Tuesday, March 4, 2008

Tax Season!! Tax Questions You Need to Ask

5 Property Tax Questions You Need to Ask
1. What is the assessed value of the property? Note that assessed value is generally less than market value. Ask to see a recent copy of the seller’s tax bill to help you determine this information.
2. How often are properties reassessed and when was the last reassessment done? Generally taxes jump most significantly when a property is reassessed.
3. Will the sale of the property trigger a tax increase? Often the assessed value of the property may increase based on the amount you pay for the property. And in some areas, such as California, taxes may be frozen until resale.
4. Is the amount of taxes paid comparable to other properties in the area? If not, it might be possible to appeal the tax assessment and lower the rate?
5. Does the current tax bill reflect any special exemptions that you might not qualify for? For example, many tax districts offer reductions to those 65 or over.
(from REALTOR Magazine Online)

Remember, you can always file a grievance at your local assessment office if you feel that your property assessment is too high.

I found this site useful as far as real estate tax questions. Which subsequently, I have only begun to get a grasp on. Actually, I hired an accountant to take care of my taxes as they were becoming more complicated for my wife and I to handle.

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