For most multi-residential property owners, the second largest expense after their mortgages is the property taxes they pay to the government. With 30 to 60 per cent of taxable properties being over-assessed, there are very high chances that you could be paying more on your property taxes than you should. The good news is that you can actually reduce the amount you are paying in property taxes and reduce your tax burden.
If you have a property in Ontario, the tax you will be paying on that property is usually based on the assessment that is made by MPAC, otherwise known as the Municipal Property Assessment Corporation. However, if you feel that the property was over-valued during the assessment, and you are wondering, ‘How can I reduce my property taxes?’ then you can involve qualified property tax consultants to help you appeal the assessment and get your taxes reduced. Some of the steps the experts can take in order to reduce your multi-residential property taxes include:
- Challenging The Assessment
Ideally, there are always two parts to any tax bill – namely, the assessed value of the property and the tax rates that are actually applied. If you feel that the assessors over-valued your multi-residential property taxes and you’re wondering, ‘How do I lower my multi residential property tax?’ then tax consultants can help you challenge that assessment. The best property tax consulting firms are usually staffed with or have connections to professional real estate appraisers who can do more accurate market estimates and present you with a more accurate value of your property.
- Filing an Appeal
Once you have received the assessment notification via email, you just need to contact the consultants and they will help you through the process of filing an appeal. Here, they normally involve professional assessors who will come to your property to ascertain its condition. They will also compare it with at least five similar properties in the neighbourhood in order to make a stronger case that your property is actually over-valued. Taking photos of the property and sending it together with your appeal form could also help in building a stronger case.
- Check if You Qualify for Any Discounts or Exemptions
As a multi residential property owner, it is also very important to check whether there are any discounts or tax exemptions you are entitled to. The experts can help you to know about the tax breaks that are usually offered in your area for you to take advantage of. If you have just realized that you’ve actually been entitled to such exemptions for a long time, they can even help you claim the past exemptions.
The tax consultants can also help by:
- a) Correcting the data that is used by MPAC
- b) Establishing the performance of your asset
- c) Producing comparable sales reports
- d) Negotiating changes
- e) Representing you at Assessment Review Board hearings
If you suspect that you could be paying more than you need to on your multi residential property taxes and are just wondering, ‘Who will help me lower my multi residential property tax?’ or thinking, ‘How exactly can I reduce my property taxes?’ the best option is to involve property tax consultants. They will advise you on whether you should appeal your property assessment or opt for other options.
