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With the adoption of the Fiscal Year 2018-2019 budget in June 2018, Nags Head's Board of Commissioners adopted the following tax rates:
- The town-wide rate, levied on all properties in Nags Head, is $0.307, while an additional tax of $.175 (same rate as the previous year) has been levied in the Municipal Service District (MSD) which is comprised of all properties east of South Virginia Dare Trail and South Old Oregon Inlet Road.
One penny of revenue in the MSD generates $79,548. In addition to this revenue, Dare County has committed to at least half, or $12,573,356 million, of the estimated $25,546,711 million project cost. The contribution from the County, along with the funds from the Town's existing capital reserve fund, enables the Town to cover the debt service for the project with a lower MSD tax rate than what was established for the original project.