Missouri Residential Property Tax Appeals
April 17, 2014
Every two years on the odd year (2013, 2015, 2017…) real estate in the state of Missouri is reassessed. During each reassessment, the assessor will place a value on real property that will be used for determining the tax amount due at the end of the year. Each county provides an appeal process to protest your assessment. While most appeals take place during the odd year, you do have the right to appeal during an even year as well. Taxpayers that missed the deadline to file an appeal or are new home owners often file an appeal during the even year.
There are two components to calculating taxes – tax rate multiplied by assessed value.
Tax Rate – this is the rate that is applied to your assessment. Tax rate is composed of a variety of different factors. Taxing authorities such as school districts, fire districts, libraries, and other agencies – levy a tax against your real estate in order to provide funding for their organizations.
Assessed Value – in the state of Missouri the assessed value is a percentage of the appraised value set by the assessor – for residential property it is 19%, commercial property it is 32%, and agricultural property it is 12%. If the assessor values your home at $500,000 then the assessed value of the property is $95,000.
Using the example above, if the tax rate on your home is 8%, then your tax amount due at the end of the year would be $7,600 ($95,000 x .08) – assuming no other special fees.
Your assessed value directly affects the tax you pay at the end of the year. In 2012, which was a non reassessment year, we had a 90% success rate with our appeals and the average tax savings was over 30%. These results were difficult to achieve and took a significant amount of time and resources.
Have you thought about what this could mean for you?
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