Florida Property Tax Appeals

Posted by Daniel Jones on Aug 10, 2012 3:55:00 PM

Florida AppealsProperty taxes are a critical source of income for both state and local governments. Property owners nation-wide are subject to taxes on their properties, both commercial and private. Property values and their associated taxes in the state of Florida are highly unique and require an intimate understand of the state's tax code. If a property owner feels that their property taxes are too high based on the states valuation of their property value, they can file a property tax appeal to reduce the valuation of their property and the associated taxes. Such appeals are not a common occurrence in Florida. According to an article in the Palm Beach Post, less than five percent of property owners typically file a property tax appeal in the state of Florida. However, when these appeals are filed and they are successful, the results can be dramatic. Richard Nilsen, the co-founder of a company called Mattress Giant filed a challenge on the county's $14 million valuation of his property and netted himself a savings of $124,000. Such results are, of course, not typical as the average value of an individual's property rarely approaches such a valuation, but the underlying message remains the same: property tax appeals in Florida can yield significant financial rewards if pursued appropriately.

Property assessments are generally calculated using retroactive market data as of January 1st of each calendar year. Other information that a property assessor can use to calculate value is sales from previous years, location, and the size of the building in question. Conflicts over property valuation can arise from factually incorrect information or a potential difference in opinion. To file a reduction request, one must present evidence indicating that the value of the property in question is actually less than that indicated by an appraiser. This can be done both by ones self, or through the use of a tax representative. Utilizing the latter method is much more effective as a tax representative generally has a considerably larger understanding of Florida's tax law and more experience dealing with property tax appeals. Most tax rep's work on contingency so there may be no fee unless you win your appeal.

In much the same way that you would not allow the Internal Revenue Service to unilaterally determine your income tax for any given calendar year, nor should you allow state or local governments to have the final say in determining your property's value and its tax. Consult a tax representative, lawyer, or do your own research and determine for yourself whether a property tax appeal is something that can be of benefit to you.  The savings that one could potentially gain from filing such an appeal are considerable.  Lastly, consider that filing such an appeal is not only a way to save money on taxes, but also a way to prevent yourself from being unfairly targeted by government appraisers who may lack the correct information to fairly appraise your property and thus, determine your appropriate property taxes.

Fair Assessments LLC is an Atlanta GA based property tax management firm that appeals commercial property values in Florida. Florida, as in the rest of the USA, was hard hit in the latest real estate depression. Much of the focus has been on residential real estate values, but this is only part of the story. As the economy goes, so goes residential values, and as a result commercial values as well. With high unemployment there are fewer tenants for the same amount of space and rents decline. When rents decline, values decline. The  Federal Government has said that the recession ended in 2009, but there is still weakness in the real estate sector, and opportunity to save money.

 

Topics: Commercial tax appeals, Value adjustment board, filing an appeal, petition for appeal, Florida appeals, Commercial property tax appeals, Florida property tax, Florida Property Tax Appeals

property tax appeals

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