- Days left
Real estate taxes hit many taxpayers hard. The basis for your real estate taxes is the value of your home. A home with a higher value means higher property taxes.

Sounds simple, right? Well only if your property is assigned the correct value. Municipalities typically use some variant of "market value" when assigning a value to your home. Sometimes it's supposed to reflect actual market value. Other times it is supposed to be a certain percentage of market value.

As real estate values were rising, so were real estate tax assessments and the associated property taxes due. Now that the value of real estate has dropped dramatically in some areas, the assessments on properties are often no longer accurate. That means taxpayers are paying too much in property taxes.

Check with your municipality on when you can challenge your assessment. When you are next able to, file the appropriate paperwork. Be prepared, however, to prove to the assessor's office that your real estate has a lower value. You can do that by comparing it to similar properties that have recently sold in your neighborhood, the assessments of like properties near yours, or a recent appraisal of your property.

Getting a proper value assigned to your house can save you hundreds or thousands of dollars each year. A little homework on property values can go a long way toward putting more money in your pocket.

Tracy L. Coenen, CPA, MBA, CFE performs fraud examinations and financial investigations for her company Sequence Inc. Forensic Accounting, and is the author of Essentials of Corporate Fraud.


Increase your money and finance knowledge from home

Building Credit from Scratch

Start building credit...now.

View Course »

Getting out of debt

Everyone hates debt. Get out of it.

View Course »

TurboTax Articles

Employer Sponsored Health Coverage Explained

The Affordable Care Act, also known as Obamacare, is simpler than some people may give it credit for. The basic rule to remember is that everyone must carry Minimum Essential Coverage (MEC) or pay a penalty. Employers with 50 full-time employees or more are obligated to sponsor plans for their workers to help them meet this requirement.

How to Report RSUs or Stock Grants on Your Tax Return

Restricted stock units (RSUs) and stock grants are often used by companies to reward their employees with an investment in the company rather than with cash. As the name implies, RSUs have rules as to when they can be sold. Stock grants often carry restrictions as well. How your stock grant is delivered to you, and whether or not it is vested, are the key factors when determining tax treatment.

What is a Schedule Q Form?

The Internal Revenue Service (IRS) has two very different forms that go by the name Schedule Q. One of them is for people who participate in certain real estate investments; this is known as a Form 1066 Schedule Q. The other Schedule Q deals with employer benefit plans. It?s not something an individual taxpayer would normally have to deal with, though a small business owner might need it.

Incentive Stock Options

Some employers use Incentive Stock Options (ISOs) as a way to attract and retain employees. While ISOs can offer a valuable opportunity to participate in your company's growth and profits, there are tax implications you should be aware of. We'll help you understand ISOs and fill you in on important timetables that affect your tax liability, so you can optimize the value of your ISOs.

Add a Comment

*0 / 3000 Character Maximum