Shopping for a Consultant
Topic: A Tax to Grind, Property Tax Appeals
Thursday, 30 July 2009 by David H. LeVan
Loading ...Now if I were a salesman by trade (and aren’t we all, really?), I would say that contracting a property tax consultant is making an investment. And like most investments, deciphering the fine print can be maddening, especially when you’re dealing with fee structures. But it doesn’t have to be.
To make your venture easier, you need to know what you’re in the market for. Start out by making a shopping list of the services you want. Don’t make the mistake of limiting your decision to “finding someone who can lower my taxes.” Some of the things you may want to add to your shopping list of deliverables might include detailed documentation, audit representation, project management, physical inspections, disposed assets listings for fixed asset write-off, savings reports, calendar reports, accrual estimates—the list goes on.
Many of these additional service elements can make your job of managing property taxes easier and more fun (Okay, at least it will be easier). Once you have a clear idea what you want to invest in, the next question is not merely how much, but “how”?
Consider the number of available fee structures: contingency, flat fee, hourly, pro bono, or a combination of any of the above. Your best choice may depend on how much you think might be saved at the location to be reviewed. The more certain you are, the better it is to move toward a flat fee because the one factor most people forget when reviewing fee structures is the selling of the risk factor. The higher the risk of no savings, the greater need for a contingency fee structure.
Property Tax Collector…a Cushy Job?
Topic: A Tax to Grind, Property Tax Administration
Thursday, 23 July 2009 by David H. LeVan
Loading ...As a child you may not have dreamed of some day becoming a property tax collector, but that’s because you weren’t born in Ancient Egypt. In Ancient Egypt only about one in a hundred citizens were literate. Among those were the tax collectors of the day, also known as scribes.
Scribes were used to keep records of property holdings, including crops, cattle and slaves. Because of their ability to read (and collect property tax revenue), scribes were highly valued and admired in Ancient Egypt. Scribes to Pharaoh could own property and become rich. They were generally exempt from manual labor.
Archeologist have discovered monuments and richly adorned tombs for some of the most loved scribes of Egypt and Persia. When the Pharaoh died, scribes were the only people in his service that were spared from being buried alongside him. All things considered, if I had to choose, the scribe route sounds like the way to go.
Cool Heads Prevail
Topic: A Tax to Grind, Property Tax Appeals
Thursday, 16 July 2009 by David H. LeVan
Loading ...Property tax negotiations are based on relationships. The keys to a quality relationship are communication, honesty and realistic claims supportable by proper documentation.
Taxpayers often resent having to justify the details of their returns, while assessors may be irritated if they feel their authority is being challenged. Appealing to the next level without discussing the appeal with the assessor first is an example. Either way, emotions can trigger a hasty and sometimes damaging response. Face-to-face communication between the taxpayer and the assessor up front may alleviate many potential problems down the road. Bringing in an impartial expert can also prevent emotional reactions from occurring and can cool tensions before they have a chance to boil over.