Dillsboro is a town in Jackson County, North Carolina, United States. The population was 213 at the 2020 census down from 232 at the 2010 census. Dillsboro was founded when the Murphy Branch Railroad came to the area in the 1880s. In 1882, the first post office in the area opened. Called the Tunnel Post Office, it was named after the nearby Cowee …Dillsboro is a town in Jackson County, North Carolina, United States. The population was 213 at the 2020 census down from 232 at the 2010 census. Dillsboro was founded when the Murphy Branch Railroad came to the area in the 1880s. In 1882, the first post office in the area opened. Called the Tunnel Post Office, it was named after the nearby Cowee Tunnel. In 1882, the postmaster, William Allen Dills, built a large home on a hill overlooking the Tuckasegee River, later the home of Charles Joseph Harris and now The Riverwood Shops. The unincorporated village was called Depot, New Webster, and Webster Station until the state legislature had its name officially changed to Dillsboro when the village was incorporated as a town in 1889 to honor William Allen Dills, the town's founder Railroad executive Alexander Boyd Andrews suggested the town be named Dillsboro.
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