Montgomery County has recently changed the Tax Assessment Appeal Deadline from September 1 to August 1. Not familiar with Tax Assessment Appeals? Read below for more information and schedule a consultation today!
The majority of property owners do not challenge their property taxes. Since localities use vastly overbroad methods in calculating these assessments, a successful challenge could save you a significant amount of money. With the incidence of overcharged and overpaid real estate taxes at a whopping 40%, appealing your assessment could be considerably profitable. This is true especially in times of economic decline where property values in general have been decreasing. Here is some basic information about the process of appealing your property taxes.
What is property assessment?
Property Assessment is a percentage of the market value of your property. The assessment is how the taxing authorities determine the amount of real estate taxes you pay.
How is the Assessment and Taxes Calculated?
MARKET VALUE x ASSESSMENT RATIO = ASSESSMENT
ASSESSMENT x MILLAGE RATE = TAXES
Individual taxing authorities set the tax rates for their respective municipality and school districts which are then applied to the assessment to determine the taxes due.
Appealing a Tax Assessment
All property owners are given the right to appeal any assessment once a year. The deadline for filing an assessment appeal is August 1 to be effective for the following year. To begin the appeal process, an Assessment Appeal Form must be filed along with the appropriate filing fees. Fees range from $50.00 (fifty) dollars for a single family residence to $200.00 (two hundred) dollars for commercial properties.
Once an assessment appeal is filed, the Board of Assessment Appeals office will issue a hearing date, notifying you and the appropriate taxing authorities at least twenty (20) days prior to the hearing date. At the hearing you will need to present evidence of the market value of the property.
Following the hearing, usually within sixty (60) days, a written notice of the decision of the Board is sent to the property owner and taxing authorities.
Why Appeal Now?
Due to the current economic conditions property values are at a significant low point. This reassessment now will not only lower your taxes for this year, but since the county only reassess values about every ten years, the benefits could last at least that long. Getting the reassessment now will allow for the greatest benefit in the years to come.
The process of appealing your real estate taxes is one which may be extremely beneficial to your finances. Please feel free to contact us with any questions you have about the process or to start the appeals process before the August 1st deadline.