How does Indiana set assessed value, and how is it different from market value?
How does Indiana set assessed value, and how is it different from market value?
Indiana assesses real property based on its value as of the January 1 assessment date; if recent comparable sales show your home would sell for less than the assessed figure, that gap is the basis for a Form 130 appeal.
Understanding what the assessed value represents is the starting point for any appeal.
The assessment standard. Indiana assigns each property an assessed value as of the January 1 assessment date (Ind. Code §6-1.1-2-1.5). This is the number on your Form 11 and the figure your appeal challenges.
Where appeals come from. The county's mass-appraisal process estimates value across many properties at once, so individual homes can be assessed above what they would actually sell for. When recent comparable sales of similar nearby homes point to a lower value than your assessment, that difference is the core of your case.
Tax rate vs. assessed value. An appeal only affects your assessed value — your tax rate is set by local taxing units, not by your appeal. Lowering the assessed value is what lowers the bill.
The check. A free over-assessment check compares your assessed value against comparable properties so you can see the gap and decide whether the evidence supports filing — keeping in mind that Indiana's PTABOA can adjust in either direction.
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