Can I protest my property taxes? Maybe, it may not be worth the time and effort though once you do your homework. You can find much of the information about the process on the Wise County Appraisal District website. www.Wise-CAD.com. If you do not live in Wise County, your appraisal district may have much the same information.
On this site, you can pull a copy of last year's Tax form and review it to ensure you have the appropriate exemptions. If not, get them filed as soon as you can. You only have until April 30th to file some of the forms. If you aren’t sure if you have the proper exemptions, call the Appraisal district office. They can help you. First, go to the site and click on “Appraisal Information” and a drop down will appear. There are 2 forms you will need, one is “Wise CAD Informal Review Procedures” and “Taxpayer Rights and Remedies”. I suggest you review and print them off, reading through them thoroughly. Highlight the areas you need to know. This will save time later, should you decide to file a protest. Many of the questions that arise, are answered here or in other places on the site, saving you valuable time and effort. It is important also to know your rights when it comes to this process. The state comptroller’s office MUST help advise you on how to file a protest if you need it. On the “Taxpayer Rights and Remedies” document, there is a link on the bottom right of the 2nd page. The process can seem daunting, but they can help you understand and walk you through it. However, be sure to do your homework first so you can speak to the process intelligently. It's important to know though, that the ARB (Appraisal Review Board) can only address the appraised value and items related to the value, not the actual taxing rates or other issues of that sort. Dates are key, so make note. The Notice of Appraised value will be mailed out after May 1st and the deadline to file a protest will appear on the form. You only have a limited amount of time to file the protest and there is a protest form provided with the Notice, as well and the due date at the top of that form. By law, the state says it is due within 30 days of the date it was MAILED, not the date you received it. Be sure to watch for it in your mail and if you think you may need to begin the protest process, do so quickly or you will miss out for that tax year. If you need more info about understanding the tax form itself, check out my previous video “Want to know about property taxes?” This same document has great information to help you get started, such as: How to protest the values What can be protested How to resolve concerns informally What steps to take to prepare for the formal hearing What to do if you do not agree with the decision The most common protest is the appraised value given the property by the appraiser. There is a strange dichotomy that we as realtors see a lot. People want to sell their property for the highest amount of money they can get, but no one wants to pay taxes on that amount. So how does the appraisal district determine your value? The state requires that every CAD value the properties within their boundaries every 3 years. There are different methods that can be used based on the density of the area, however often it is basic market value. In years past it has been much less, between 20-40% less than market, however, the districts are now required by the state to use ‘market’ value. There is a description on the site in the boxed marked “Truth in Taxation.” There is also a box on the home page of the site “Helpful Video’s” which may help you understand all of this as well. Also, one of the videos is entitled “How to Present your Case at the Appraisal Review Board Hearing For Homeowners.” If you want to specifically protest the value, you can either do the homework yourself or contact me or another realtor. Many of us are willing to help you get the basic data together. To gather the data a realtor does a CMA, or comparative market analysis, which is a list of sold properties that match yours. We look at the age, the square foot, the location, and amenities and try to find homes that have sold recently which are similar. This gives us an average of price per square foot. Then we multiply that by the square foot of your property, to get the value. It can be a simple process, however, can take a lot of time to find homes that match yours if you are not in an actively selling subdivision. The key is that the homes you are comparing to are sold. Only realtors can see how much a home sold for, that information is not provided on any of the internet sites. The internet sites show the listing price, which is rarely the same as the amount a property sold for. Realtors can find the homes that match and look at the date they sold. Many realtors do not charge for this service, so don’t be afraid to reach out. The date the home sold is important because the market fluctuates. A home that sold 2 years ago is not equal value because the market has fluctuated. We try to use homes that have sold in 3 to 6 months prior to the date we are gathering the data. This eliminates any market issues that can arise. Many people often find out however, that their property is appraised appropriately and going through the protest process is going to end up being a headache and waste of time. So be honest with yourself about your property and save yourself a lot of heartburn. Also, do not try to manipulate the process and use comparison properties that are dissimilar to yours. The appraisal district employees investigate and may drive to your property and possibly the comparison property. Using a 1952 frame home that is 2 blocks away as a comp, when your home is a 2001 brick home, does not work effectively and will just muddy the process. If you are ‘building’ your home or have had damage done, reach out to the appraisal district to find remedies that may help without going through the formal protest process. Your appraiser can be really helpful in these situations. Taking time to understand all the various options available for you can save you a lot of money, so do your homework and save yourself a lot of time and energy.
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