The foreclosure crisis that caused so many individuals to lose their homes had a number of ripple effects that caused great anguish to many others. These include homeowners who continue to live in areas with declining property values and public entities supported by property taxes. When a home is foreclosed and abandoned, it harms the value of the other homes near it. That, in combination with a sluggish national housing market, has led to lower property values. This can push homeowners or other landowners to ask for their property taxes to be lowered to reflect their property’s new, reduced value. The same thing happens to business owners occupying commercial and industrial property.

Public entities, particularly public school districts, rely on these property taxes to maintain their services and they have the same right as property owners to question property value revisions that lower the amount of property taxes they receive.  The State of Ohio’s Board of Tax Appeals, which handles appeals from county boards of revision, county budget commissions and municipal boards of appeal, must decide these disputes in a timely and fair fashion.

The Ohio BTA court is currently understaffed. Their staff was reduced from 16 to 7 in the past year.  This Court has seen a dramatic jump in their overall caseload and much of it is due to the real estate appeals. 

Ultimately, when property owners are not granted a fair and timely resolution to their concerns, a case of justice being delayed becomes a case of justice being denied. Homeowners and business owners are faced with years of uncertainty as to the  value of their properties and the totals of their tax bills. Public entities are uncertain about the amount of revenue they will receive from property taxes. The taxpayer will pay at the current valued amount until the appeal has been resolved.  Many cases have appeared in the newspapers where a school district has had to refund tax money overpaid by local property owners. The property owner has appealed and won.

We continue to work through the current system.  It is hoped the Ohio BTA court can become caught up and these important real property valuation cases get decided promptly.  As a reminder, your real property formal appeal is due to the proper county agency (i.e. Stark County and Summit County use the County Board of Revision as the appeal hearing division) by March 31st of the following year.  An informal complaint or concern can always be addressed with the County auditor staff.

To discuss your residential and/or commercial real property concerns and issues, please contact your BC Engagement Executive or  Theresa Mullen, State and Local Tax Leader at 330.266.4129.