Momentum - Business to Business Online Magazine April 2017 | Page 19

You Doth PROTEST

By : Cheryl E . Johnson , PCC Galveston Co . Tax Assessor Collector Cheryl . E . Johnson @ co . galveston . tx . us

Yet Again

A robust real estate market is wonderful for your financial statement or when preparing to sell but not so much when it comes time to pay the tax man . This year , over 100,000 notices of appraised value are expected to arrive in mailboxes before the end of April and , if your property value is on the rise , expect a much higher tax bill this fall . What is a property owner to do ? Protest by following the Taxes Seven Step :
Step 1 . File a formal protest or call for an informal conference by May 31st - Complete the form included with the notice and mail , call to schedule an informal conference with an appraiser , file an online protest ( www . galvestoncad . org ) or hire a property tax agent . You may protest the value based on both the property being assessed over market value ( perhaps there are condition issues ) and for unequal appraisal ( same house elsewhere in the neighborhood valued for less ).
Step 2 . Research the CAD records - The CAD maintains an appraisal record on each property . Request the appraisal card via email or obtain it when you attend the informal conference . Much , but not all information is available online . GCAD is completing a software conversion this year and it will be more important than ever for you to verify the records . If you recently purchased the property for less than the notice value or have a recent appraisal indicating a lower value than proposed , you likely are ready to go . If you paid more and discovered problems later or if repairs are needed before you could sell , take photos and obtain estimates and provide this information as the basis of your protest . Condition is determined as of January 1 .
Step 3 . Estimate the value using the protest spreadsheet - Use the spreadsheet available on the GCTO website ( www . galcotax . com under the Press Releases and Important Information link ) and compare your property to others in the neighborhood or on the street . If you have sales – use them . ( Sales used by the GCAD are only available when filing a formal protest .) Adjust the comps or sales for differences to determine your value range . Again , if there are identical houses in your subdivision valued for less , you likely have a good unequal value case . You may have to go to the ARB as not all appraisers have the authority to determine unequal value .
Step 4 . Attend the Informal and then ARB Hearing - If you file a formal protest you will be notified of the date and time to attend the ARB hearing and will be asked to come in 15 minutes early to attend an informal conference with the appraiser in advance of the hearing . YOU MAY RESCHEDULE THIS HEARING ONE TIME ! If you attend the informal conference without filing the formal protest , you will be scheduled for the ARB hearing at a later date ( and may still reschedule ONE time ). Most appraisal protests are settled in the informal hearing so this is the best place to start .
Step 5 . Appraisal Review Board ( ARB ) Hearing - The ARB is a three member citizen panel appointed to hear protests . Also in attendance is a representative of the CAD and a hearing clerk . You will be sworn in and the hearing will be recorded . The CAD appraiser will present their case and then you will present yours . Bring four copies of your evidence for the panel and appraiser . The ARB panel will then announce its decision .
Step 6 . Arbitration or File Lawsuit in State District Court - ARB decisions can only be overturned in binding arbitration or by filing a lawsuit . Arbitration requires payment of a $ 450 fee ( amount varies ). If you are successful ( meaning the arbitrator determines the value is nearer to your estimate than the CAD ’ s ), all but $ 50 of the fee will be refunded . Most lawsuits do not go to court but , before taking this step , consider the cost versus savings . Taxes are calculated by applying the exemptions , dividing the value by 100 and multiplying times the tax rate .
Step 7 . Repeat Process Every Year Sorry , but without meaningful property tax reform , the protest remedy is the only option . Attend tax rate hearings , participate in electing people to local governments who want to reduce your tax burden and , finally , ask your Texas Senator and Representative for property tax reform such as lower appraisal caps , reduction of the rollback rate , increases in homeowner exemptions and / or a move away from market value to price paid which will eliminate the need for county appraisal districts and this annual “ dance ”. The 2017 Protest Class Schedule is shown below . All classes begin at 6:00 pm . Date Location 4 / 27 League City Council Chambers , 200 W . Walker , League City 5 / 04 Jury Assembly Room , Justice Center , 600 59th St ., Galveston 5 / 11 Learning Resource Center , Room L-131 , College of the Mainland , 1200 Amburn Road , Texas City 5 / 23 Friendswood Public Library , 416 S . Friendswood Dr ., Friendswood