credits are applied to reduce net bills for homeowners. Some regions experienced far steeper jumps: gross levies for all taxing authorities in the city of Madison surged 11.9%, the highest since 1985.
The 5.8% statewide growth in gross levies easily exceeded the rate of inflation, which stood at 2.6% for 2025. Meanwhile, equalized property values as of Jan. 1, 2026, rose by 7.6% statewide compared to the previous year—a robust rate of expansion, though it represented the smallest uptick since 2021. That growth was still enough to push Wisconsin past a significant threshold, with total statewide equalized property values topping $1 trillion for the first time in January. Residential property values grew by 7.1% in 2026, a substantial increase but the smallest since 2020, while commercial property values jumped 9.1%. Despite the surge in gross levies, the statewide gross property tax rate dropped by 2.3% on December 2025 tax bills, marking the 12th consecutive year of decline, made possible by the continued brisk growth in property values.
In Dane County, the gross tax levy for all local governments increased by 9.9% on December 2025 tax bills, the most since 1992, with school districts comprising both the largest and a growing share of total property tax bills. Equalized property values in Dane County rose by 5.9% in 2026, while the city of Madison saw values grow by 5.0% to $53.2 billion—in both cases, the least since 2021. Residential property values in Dane County climbed 5.3%, the smallest gain since 2020, and in Madison they rose 4.7%, the lowest amount since 2021, with both lagging the statewide average. Commercial values in Dane County increased by 7.4%, a slowdown from 11.5% in 2025, while Madison posted a 5.6% increase—significantly lower than 2025's 13.9% but continuing an upward trend, though both trailed the statewide average of 9.1%.
The report explains that the increase in tax levies is primarily driven by school district tax levies, with key factors including voters in a large number of districts approving referenda to boost their tax levies, an increase to district revenue limits this year stemming from a partial veto by Gov. Tony Evers in the 2023-25 state budget, and a freeze in state general school aids by lawmakers and Evers in the 2025-27 state budget. These forces combined to shift more of the funding burden onto local property taxpayers. Evers and lawmakers also attempted unsuccessfully last spring to pass legislation that would have lowered property and income taxes, leaving the increased levies in place without offsetting relief.
The interactive tool from the Wisconsin Policy Forum features data for all 72 counties and more than 1,840 cities, villages, and towns across Wisconsin, part of a series meant to provide residents with essential information about their schools, local governments, and economy. Property values in the city of Madison and in Dane County remain the largest in the state for municipalities and counties respectively. The decline in gross property tax rates despite rising levies shows that property value growth can cushion the impact on individual taxpayers, though the gap between levy increases and inflation signals growing costs for local services funded by property taxes.