Do You Know What To Do If You Can"t Pay Your Property Taxes?
For property owners, property taxes are probably the biggest tax bills we pay in a year.
The property taxes that our local municipalities receive provide the financing necessary for many local town or city programs such as fire departments, schools, and health services and for services like maintaining recreational resources.
However, what can you do if your recent tax bill may cause you to give up eating for a month and you have to decide between living a normal life or paying property taxes? The first thing you should do is review the tax assessor's final valuation of your property.
Your home assessment given by the tax assessor determines the amount you owe on your tax bill, and believe it or not, property valuations always have a subjective component.
If you think that your property might be too high, you have a right to offer an appeal to the valuation.
If your appeal is successful, your valuation will be adjusted and as a result your property taxes will be lower, thereby reducing your overall tax bill.
The second step you should take is to see if there are any exemptions that you can claim.
Be sure to check and see if you qualify for a homestead exemption for the residence in which you currently live.
The homestead exemption decreases your taxable rate, but keep in mind that you can only use the homestead exemption on the home in which you currently live.
Your local tax office should have the information that you need to file for a homestead exemption.
When you are down at the tax office be sure to ask about the hardship exemption which are granted on a case-by-case basis.
The next step you should take is to try and work out a payment agreement to get you caught up on your taxes.
Tax offices are very willing to help you with a payment agreement that prevents them from foreclosing or recording a tax lien.
If you are okay with the unknown you may have an option of just sending in partial payments until the property taxes are paid without requesting a traditional payment agreement.
But if you want to be sure then take the time to go down to the tax office as soon as you know that there might be a problem.
After you enter the tax foreclosure process everyone is not as friendly as they would be if you were working together prior to that.
Every time that you are late on your property taxes, you are charged additional interest and late payment penalties on the balance.
This will be the case even when you set up a payment arrangement.
Like I stated before keep in mind that if your taxes are not paid for an long time time, tax foreclosure may be right around the corner.
While foreclosures are treated uniquely in each area, every state allows your real estate property to be taken and auctioned by your local municipality to pay for the back taxes.
However, bear in mind that local governments are usually more than willing to be flexible with taxpayers whenever possible to keep their property, but you as the taxpayer must face your responsibility by communicating early and often.
The property taxes that our local municipalities receive provide the financing necessary for many local town or city programs such as fire departments, schools, and health services and for services like maintaining recreational resources.
However, what can you do if your recent tax bill may cause you to give up eating for a month and you have to decide between living a normal life or paying property taxes? The first thing you should do is review the tax assessor's final valuation of your property.
Your home assessment given by the tax assessor determines the amount you owe on your tax bill, and believe it or not, property valuations always have a subjective component.
If you think that your property might be too high, you have a right to offer an appeal to the valuation.
If your appeal is successful, your valuation will be adjusted and as a result your property taxes will be lower, thereby reducing your overall tax bill.
The second step you should take is to see if there are any exemptions that you can claim.
Be sure to check and see if you qualify for a homestead exemption for the residence in which you currently live.
The homestead exemption decreases your taxable rate, but keep in mind that you can only use the homestead exemption on the home in which you currently live.
Your local tax office should have the information that you need to file for a homestead exemption.
When you are down at the tax office be sure to ask about the hardship exemption which are granted on a case-by-case basis.
The next step you should take is to try and work out a payment agreement to get you caught up on your taxes.
Tax offices are very willing to help you with a payment agreement that prevents them from foreclosing or recording a tax lien.
If you are okay with the unknown you may have an option of just sending in partial payments until the property taxes are paid without requesting a traditional payment agreement.
But if you want to be sure then take the time to go down to the tax office as soon as you know that there might be a problem.
After you enter the tax foreclosure process everyone is not as friendly as they would be if you were working together prior to that.
Every time that you are late on your property taxes, you are charged additional interest and late payment penalties on the balance.
This will be the case even when you set up a payment arrangement.
Like I stated before keep in mind that if your taxes are not paid for an long time time, tax foreclosure may be right around the corner.
While foreclosures are treated uniquely in each area, every state allows your real estate property to be taken and auctioned by your local municipality to pay for the back taxes.
However, bear in mind that local governments are usually more than willing to be flexible with taxpayers whenever possible to keep their property, but you as the taxpayer must face your responsibility by communicating early and often.
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