As a Texas business owner, you might feel the local appraisal board is trying to charge you too much tax on your commercial property — and you could be right. Thankfully the law provides you with a straightforward way to appeal.
Property values change regularly
This year, many properties will have gone down in price. Property appraisal boards do not always keep up to date with the subtle differences that make a specific property worth more or less than the previous year. They may also use blanket values for a particular area or street. They may fail to realize why one property differs in value from a seemingly similar neighbor. When they overvalue your piece of real estate, the excessive tax bill will harm your company’s profitability.
The Popp amendment makes contesting property valuation simpler
Thanks to the 1997 Popp amendment, you can file an equity appeal if you believe the local board overvalued your property. The more valuable your property, the more you have to gain. Under that amendment, property owners can appeal their taxes without expensive (and time-consuming) appraisals by experts. Instead, they can ask to be assessed at the median rate for comparable properties.
In 2017, the owners of 11,000 Texas properties filed appeals against their local appraisal boards. For many commercial landowners, it is certainly worth the time and effort involved.
With an attorney’s help, you may be able to persuade the local appraisal board to lower your commercial property tax without the need to make a formal appeal or take legal action. The law allows you various ways to attempt to get your property taxes reduced. If the appraisal review board does not give you the result you want, you have the option to take it to a district or state hearing or arbitration.