The commercial property tax appeal is a multi-layered process guided by critical steps and parties along the way. A county appraisal district (CAD)’s appraisal review board ranks among the most important teams you’ll encounter.

This board plays a key role in reviewing and resolving tax disputes, and can significantly impact an appeal’s outcome. Whether you’re navigating the process alone or working with a professional firm such as Lane, it’s important to understand where the appraisal review board fits in and what to expect along the way. Let’s dive in.

Understanding the Commercial Property Tax Protest Process

Before a case ever reaches the appraisal review board, it moves through a couple of essential stages. Let’s take a high-level look at how the commercial property tax appeals process works.

• Valuation Notice: Each spring, Texas commercial property owners receive a notice of appraised value from their CAD. If they believe their property has been overvalued — which, due to imperfect mass appraisal systems, it likely has — they have the right to protest.
• Filing the Protest: A property owner must file a written protest by the deadline, which is typically by May 15 or within 30 days of receiving the notice. At this point, the property tax appeal is officially in motion.
• Informal Hearing: This first step in the resolution process involves a meeting with a staff appraiser from the local appraisal district. The goal here is to reach a mutual agreement without advancing to a formal hearing.
• Formal Hearing: If no agreement is reached during the informal phase, a protest proceeds to a formal hearing before the appraisal review board (ARB). That board is a panel of local citizens who act as a neutral third party to hear evidence and make a determination.
• Appealing the ARB Decision: If a property owner is not satisfied with the board’s ruling at the formal hearing, they may pursue arbitration or litigation within 60 days of receiving the final decision.

Who Serves on a Texas Appraisal Review Board?

A property owner’s local Texas appraisal review board is comprised of citizens appointed to help resolve valuation disputes, and most counties have separate boards for residential and commercial cases. In areas with populations of more than 75,000 people, three ARB member positions are elected while the rest are appointed by a district judge. In smaller counties, however, every member is appointed.

ARB members are trained to evaluate the evidence presented by both the property owner (or the firm representing them) and the appraisal district, and the goal is to help ensure fairness and impartiality. If you’re interested in learning more, we have a blog post dedicated to who makes up your Texas appraisal review board.

How Much Interaction Will You Have with the ARB During Your Protest?

Every commercial property is different, and so is its property tax protest. The amount of interaction you’ll have with the ARB depends largely on your approach to the appeal — namely, whether you choose to approach it alone or partner with a professional firm such as Lane.

Choosing to handle your commercial property tax appeal yourself means you will be the one presenting your case before the ARB if you fail to reach an agreement during the informal hearing. Property owners who protest on their own behalf are responsible for every stage of a detailed, often time-consuming process that requires a solid understanding of property valuation methods, county-specific procedures and persuasive communication. Duties include:

• Preparing and submitting evidence related to your property and its condition, past taxes, market conditions and the like
• Attending and presenting your case at the informal hearing
• Attending and presenting your case before the board at the formal ARB hearing
• Leading arbitration or litigation efforts in the event that the formal hearing fails to result in a desired outcome

Entrusting your protest to a professional firm such as Lane, however, means turning the entire process over to industry experts who deal in such work each day. (As such, you won’t interact with the ARB at all.)

A professional firm will ensure all documentation is submitted accurately and on time, handle communication with the appraisal district and present your case at both informal and formal hearings and beyond. Their job is to protect your interests and help secure the best possible outcome, without placing more work on your shoulders.

Between the various factors, appraisers and review boards that come into play — and the amount of money at stake with the final decision — navigating the commercial property protest can be overwhelming. Approaching things informed and with the right team by your side can make a tremendous difference. If you have questions about your appraisal review board, wish to better understand how the appeal process works or if you’re interested in learning more about how Lane can help you fight for what’s fair, feel free to reach out at any time. We’re here to unburden your business.