The rules of the property tax dispute process in Nevada do not give those who want to file a dispute a lot of time after they are noticed regarding their assessment.  So you have to act quickly if it is your intentions are to object.

You can hire an appraiser, an attorney and / or an accountant to make your case.  A real property appraisal will be required by the Tax Equalization Board to provide a value opinion, so it makes sense to at least hire a real property appraiser.  Since the Board includes at least 2 or 3 real property appraisers, and since they will be focused on the value opinion that the appraiser provides, you want to make sure that your appraiser attends the hearing with you to defend his opinion. 

You may want to estimate what your potential savings will be if you successfully appeal.  If your savings is possibly $ 400 per year and it costs you $ 500 for an appraisal and an appearance it is not cost effective for you to appeal. 

While it is common knowledge that home values have been dropping like a rock in most Nevada cities and towns, in Las Vegas the Greater Las Vegas Association of Realtors (GLVAR) reported that the average single-family homes sales prices decreased by 40% between October, 2007 and October, 2008 to $ 225,000, this information will have little impact on the Tax Equalization Board.  In fact, overall tax assessments in Clark County, Nevada have continued to increase since 2005 and they increased 3.32% from $ 105.4 Billion in fiscal year 2007-2008 to $ 108.9 Billion in fiscal year 2008-2009. 

What most people fail to understand is that the purpose of the property tax equalization process is to collect taxes.  Assessment officials will explain away general property tax increases and will deny most appeals.  So you may have a great presentation based on logic and reason and still walk out of the hearing with no change in your property’s assessed value.  

In Nevada Assembly Bill AB 489 abated property tax increases of more than 3% annually on single-family, owner-occupied homes, and 8% annual increases on other properties in 2005.  Most individuals have seen steep assessment increases since the Bill’s passage but only 3% per annum tax increases on their homes over the last few years.    

The logic of continued 3% annual tax increases in light of 2007 and 2008 sales price decreases is faulty.  Property sales prices increased dramatically in 2005 and 2006, but they have fallen back during 2007 and 2008, and they are now near 2005 levels.  Continued average sales price decreases are expected in 2009.  As noted, tax assessment decreases are nowhere to be found.

For most taxpayers it is only common sense that taxes and tax assessments should not be increasing if they are tied to the average sales price of homes.  You will find, however, that taxes are rising and that the tax assessor is not in touch with the reality of the market.  Logic does not always prevail in an appeal in the property tax system.