The commercial property tax protest is something a property owner should tackle each year. It’s a safeguard against imperfect county appraisal district (CAD) systems. It’s a way to make sure your appraised values align with market trends. Most importantly, it’s an opportunity to save your business thousands of dollars or more over time.
Going in prepared is the best way to position your case for success, but with so many variables at play — and so much money at stake — knowing where to begin can be complicated. That’s where your Lane team comes in. Our property tax experts have pulled together insights to help you get your next appeal off to a successful start. Read on for guidance into everything from the types of information to begin gathering to when that information is due and where to turn for protest season support.
Commercial property tax protests are governed by state and local laws, and tightly bound to applicable deadlines. As such, just one overlooked calendar date can spell a swift end to your appeal. Before beginning the process, take a moment to research every property tax protest deadline that could impact your efforts.
In Texas, for instance, property owners generally have until May 15 (or 30 days following receipt of notice) to file a property tax appeal. Those working with a professional property tax firm such as Lane need to have their information pulled together even sooner, as it takes time for a team to formulate a quality case. Other Texas deadlines include, but are not limited to:
We recommend joining forces with a professional firm that can handle the deadlines for you. If you choose to approach your appeal on your own, mark every applicable property tax protest deadline down and refer back regularly to ensure your efforts remain on track.
Lane Team Tip: Our Tax Season Calendar pulls important deadlines together into one convenient place. Download your copy today from our Resources page.
Having a general idea of the steps associated with fighting your unfair commercial property taxes is the best way to put your mind at ease as a property owner — and to help you approach the coming work with confidence. Here’s a high-level look at what to expect.
Lane Team Tip: Interested in learning more about what a protest entails? Our Understanding the Commercial Property Tax Appeals Process blog post is a great resource.
The most successful commercial property tax appeals are those backed by data. It’s important to present a clear picture to the CAD regarding your commercial property’s current condition, what your local market dictates similar properties are selling for — and why your assessed value isn’t accurate. Remember, CADs typically streamline their processes with systems that appraise multiple properties at once. Although these systems improve efficiency, they often result in commercial properties being compared against structures and standards that don’t make sense — and lead to overinflated valuations.
Begin gathering property tax protest evidence early in the process to ensure adequate time to build out your argument. Pertinent data includes:
Gathering property tax protest evidence can take a tremendous amount of time, but efforts are well worth it when they result in a successful appeal. Whenever possible, we recommend entrusting the work to a professional firm such as Lane. Not only do professionals understand exactly what sort of information can best prove your case, but they often have access to data resources most commercial property owners don’t. Although a firm will require basic property, tax and past protest information from you, they can largely take on the remainder of the information-gathering themselves.
As we’ve mentioned already, although it is possible for a commercial property owner to protest their overinflated property taxes on their own, doing so isn’t advisable. The complex nature of the appeal process, paired with the amount of money at stake, makes it crucial to approach the work strategically. We find that means placing trust in a professional firm.
Data shows that property owners represented by a professional firm are substantially more likely to reduce the amount owed. By having an expert in your corner, you free yourself from time-consuming tasks such as documentation submissions, have someone to guide you through every stage and can take comfort knowing team is prepared for any potential curveballs to come — because they’ve likely seen them before. On top of everything else, most firms don’t require payment until they’ve successfully lowered your rates, eliminating a property owner’s financial risk.
Talk with fellow property owners about companies they’ve worked with in the past, what their experience was like and whether they’d do business with them again. Then do your own research, seeking out firms online and scheduling meetings to determine your best fit.
Lane Team Tip: Looking for guidance in your search for a quality property tax firm? Visit our Why (and How) to Hire a Commercial Property Tax Protest Team for helpful tips.
The process of protesting your commercial property tax can seem daunting, but it can pay off in big ways. If you have questions about any of the above, or if you’re interested in doing business with Lane, feel free to contact our team. Our experts are happy to help and here to unburden your business.
