Property Tax Appeal Ideas

We have been overwhelmed with requests for Competitive Market Analysis reports from our past and future clients and thoughts on appealing the recent property tax notifications that have been received. Fo CMA requests you can email us at Robin@RobinMartinAssoc.com.

Below are some helpful highlights that our Broker, Keller Williams North Atlanta, shared with us recently and feel it could be of help and answers some of your questions.

HOW TO FREEZE YOUR TAX VALUE

Under state law, county assessors offices can’t raise property tax values for 2 years after an appeal has been settled. However, they maintain that this only applies if an appeal reaches the Board of Equalization, one level above them in the appeals process. Here’s what you must do to make your appeal stick for 2 years.

• First, indicate that you want to lodge your appeal with your county’s Board of Equalization and Superior Court when filing your initial appeal (choose option for “non-binding arbitration”)

• Next, when the county Board of Assessors sends a decision, mark that you do not accept the proposed value and reiterate that you wish to take it further to the Board of Equalization.

•To qualify for the freeze, the value must be reviewed by the equalization board with a decision rendered from the assessor’s office.

Homeowner, or representative, may have to show up at a scheduled hearing to proceed with the process.

What Sales can be used to contest the value?

In determining fair market value, the tax assessor must include recent sales of foreclosed homes, short sales and sales at public auction as well as other sales of comparable properties. However, an APPRAISAL would carry the most weight.

Can the freeze be lifted (taken away)?

If a taxpayer files another appeal during the two successive years, or if substantial additions are made to the property (permits pulled), the freeze is lifted and the assessment could go up.

Does the county have to show me the information it used to come up with my assessment?

If a taxpayer asks for documents used in making the assessment, the Board of Tax Assessors must provide it within 10 business days.

Can I email my appeal?

Gwinnett and Fulton counties have electronic appeal processes. In Cobb, Clayton, DeKalb, Forsyth, Paulding and other metro counties, you need to either hand-deliver your appeal or send it by U.S. mail and have it postmarked with a date, to show that the appeal was made within the 45-day period allowed after assessments are mailed. Metered mail may not be accepted as proof that you filed the appeal on time.

Can I have an attorney or outside appraiser I hired attend the appeal hearing with me?

You have the right to an agent or representative at a hearing, though you may be required to provide his or her name in advance of the hearing. You may want to calculate whether the amount you might save in taxes would make hiring a representative worthwhile.

Can I submit an independent appraisal as evidence?

Documentation you can submit includes recent appraisals, photographs, sale prices, repair estimates and comparable property values in your area. A 2015 law now requires the board of assessors to consider independent expert appraisals

Do I have to pay any fees to fight the assessment?

There’s no cost for an appeal to a board of equalization, unless you hire an agent or lawyer. If you choose to appeal to Superior Court or go to arbitration, you pay an up-front fee (typically around $25), though you get the money back if you prevail.

Does it matter where I file my initial appeal?

A state law entitles taxpayers to a two-year freeze on values after setting a dispute. However, the freeze may apply only if an appeal reaches the board of equalization. If the reduction is made by the board of assessors, it may be for only the current tax year.

How did the county come up with the assessed value?

By law, the assessed value is 40% of property fair market value, which is defined as the amount a knowledgeable buyer would pay for the property and a willing seller would accept for it in an arm’s length, bona fide sale. In determining fair market value, the tax assessor must include recent sales of foreclosed homes, short sales and sales at public auction as well as other sales of comparable properties.

How did the county come up with the assessed value?

For example, if your house is worth $200,000 (the assessed value at 40% would be $200,000 times .40 equals $80,000) and your mill is .01—so you would owe ($80,000/$1000) equals $80 in property taxes.

In metro Atlanta the millage rate is normally between 20 and 40 mills—generally speaking—with the homestead exemption amount varying by County.

In the above example if your mills were at 20 in the county that you reside you would owe $80 * 20 = $1,600 in taxes on an annual basis for a 200,000 dollar house—the lower end of the spectrum.

In the above example if your mills were at 40 in the county that you reside you would owe $80 * 40 = $3,200 in taxes on an annual basis for a 200,000 dollar house—the higher end of the spectrum.

Other Benefits Of Elevating Appeal To The Board Of Equalization:

Once the board acknowledges receiving notice, instead of providing the required certified appraisal (or other supporting comps), property owners can elect to have the appeal immediately forwarded to the board of equalization. “This is a huge advantage for the property taxpayer,” Morris said. “The taxpayer can no longer be put off for a year or more.”

You will have the right to record interviews with county officers or employees who are authorized to discuss assessments and to record proceedings before the board of equalization or any hearing officer. You have to provide the equipment and pay the costs, though.

If you file an appeal, you will have the right to interview an employee or officer of the board of tax assessors regarding the valuation of your property. You have to request the interview in writing, and it must be granted within a maximum of 60 days.

How Long Before They Reply?

The county has 180 days after receiving your notice of appeal to review it and notify you of any corrections or changes.

*Disclaimer: This document is not intended to be used as legal advice. Please consult your legal advisor.