There are special considerations for property owners affected by the coronavirus pandemic that help you pay less property tax. Claims for reduced assessments due to loss of value on declared disaster areas are common, but can be complex.
State law states that property value may be assessed at the actual value after a disaster. This statute can be used for credits on 2020 taxes for operators who saw the value of their property decline by 20% or more. Both real property (immovable things like buildings) and personal property (furniture, art and other goods) may qualify for a tax reduction.
Assessing the change in the property’s value is the tricky part for business owners, and finding a knowledgeable appraiser who can help you through the process is crucial. Greg Damico of Tax Advisors says that hospitality businesses in King County have received tax credits as high as 50% using these reduced assessments methods. Damico is part of a team comprised of a hotel appraiser and property tax attorney that have been formed to obtain the reductions. Members can get additional help with issues like this from the Washington Hospitality Association’s Advisory Network.