Approaching the Process of Prepaying Your Property Tax

Most Dallas homeowners dread that early February date when property tax payments are due. As the payment time approaches, stress begins to rise and the bill doesn’t leave until it’s paid.

One way to reduce stress during this time of the year is to prepay your property tax. Yes, you’ll still be paying what is owed, but with some saving, savvy, and the help of your local tax consultant, avoiding the property tax blues can be a reality with annual prepayment.

Check in With Your Property Tax Consultant

Your local property tax consultant is the key to helping you understand how much your property tax usually is, and if you are in the position to begin thinking about prepaying for the next year. If you currently don’t have the cash for a property tax prepayment, then they can help you ensure you are prepared when the payment date arrives, then looking on to the next year.

There are many things to keep in mind when approaching your tax consultant with this idea:

  • How large is your property?
  • Is it a business or personal property?
  • Have you made any changes to your home?

By having these questions in mind during your meeting with a tax advisor, you can begin to understand a clearer idea about your prepayment situation.

Pay Attention to Tax Law and How it Impacts You

Tax law got a makeover in the past year and this can really determine whether you should even take the approach of prepaying your property taxes. Understanding these laws and how they impact your state and local property taxes is important.

With the current tax law in place, things like itemized deductions and payment reduction limitations have been revised. By speaking with your property tax consultant, you can easily determine if the deductions and limitations are worth making the effort for an overall deduction on your federal taxes in the coming year.

Check with Your Mortgage Provider

Unless you flat-out own your property, then your property taxes are usually taken out each month through an escrow account. With this in mind, it is good to check with your mortgage provider before making the moves to prepay your property taxes with your tax advisor. Without taking this step you run the risk of paying your taxes twice, costing you a lot more for nothing.

Get a Head Start on Your Property Taxes with The Hegwood Group

Dealing with property taxes and prepayments can be a difficult situation. Having a reliable source on your side to help you make the right choices is always helpful. Let the property tax advisors at The Hegwood Group be the helping hand that makes this process more manageable.

Our team has experience with business property, personal property, ad valorem, tax law, and more. Contact us today to find out more about the services that our office provides. We look forward to speaking with you and helping you save money on your property tax bill.

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