Georgia taxpayers may believe that digital technology has resulted in greater accuracy in the gathering of data, calculating of property values, and sending out of Hall County tax assessment notices. But this is not exactly so. While online filing including its software has provided both the tax authorities and taxpayers with more convenience, it has also increased the risks for inaccurate data.
Keep in mind that accurate data and, hence, records are crucial in the proper valuation of real and personal property. Even a relatively small error in the data can result in unfairly high assessments and taxes.
Starts at Purchase
The crucial importance of accurate data and records where the Hall County tax assessment is concerned starts with the purchase of real property. All property owners are required by Georgia law to report their real estate transactions on the PT-61 form and file the form online with the Clerk of the County Superior Court. This task is often completed by the closing attorney. The PT-61 form is then sent to the county tax assessor who will then use the sales data in the determination of the property’s tax assessment.
Mistakes in the declaration of the sales value, in entering the sales value into the system, and even in the complete name of the owner can result in errors on the Hall County tax assessment later. Again, online filing may provide for convenience but mistakes can still be made.
Vigilance Is a Must
Taxpayers should be vigilant about the information entered into the official forms including the PT-61. There are several errors that can be made during the inputs, such as:
- Improper allocation between personal and real property as well as between tangible and intangible property. Tax assessors are required by law to exclude the value of intangible assets (e.g., trademarks, patents, and merchandising agreements) from tangible assets including real property. Otherwise, the real property will be subject to inflated tax valuations and, thus, an increased Hall County tax assessment.
- No allocation of the individual components in an aggregate purchase especially for business transactions. A proper allocation must be made among the specific assets in a sale transaction involving multiple properties, not just enter the aggregate purchase price, into the system. It must be emphasized that inaccurate allocation of the aggregate sales price in a multi-property transaction can result in improper tax valuations.
The bottom line: Your Hall County tax assessment notice will likely contain errors that affect your tax bill so vigilance on your part is a must.
As a property owner and taxpayer, you must ensure that your internal recordkeeping is also accurate. You have to realize that inaccuracies in your records can expand over time that, in turn, will inflate your tax assessment values. For example, when you fail to update your property portfolio for property that has been disposed of (e.g., sold, transferred via donation, and idle or obsolete), the valuations on said property will be inflated.
You can reduce your property’s Hall County tax assessment values by analyzing the facts about current ownership and location, present use of the property, and allocation between personal and real property. Your reliance on digital technology should be complemented by your regular checking of the information on the official forms.
