Challenge Your Property Tax Assessment to Cut Your Business Costs
Challenge your property tax assessment, if you plan to start a business, are currently running a home-based business or operating a business out of an office building or piece of real estate that you own. Chances are--in this current economic down cycle--your property is worth less, perhaps a lot less, than it was a year or two ago or the last time it was assessed.
If you are simply a homeowner, this is a great thing to do to cut your costs; if you will start a business, it is another great way to cut your costs and boost your profits. As you may know from reading other pages here, we want you to spend just as little as you need to.
The reality is that in your jurisdiction and in jurisdictions around the country, literally thousands of individuals are challenging their property tax assessment. The states and localities where interest is high in challenging property tax assessments are Maryland (MD), California (CA) (particularly areas like San Diego County, where there was a huge appreciation and then drop in real estate prices). But it isn't only areas like California where interest is high, also included on the list is Virginia (VA) (particularly wealthy Fairfax County), Indiana (IN), Pennsylvania (PA) (particularly Allegheny County), Georgia (GA), Illinois (IL), Florida (FL) and Texas (TX) to name just a few.
Take these steps to prepare to get a hearing on your tax bill:
Expect Push back
Expect a push back from the tax officials who want to protect their revenues. They will challenge your claims. One person who went to protest his level of taxation said that his house was no longer worth $500,000 but now was worth only $400,000. the hearing commissioners had only one question for the property owner--how much insurance do you carry on your property? The man's sheepish answer was...$500,000. Why do you carry $500,000 if the place is only worth $400,000, the owner was asked. Because, he said, it would cost $500,000 to replace the house. The case was dismissed. The next person up, now prepared for the same question, responded that he only carried $400,000 in insurance. The commissers asked him to submit a copy of his insurance policy. That person left and did not return.