Property Taxes

As a multi-disciplinary appraisal firm, Enterprise Appraisal Company has provided services to our clients relating to the both the equitability of ad-valorem taxes, including tax appeals, relative to both Real Estate and/or Machinery & Equipment for 37 years. The key to understanding property taxes levied on Real Estate or Machinery & Equipment is to have knowledge of the Market Value of the subject property. The Market Value, as established by an independent appraiser, is compared to the Market Value used by the assessing authorities. Each jurisdiction differs in their methodology to determine the assessed value, and the assessed value can be utilized to calculate the Market Value used by the tax assessor. It should be noted that each state varies as to whether taxes are assessed for real estate, personal property (such as Machinery & Equipment), or both.

The fairness of both real and personal property taxes require separate discussions, best accomplished by a review of your individual needs by a multi-discipline appraisal firm. We have provided these consultations and appraisal services for all of our 37 years, and have provided solutions to numerous clients with property tax negotiations and appeals saving our clients thousands of dollars annually.

The above savings can be realized when a complete appraisal of the real estate is used to support the Market Value. For industrial and commercial properties, the appraisal should include the three standard approaches to value, the Cost, Income and Sales Comparison approaches. A well written appraisal report complete with supporting documentation and exhibits will provide the best evidence of market value, and will withstand the scrutiny of third parties.

Likewise, a thorough appraisal of the machinery and equipment will assist in establishing market value, if machinery and equipment is taxable in a particular jurisdiction. The appraisal should consider and account for any non-taxable equipment, such as pollution control equipment. Again, this is guided by the local jurisdiction.

Enterprise Appraisal Company has maintained membership in the Institute for Professionals in Taxation (IPT) to keep abreast of the ever changing property tax field. Our appraisers have also had extensive experience in property tax appraisals and the requisite follow up support for our conclusions.

We would welcome your inquiry to discuss your specific property tax requirements.