If you are a New Jersey homeowner, you already know that property taxes here are among the highest in the nation. If you struggle to pay your monthly mortgage because of the high taxes on your home, you may have options.
Read on to learn more about the New Jersey property tax appeal process and other options to lower your bill.
You can deduct either $15,000 or the amount of your property taxes, whichever is higher, from your taxable income on your state tax return. You will also receive a state property tax credit of $50. While most homeowners may file for this credit, seniors will automatically receive the so-called Homestead Benefit.
Property tax appeal
Through the state appeal process, you can argue that the tax assessed value of your property does not match the fair market value of the home. The New Jersey Division of Taxation uses a common benchmark called the common level range. This calculation creates a range between 15% below and 15% above the average home value for your tax district.
You will receive your annual tax assessment in February and must appeal your property tax bill by April 1. You can file an appeal with the Board of Taxation in your county. The tax assessor will decide about your appeal by the end of July.
You can also gather evidence to support your appeal. You can look at the market value of comparable properties in your neighborhood and compare them to the tax assessments for those homes. If the homes with similar valuations are larger, newer or have more updates, you may stand to win an appeal.
When you file an appeal online, you will receive a hearing date as well as a date on which an appraiser will visit your home. The appraiser’s review will inform a settlement amount; you can either accept or attend the hearing to negotiate further.