If you’ve read our recent blog posts about how to conduct a commercial property tax appeal, you’ve probably gathered that it takes a lot of time, planning, resources and commercial real estate tax knowledge to successfully make your case.
It’s likely that if you have one property to appeal, you have others.
As more businesses rely on outsourced services, from payroll and IT to HR and facility management, consider saving money and time by outsourcing your property tax management to qualified property tax consultants.
In the business world, it makes sense to focus on what you do best and outsource everything else.
Outsourcing Your Property Tax Management
If you decide to explore options in the property tax management market, look for a consultant that’s willing to make your needs a priority. You don’t want someone cherry-picking through your portfolio for the biggest and easiest properties to appeal.
Find a partner dedicated to providing an aggregate service that looks at your entire commercial property portfolio year after year.
The best commercial property tax consultants know this game is a marathon, not a sprint. Align your organization with a consultant that understands the system and is willing to put in the hard work necessary over time to earn you the maximum property tax savings.
Avoid partnering with any provider that lacks actual valuation expertise in real and personal property. You need someone with a proven record of winning appeals and experience working with taxing jurisdictions in all 50 states with a documented process to manage multi-state portfolios. This expertise is critical; it is not a good sign if your property tax consultant calls you the day before an appeal is due and asks for a mountain of documentation required to make your case.
Property Tax Assessors: Friend Or Foe?
It’s easy to say successful property tax management is like stepping into the ring and winning a fight. It’s an effective simile, but its sentiment is misguided.
Property tax assessors are not your enemy. They simply lack the resources, time and data to be truly on your side. It’s fair to say that only 65 percent of assessors in the U.S. have the resources to calculate property tax value from a cost approach, let alone calculate depreciation correctly.
If you’re able to provide tax assessors with data they don’t have access to, or information they don’t have the time to collect, it becomes a matter of convincing them to take your side, rather than winning a fight.
Real property tax management is about helping the local tax assessors get the information and data they need to ensure you’re not paying more than your fair share of taxes.
Remember, the law is always on your side. When the data is on your side as well, it’s hard to lose a property tax appeal.
Ready to unlock more information on how to successfully appeal your commercial property tax payments? Download your free copy of RPTA’s e-book, The Corporate Taxpayer’s Guide To Reducing Commercial Property Taxes.