There are a lot of details in a property tax assessment to consider—from how property is being assessed to negotiating with tax assessors and (occasionally) even testifying in court. While some companies choose to manage their property taxes without seeking consulting services, others seek expert guidance to minimize tax obligations and comply with local requirements.
This article provides an overview on property tax consulting and the benefits that come with enlisting the help of an expert.
What are property tax consulting services?
There are different types of property tax consultants. Valuation consultants are experienced appraisers who provide expert value opinions on company property, whereas strategy consultants assist with tax reduction strategies. Property tax consultants focus on assisting with compliance work. They compile data, prepare filings for the proper jurisdictions, handle negotiations and appeals, and make payments on behalf of their clients.
This article focuses on valuation consultants who specialize in property tax appraisals. Because many companies lack the internal expertise to perform property tax valuation assessments on their own, they turn to property tax valuation experts for fair and accurate assessments, as well as strategic recommendations on how to present findings to tax assessors.
What does a valuation consultant deliver?
Independent Appraisals
Valuation consultants provide a third-party opinion of value on taxable business property. (Tweet this!) They follow guidelines to ensure their appraisals are fair and compliant with local tax requirements. Valuation consultants use financial data, financial modeling, and industry trend information to support their conclusions.
Strategic Communication
Another key benefit to working with a valuation consultant is their in depth knowledge of valuation principles and experience in communicating with assessors. Consultants have experience working with tax assessors and use this knowledge to help clients with how to best present their position and discuss or negotiate with taxing jurisdictions.
Schedule a call with one of our experienced valuation consultants to discuss your property tax strategy—and how we can make it more beneficial for your business.
Localized Expertise
Many companies are spread out across multiple states or taxing jurisdictions within a state. Property tax is very much local, and rules change in every state. Companies rely on consultants to help them develop a custom property tax strategy that meets their specific needs based on their structure and geographic location.
Industry Knowledge
Consultants understand different industries broadly. Not only are they knowledgeable about property taxes, but also often specialize in certain industries and understand the nuances that impact them. As a result, they have a big-picture view of what’s happening in the industry and within a particular state’s legislation.
A consultant can also work with experts at your company to identify nuances in asset valuation, considering factors like the impact of technological changes or other issues specific to your industry that may make your assets worth less economically and have not been captured by the tax assessor.
Litigation Support
Litigation support and testimony is another important aspect of valuation consulting. Once a consultant completes a valuation of a business’ assets, they sometimes have to present and defend that opinion in court. They are skilled at supporting their findings with company data and presenting them in a way that’s accepted by tax assessors and in legal proceedings. When possible, a property tax consultant can also try to negotiate with assessors to reach a settlement on taxes owed.
Put Your Property Tax Valuation In Expert Hands
If you think you might need expert valuation services to make sense of your company’s property tax assessments, let’s talk. At Valentiam, we are valuation experts and property tax consultants focused on strategy. We provide results that are compliant with Uniform Standards of Professional Appraisal Practice (USPAP) standards and are certified by relevant appraisal bodies. Our seasoned valuation consultants are thought leaders in the property tax industry and can provide and defend invaluable independent opinions.
Schedule a call with one of our property tax consultants for guidance on your company’s strategy and annual obligations.
