Fulton County Commercial Property Tax Appeal

Posted by Daniel Jones on Feb 24, 2020 11:00:00 AM

If you want to file a Fulton county commercial property tax appeal, you have to be ready with the more aggressive approach taken by the county government. This is reasonable considering that the tax collections and resources of the government will be affected, whether you win or lose your appeal.  Good thing there’s something that you can do to counter the aggressive approach with your own effective approach.

Know the Process

It is your responsibility to learn the tax process even when you decide to hire a Fulton property tax consultant. Keep in mind that it is your property and your property tax bill at stake, thus, your involvement in the process is important even when you have professionals handling the appeal.  You need not learn the ins and outs of the process but it pays to know the basics. 

At the very least, you can make smarter decisions about the next actions where the Fulton County property tax authorities are concerned. Your tax consultant will be able to discuss your options, too, in a more effective manner because you already know the basics. 

Be Familiar with the Valuation Criteria

You should also familiarize yourself with the valuation criteria used in the valuation of your commercial property.  Check with the Fulton County property tax authorities about the valuation criteria and method used since it may change from year to year or it may be different for the various types of commercial property.  In most cases, the cost and income valuation approaches are commonly used for commercial property. 

First, the market-derived cost approach typically follows the formula: (Replacement Cost of New of the Improvements - Depreciation) + Land Value. Just be sure to check that your property description is correct. Otherwise, the assessed value will not be a reliable indicator of its true value for tax purposes. Quality of construction and depreciation percentage are both points of argument in this approach.

Second, the income approach has the following formula: (Net Operating Income / Capitalization Rate). The capitalization rate refers to the market-derived overall direct capitalization rate.  When the approach is properly calibrated, it is a reliable indicator of the market value. It has specific applications in income-generating commercial property within a mass appraisal system. Income, expenses, and capitalization rates are all points of argument in this approach.

You and your tax consultant should closely look at the valuation method used. You will likely find the solution that can be used when appealing your tax assessment.

Proper Documentation

If you are the one filing the Fulton county commercial property tax appeal, you have the burden of proof to support your targeted property value.  You should then have sufficient documentation about your appeal including property cards, photos and past valuations, among others.

The Fulton County property tax authorities will require effective persuasion to change their original valuation so be prepared for it. Alternatively, you can let Fair Assessments, LLC handle the matter.

Topics: Fulton County Commercial Property Tax Appeal

property tax appeals

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