Property Tax Glossary
Understanding property tax terminology is the first step to knowing if you're overpaying. Browse key terms below.
Appeal Deadline
The last date by which a property owner must file a formal appeal of their property tax assessment. Missing this deadline means waiting until the next tax year.
Appeal Hearing
A formal meeting where a property owner presents evidence to the appeals board arguing that their property's assessment should be reduced.
Appraisal Review Board
In Texas, the independent panel that hears property tax protests and decides whether the appraisal district's value should be adjusted.
Appraised Value
The estimated market value of a property as determined by the county assessor or an independent appraiser.
Assessed Value
The dollar value assigned to a property by the local tax assessor for the purpose of calculating property taxes.
Assessment Ratio
The percentage of a property's market value that a state uses to calculate the assessed value for property tax purposes.
Board of Equalization
A local or state government body that hears property tax appeals and decides whether to adjust property assessments.
Comparable Sales
Recent sales of similar properties in the same area, used as evidence to establish a property's market value for tax appeal purposes.
Effective Tax Rate
The actual percentage of a property's market value paid in property taxes annually, accounting for assessment ratios and exemptions.
Evidence Packet
A collection of documents — typically comparable sales data, a cover letter, and supporting analysis — submitted with a property tax appeal to support a lower assessment.
Homestead Exemption
A tax benefit that reduces the taxable value of a primary residence. Available in many states, though rules and amounts vary significantly.
Informal Review
An optional first step in the appeal process where a property owner discusses their assessment directly with the assessor's office before filing a formal appeal.
Market Value
The price a property would likely sell for on the open market, typically determined by comparable recent sales.
Millage Rate
The tax rate used to calculate property taxes, expressed as dollars per $1,000 of assessed value. One mill equals $1 per $1,000.
Notice of Assessment
An official document from the county assessor informing a property owner of their property's assessed value for the upcoming tax year.
Overassessment
When a property's assessed value exceeds its actual market value, resulting in the homeowner paying more property tax than they should.
Property Tax Appeal
The formal process of challenging your property's assessed value with the goal of reducing your property tax bill.
Property Tax Protest
The process of formally challenging your property's assessed value with the local appraisal district. Term used primarily in Texas.
Reassessment
The periodic process where a county or municipality updates property values, typically occurring on a set cycle (annually, every 2-5 years, etc.).
TRIM Notice
Truth in Millage notice — a document sent to Florida property owners each August showing proposed property taxes, which triggers the appeal window.
See If You're Overpaying
Now that you know the terms, check your own property assessment.