Dispute Your Property Taxes

A lot of us want to know how we can reduce our monthly obligations, and one way is to lower our real estate taxes. In Maryland these are due twice a year, but most of us amortize them in our monthly payments. You may be overpaying if your property is worth much less than the assessed value, or if the size of your property is improperly assessed. In either case you may be able to dispute your taxes and qualify for a tax reduction. Pete Sepp, a spokesperson for the National Taxpayers’ Union, says you have a 50 percent chance of succeeding.

If you are confident that you are being overcharged take steps to get you taxes reduced:

Step 1: Determine all deadlines for filing appeals or claiming deductions. In Maryland, you may file a petition for review by January 1st of any year. Maryland Law also states that If any real property is transferred after January 1 and before the beginning of the next taxable year to a new owner, the new owner may submit a written appeal as to a value or classification on or before 60 days after the date of the transfer. DC requires that you file your appeal within 30 days of the date of your assessment notice. For Maryland’s assessment appeal process and forms click here. For DC’s assessment appeal process and forms click here.

Step 2: Check the size of your home against the information shown on tax records. Check the lot size and the square footage above ground. Compare them to your neighbors’ to see if your tax is higher. You can access the Maryland Real Property Data Search at http://sdatcert3.resiusa.org/rp_rewrite/. For DC’s Real Property Data Search click here https://www.taxpayerservicecenter.com/RP_Search.jsp?search_type=Assessment. If you feel that the home values in your neighborhood are incorrectly assessed then…

Step 3: Consult with appraisers to determine the value of your house. Show them everything; get them to measure your lot and your house; point out what work needs to be done (e.g., painting, deck treatments, re-sodding, roofing etc.). They should take photos of everything. In Maryland, the Appeals Board must have a copy of your written appraisal submitted as evidence ten days before the hearing. The appraiser will use comparable homes sales to come up with your home value. Check the tax records to see if the taxes for the comparables are lower. Ideally you want your property to be worth less than the county-assessed value.

Step 4: If you feel your assessment is unfair, make a formal appeal. Also, don’t just plan on showing that the present assessment is improper. Show what it should be and why.

Step 5: Make sure the Board provides you with a written copy of the procedures. Prepare a written summary of your case and rehearse your presentation.

To get more information about fighting your property tax assessment visit the National Taxpayers’ Union at NTU.org and order their guide entitled “How to Fight Property Taxes.”