At Michael Saegert, Attorney at Law, we’ve worked with property owners across Texas who were shocked to see their property tax appraisals jump unexpectedly.
When the value assessed by the county appraisal district doesn’t reflect the actual market value or contains factual errors, it can feel like you’re stuck paying more than your fair share. Fortunately, Texas tax law provides several ways to challenge and correct those inaccuracies.
Understanding your legal options begins with a firm grasp of how property values are assessed and what rights you have under Texas tax law. Once an error is identified, we help our clients take decisive steps to dispute the appraisal and protect their financial interests.
Recognizing Common Appraisal Errors
In our experience, appraisal errors often come from incorrect property details, such as square footage, lot size, or the condition of improvements. Sometimes the county lists a garage or pool that doesn’t exist. Other times, outdated or incorrect sales data is used, inflating the value without a fair basis.
Texas tax law requires appraisal districts to value property based on fair market value as of January 1 of the tax year. When that value doesn’t reflect current market trends or includes inaccurate information, property owners are entitled to contest it. The earlier the error is identified, the easier it is to begin the appeal process.
In some cases, appraisal districts also fail to account for damage, depreciation, or other factors that would lower the property’s value. We work closely with our clients to uncover those issues and build a strong case for correction.
Filing a Protest With the Appraisal Review Board
Under Texas tax law, the most common method for disputing an appraisal is by filing a formal protest with the Appraisal Review Board (ARB). This protest must be filed before the deadline, which usually falls on May 15 or 30 days after the appraisal notice is delivered—whichever is later.
Once the protest is filed, the property owner has the right to a hearing. At this hearing, we present evidence such as comparable sales, photographs, repair estimates, or independent appraisals to support our claim. The ARB reviews the facts and decides whether to reduce the appraised value.
These hearings can be informal, but they still require preparation. As tax law attorneys, we make sure the evidence is well-organized and persuasive. We’ve seen favorable results when the argument is clear, supported by real data, and directly tied to the standards set out by Texas tax law.
Correcting Errors Through Informal Meetings
Many appraisal districts in Texas offer an informal meeting with a staff appraiser before a formal ARB hearing. In these meetings, we can often resolve disputes quickly by pointing out errors or presenting new data. If the appraiser agrees, the value can be adjusted without needing a hearing.
This option is helpful for straightforward mistakes—like incorrect square footage or an added structure that doesn’t exist. Texas tax law allows districts to correct clerical or factual errors without involving the ARB, so long as the district agrees the evidence is valid.
While informal meetings can lead to a quick resolution, they are not guaranteed. If the issue isn’t resolved, the protest proceeds to the ARB. We always advise being ready for that possibility by gathering full documentation in advance.
Pursuing Judicial Appeals in District Court
If the ARB denies the protest or the outcome is unsatisfactory, Texas tax law allows property owners to take the matter to district court. This step involves filing a lawsuit within 60 days of receiving the ARB’s final decision. In court, we present the case to a judge, who reviews both sides and determines whether the appraisal was lawful and supported by the evidence.
Judicial appeals are more formal than ARB hearings and follow Texas Rules of Civil Procedure. We prepare each case thoroughly, sometimes using independent appraisals or testimony from valuation professionals to show that the original assessment was inflated or based on flawed reasoning.
While court appeals take more time and resources, they can result in significant savings—especially for high-value or commercial properties. We’ve successfully reduced tax burdens through judicial review by presenting detailed evidence and making strong arguments rooted in Texas tax law.
Arbitration as an Alternative to Court
Texas tax law also offers binding arbitration as an alternative to court in some cases. If the property is valued under $5 million and used for residential or commercial purposes, arbitration may be available once the ARB protest has concluded. The process involves an independent arbitrator reviewing both the property owner’s and appraisal district’s valuations.
We file a request with the Texas Comptroller’s Office and submit a deposit, which is refunded if the arbitrator rules in favor of the property owner. Arbitration can be quicker and less costly than court, making it an attractive option for many clients.
When we recommend arbitration, it’s because we believe the evidence supports a clear valuation adjustment. In cases where there’s a strong argument based on market data, we’ve seen good outcomes from the arbitration process under Texas tax law.
Homestead Exemptions and Special Appraisal Provisions
Beyond correcting outright errors, we also review whether clients qualify for special appraisal provisions or exemptions under Texas tax law. Homestead exemptions, for example, can reduce the taxable value of a primary residence. Other exemptions exist for senior citizens, disabled individuals, veterans, and certain agricultural properties.
In some cases, we find that a property has been misclassified or that an exemption has not been applied correctly. Filing the appropriate paperwork with the appraisal district can correct these issues and lower the tax bill without a formal protest.
Even when the valuation itself is accurate, failing to apply available exemptions can lead to overpayment. We help our clients review every potential avenue under tax law to reduce their burden.
Late Corrections and Section 25.25 Motions
When errors are discovered after the protest deadline, Texas tax law provides another remedy under Section 25.25 of the Tax Code. A property owner may file a motion to correct the appraisal roll if the error involves an overvaluation of at least one-third, a clerical mistake, or a change in ownership that wasn’t reflected.
These motions must be filed before the end of five years from the date the appraisal was made. While the grounds for correction are narrower than a protest, we’ve used this method successfully when the error is significant and easy to prove.
Section 25.25 motions often require strong documentation and clear factual support. We work closely with clients to build a detailed argument and submit everything needed to support the motion. While not all errors qualify under this section, it remains a powerful tool for correcting substantial overvaluation when deadlines have passed.
Understanding Market Value and Equal and Uniform Appraisals
Under Texas tax law, property must be assessed at market value. But the law also requires that appraisals be equal and uniform when compared to similar properties. This means that if a neighbor’s property is valued much lower despite being almost identical, there may be grounds for protest based on unequal appraisal.
We regularly analyze comparable property data to determine whether our clients’ appraisals are in line with similar properties in the area. If they’re not, we use that disparity to argue for a reduction. In some counties, disparities between similar homes on the same street can be enough to support an ARB adjustment.
Texas courts have upheld this principle of equality in valuation, making it an essential part of our strategy in tax law disputes.
When to Involve a Tax Law Attorney
At Michael Saegert, Attorney at Law, we bring experience and strategy to every tax law matter we handle. We’re proud to serve clients throughout Texas, including Houston, Pasadena, Sugar Land, The Woodlands, Beaumont, Corpus Christi, San Antonio, Austin, Dallas, Fort Worth, El Paso, and beyond. Call today.
