By Representative Daniel Elliott

 

The legislative interim not only allows legislators to prepare for the upcoming session but also provides a chance to connect with and hear from our constituents. A key topic in my recent discussions with the community has been property tax issues. This week, I will use my column to explain a bit about how property valuation works.

In Kentucky, all counties have a general county rate set by the fiscal court and a school district tax rate set by the local school board. The amount that you are paying in property taxes each year depends on two things, the assessed value of your property and the tax rates.

State law requires the state real property tax rate to be reduced anytime the statewide total of real property assessments exceeds the previous year’s assessment totals by more than 4%. The rate is set annually by July 1, and it applies to all real property tax bills throughout the commonwealth. Each county is responsible for determining the property tax districts that will be in effect.

You may have recently received a notice in the mail from the property valuation administrator (PVA) telling you that there is an increase in the assessed value of your property. All property owners have the right to appeal the assessed value of their property; however, certain steps must be followed.

This first step is a property owner wishing to appeal their assessment must hold a conference with the PVA office. In order to meet the requirements of a conference, property owners must submit “Burden of Proof” along with their review request. During the conference process, property owners must provide documentation that supports their opinion of the property’s value.

If an agreement cannot be reached as a result of the PVA conference, property owners may appeal to the county board of assessment appeals (BAA). The BAA is independent of the PVA office and is directed by the county clerk’s office.

Finally, an additional appeal to the Kentucky Board of Tax Appeals (KBTA) is available to anyone who remains dissatisfied with their assessment after having gone through the BAA process. The KBTA provides an independent, impartial, and neutral forum for hearing and resolving disputes on tax issues. To ensure impartial decision-making, the board is organized under the Public Protection Cabinet and is completely independent of any taxing authorities and the PVA office.

If you have questions regarding your assessment, or if your opinion of the value of your property differs from the PVA’s, their staff is available to provide you with answers about the appraisal process and your specific assessment.

As always, I can be reached anytime through the toll-free message line in Frankfort at 1-800-372-7181. You can also contact me via e-mail at Daniel.Elliott@lrc.ky.gov and keep track through the Kentucky legislature’s website at legislature.ky.gov.