Appeals: The Appeals Process


Note that three things may happen on appeal:

  1. The assessed value may be raised;
  2. It may be lowered;
  3. It may remain the same;
An appeal begins with filing a Form 130 – Taxpayer’s Notice to Initiate an Appeal with the local assessing official. The appeal should detail the pertinent facts of why the assessed value is being disputed. A taxpayer may only request a review of the current year’s assessed valuation. Following an informal conference with the local assessing official, the assessor will make a recommendation either denying or approving the appeal. If denied, the appeal will be forwarded to the county Property Tax Assessment Board of Appeals (PTABOA) for review. If the PTABOA denies the appeal, instructions will be provided on appealing the decision to the Indiana Board of Tax Review. After being heard by the Indiana Board of Tax Review, taxpayers may also seek review by the Indiana Tax Court.

A taxpayer can still file an appeal concerning “objective” issues (i.e. factual matters, such as the property record card contains an incorrect description of the property, like a garage that does not exist, incorrect plumbing fixtures, etc.); however, it is on page 2 of the Form 130.

An objective appeal issue may include:

  1. The assessment was against the wrong person.
  2. The approval, denial or omission of a deduction, credit, exemption, abatement or tax cap.
  3. A clerical, mathematical or typographical mistake.
  4. The description of the property.
  5. The legality or constitutionality of a property tax or assessment.
Objective claims may be made for up to three years of assessments with the submission of the Form-130. However, taxpayers requesting refunds must also file a Claim for Refund form (Form 17T).

Access the appeals flowchart by clicking Procedure for Appeal of Assessment Flow Chart.

Terms and Definitions

Assessment Notice - A written notice to the property owner of the assessed value of certain properties described in the notice. Law mandates that notice be given to the property owner following a revaluation of the property. The Form 11 is the actual notice sent by the Assessor listing some of the property characteristics and the new assessed values.

Land - The ground on which improvements may be placed. Does not include anything but the land itself.

Improvements - Anything that is built on the land. (i.e., house, barn, pool, paving etc.)

Real Property - The sum of tangible and intangible rights in land and improvements on the land. Real Property means the following:

  • Land located within this state.
  • A building or fixture situated on land located within this state.
  • An appurtenance to land located within this state.
  • An easement in land located within this state, or an estate, right, or privilege in mines located on the land or minerals, including, but not limited to, oil and gas, located in the land, if the estate, right, or privilege is distinct from the ownership of the surface of the land.
  • A gaming riverboat licensed under IC-4-33.

Personal Property - Movable items not permanently affixed to or part of the real estate such as:

  • Billboard and other advertising devices which are located on real property that is not owned by the owner of the devices.
  • Mobile homes, airplanes, and trailers not subject to the trailer tax under IC 6-6-5.
  • Foundations (other than foundations which support a building or structure) on which machinery or equipment is installed.
  • All other tangible property (other than real property) which is being held for sale in the ordinary course of a trade or business, held, used, or consumed in connection with the production of income, or held as an investment.

Real Estate - The physical land and everything permanently attached to it.

Tangible Property – The combination of Real Property and Personal Property.

Tangible Personal Property – Personal Property, such as goods, wares, and merchandise. Anything that has physical attributes: can actually be seen and handled physically.

Intangible Personal Property – Personal Property, such as money, deposits, credits, shares of stock, bonds, notes, other evidences of indebtedness, and other evidences of property interests: paper assets.

Inheritance Tax

Repeal of Inheritance Tax
Indiana's inheritance tax was repealed for individuals dying after December 31, 2012. No inheritance tax returns (Form IH-6 for Indiana residents and Form IH-12 for Nonresidents) have to be prepared or filed. No tax has to be paid. In addition, no Consents to Transfer (Form IH-14) personal property or Notice of Intended Transfer of Checking Account (Form IH-19) are required for those dying after December 31, 2012.

FOR INDIVIDUALS THAT HAVE DIED BEFORE JANUARY 1, 2013:

Time for fling inheritance tax return.
For decedents dying on after July 1, 2001, to: inheritance tax return is required to be filed within nine months of the date of death rather than one year as for earlier decedent. The probate court still has authority to extend the time for filing and to waive the penalty for late filing

Notices and Hearings.
The assessor is required to give notice of the time and place of the appraisal to each person interested in the estate and to each person designated by the probate court. In most cases this force is waived.

Time for payment of inheritance tax.
For decedents dying on or after July 1, 2001, payment of inheritance tax must be made within nine months of the date of death to obtain the five percent discount. Payments made more the one-year after date of death are subject to interest from date of death until date of payment at ten percent per annum for decedents dying on or after July 1, 2001. The probate court still has authority to reduce much interest from ten to six percent.

Time for payment of Indiana estate tax and Indiana generation skipping transfer tax.
Payment of Indiana estate tax and Indiana generation skipping transfer tax is due twelve months after date of death for decedents dying on or after July 1, 2001. For decedents dying earlier, the due date is 18 months after date of death.

Affidavit of no inheritance tax due.
The provisions for in former affidavit of inheritance tax exemptions were repealed and the department is to prescribe another affidavit form. The new form maybe used to state that no inheritance tax is due after applying the inheritance tax exemptions. Pursuant to the 2001 legislation, the department and the county assessors may rely on This affidavit in determining whether a transfer will jeopardize collection of inheritance tax and whether to consent to the transfer of personal property. 'Flu's affidavit |2 be available only for estates in which tie total value of property transferred to each transferee is not greater than the transferee's exemption then the affidavit is not available for that decedent's estate. If by transferee of a decedent receives property with a value greater than that transferee's exemption, own the affidavit for that decedent's estate. If the affidavit concerns real estate and contains the legal description of such real estate, the affidavit may be recorded in the office of the catty recorder. It is to be presumed that no inheritance tax is due ad no inheritance tax return is required to be filed where such an affidavit is properly executed and is either recorded in decedent's city of residence or submitted to be county assessor to obtain a consent to transfer.

Family Allowance.
The family allowance provided by Indiana code 29-1-4-1 was increased from $15,000 to $ 25,000.

Inventory of Safe Deposit boxes.
The 1999 Legislature amended the safe deposit box inventory requirement by eliminating the requirement as to boxes of decedents dying after June 30. 1999.

Inheritance Tax Exemptions and Rates
Class A Beneficiaries
a) Exemptions
Adult Child $100,000
Minor Child $100,000
Parent $100,000
Other lineal ancestor or descendant $100,000
b) Tax Rates

0 –25,000 1% of net taxable value
25,000 – 49,999 $250 plus 2% of net over $25,000
50,000 – 199,999 $750 plus 3% of net over $50,000
200,000 – 299,999 $5,250 plus 4% of net over $200,000
300,000 – 499,999 $9,250 plus 5% of net over $300,000
500,000 – 699,999 $19,250 plus 6% of net over $500,000
700,000 – 999,999 $31,250 plus 7% of net over $700,000
1,000,000 – 1,500,000 $52,250 plus 8% of net over $1,000,000
1,500,000 $92,250 plus 10% of net over 1,500,000

Class B Beneficiaries
a) Exemptions
Brother or Sister
Descedndant of Brother or Sister $500.00
Son or Dauther-In-Law
b) Tax Rates
0 –99,999 7% of net taxable value
100,000 – 499,999 $7,000 plus 10% of net over $100,000
500,000 – 1,000,000 $47,000 plus 12% of net over $500,000
1,000,000 $107,000 plus 15% of net over $1,000,000

Frequently Asked Questions

What if I'm making changes to my property?
If a building permit was issued, we will be notified by the planning agency. If however, improvements or modifications are made to property that cost more than $500 and a permit was not required, you need to file a Notice of Assessment Registration. This form may also be used to notify us of demolitions. There is an assessment registration form that can be found at our Forms Area and/or linking to: http://www.in.gov/icpr/webfile/formsdiv/00786.pdf

Why do I have to pay property taxes?
We've all become accustomed to the level of services provided by our local community. Schools, police and fire protection, libraries and paved roads are only a few of the amenities property taxes make possible. Without property taxes, we couldn’t support any of the above.

How is the amount of tax I owe derived?
Your assessed value is multiplied by the tax rate. The tax rate is the total rate of the combined taxing units (County, Township, City or Town, Library, etc.) within each taxing district. The tax rate is expressed in dollars per hundred dollar of assessed value. This amount is reduced by a state credit, Property Tax Replacement and is automatically deducted from your tax bill.

How will I know if my Assessment is correct?
Review the information provided on the Notice of Assessment (Form 11 R\A or C\I). The form not only shows the assessed value, but also the information used to arrive at the assessed value. You are encouraged to carefully check the following for accuracy:

  • Year of construction.
  • Number of stories.
  • Exterior construction (brick, frame, block, etc.)
  • Square footage (calculated from outside measurements.)
  • Number of extra plumbing fixtures (refers to the number of fixtures in excess of one full bath – 3 fixtures, kitchen sink and hot water heater per living unit.)
  • Other assessable features (including but not limited to: extra living units, basement recreation rooms, hot tubs, central air conditioning, fireplaces, finished attics and basements, open and enclosed porches, etc.)
**Any factual errors can be corrected by filing Form 133, Petition For Correction of Error, anytime during the tax year.

What if I disagree with the Assessed Value?
A taxpayer has a right to appeal their property tax assessment for any reason. The burden of proof, however, will be on the taxpayer to prove why they should have their assessment changed. Just saying: " My taxes are too high" is not sufficient. After carefully reviewing your assessment notice, contact your Assessor’s Office prior to filing an appeal. Note also that three things may happen on appeal:

  1. the assessed value may be raised;
  2. it may be lowered; or
  3. it may remain the same
Access the appeals flowchart by clicking Procedure for Appeal of Assessment Flow Chart.

What are Sales Disclosures and how are they used?
A sales disclosure is a form that is completed for all property transfers and must filed when the transfer is recorded. Sales Disclosures must be filed the County Auditor even if no money changed hands. The intent of the sales disclosure is to provide a base of information that will be utilized by both the State, County and Township Assessors to identify how much each property was transferred for. Sales disclosures were classified as "public information" beginning January 2000.

What constitutes True Tax Value?
True Tax Value is the sum of the land value and the depreciated value of improvements. Land is valued at its estimated market value based upon the sales of comparable properties in the immediate area. Improvements are anything that has been constructed on the land; including houses, barns, garages, swimming pools, decks, patios, utility sheds, tennis courts, gazebos, carports, etc.

Who is ultimately responsible for the value placed on my Real Property?
The State Legislature enacts property tax laws while the State Board of Tax Commissioners interprets the law, writes the rules and procedures, and sets the tax rates.

Who owns the property at a specific address?
To determine current ownership of property you should contact the County Auditors Office.

Is there any way I can reduce my taxes?
Yes. There are a number of credits and exemptions available to qualifying taxpayers. Your County Auditor can provide you with information and assist you in determining whether or not you qualify.

Where and when do I file my mortgage and homestead exemption?
Mortgages and homestead exemptions are filed with the County Auditor by May 10th and will be applied to the following year's taxes. If you purchase a new property, both need to be filed. Should you refinance the mortgage a new mortgage exemption must be filed. The homestead exemption only needs to be filed once even though you may refinance the mortgage.

When do I need a Power of Attorney?
When an appeal is being filed by anyone other than the owner.

Where and when do I file a tax return on my business personal property?
Filing of forms 103 and 104 are required by May 15th of each year and are filed with the Assessor in the County in which the property is located.

Where do I get a copy of a plat map?
The "official" copy of the plat is filed with the County Recorder's Office.

Are churches and not-for-profit organizations required to file a return for personal property?
Yes. The same deadline as above applies.

Additional Resources

Shelby County, Indiana website - http://www.shelbycounty73.com
Indiana Department of Local Government Finance (DLGF) - https://in.gov/dlgf
Indiana Board of Tax Review (IBTR) - https://www.in.gov/ibtr
Real Property Forms: engage User Guide

Disclaimer
Disclaimer:   The information provided herein is without warranty of any kind. Any person or entity that relies on said information for any purpose whatsoever does so solely at their own risk. Neither Shelby County, Indiana, or any agency, offices, or employees of any other information provider warrants the accuracy, reliability, or timeliness of any of the information provided herein.