Clayton Commercial Property Tax Reduction Consultant as Part of your Proactive Approach

Posted by Daniel Jones on Oct 9, 2019 9:09:00 AM

Savvy hotel owners and managers adopt a proactive approach toward property tax assessments and, thus, toward property tax management. A Clayton commercial property tax reduction consultant plays crucial roles in this matter.

Clayton Commercial Property Tax Reduction Consultant

The Need for a Proactive Approach

Did you know that approximately 40% of the cost of occupancy among hotels is from property taxes? Indeed, the failure to take property assessments and taxes seriously is a costly mistake. The difference between earning a net income and sustaining a net loss for several years can be partly attributed to the failure of foresight on this matter.

With this in mind, savvy hoteliers gain considerable benefits from their adoption of a proactive approach in dealing with property assessments and taxes. Instead of managing property taxes after the fact, they hire a Clayton commercial property tax reduction consultant to:

  • Review the tax assessments issued by the county tax assessors on a regular basis
  • Determine the factors that possibly contributed to the increase in the property’s assessments and call the management’s attention to them
  • Identify the depreciation and obsolescence aspects of the property that can reduce the property’s value
  • Communicate with the Tax Assessor’s Office about the errors in the hotel’s property card and coordinate about making the necessary changes
  • Determine the valuation methods used in calculating the assessed value since these may be inaccurate or unsuitable
  • Coordinate the activities related to the filing of appeals, from the administrative to the judicial phases

Hiring a property tax advisor is, without a doubt, a low-risk yet high-reward plan, which a cost-benefit analysis will reveal. Instead of reacting to a bad business situation, you’re anticipating it and preventing its risk, thanks to the professional assistance of a property tax advisor.

As an hotelier, you shouldn’t wait for the Annual Notice of Assessment to be delivered in to the mail. You also shouldn’t decide whether the property’s assessed value is too high or too low based on the notice alone.

You must, instead, think about property taxes as a line item that will have a significant impact on your bottom line. You should then act in a proactive manner starting with putting your business in a situation where its assessed value is as fair as can be. Your choice of a Clayton commercial property tax reduction consultant will play a big part in it. 

The Need to Find the Best Advisor

But not all property tax reduction advisors can handle the unique demands of the hotel industry. You must then choose them based on their specialized knowledge, skills and resources related to your specific industry, even to the specific asset type. For example, a hotel in downtown Atlanta will be assessed differently than a lakeside resort. 

You’re well-advised to ask relevant questions of the property tax advisors like:

  • What’s your track record in handling similar establishments like ours?
  • What’s your average tax savings in relation to gross profits, among other metrics?
  • What are your approaches when dealing with hardline assessors, such as when a reserve for replacement isn’t being allowed?

The process of property tax reduction is an uphill battle for hoteliers. But with the expert assistance of Fair Assessments, LLC, an experienced Clayton commercial property tax reduction consultant, it’s a battle that can be won!

Topics: Clayton Commercial Property Tax Consultant

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