Property Tax Protest Hearing Shall be Scheduled by Appraisal Review Board After Protest Filed

Section 41.45(a) – Hearing on Property Tax Protest

The appraisal review board is required to schedule a hearing when a property owner files a property tax protest. There does not appear to be any provision for either the appraisal review board or the appraisal district to initiate rescheduling a property tax protest.

This seemingly straightforward section of the property tax code has been the source of much mischief by appraisal districts and appraisal review boards.

At least one appraisal district attempted to schedule hearings prior to the filing of a property tax protest. The attorney general as since ruled appraisal review boards cannot schedule a hearing prior to a property tax protest being filed.

Appraisal districts (instead of the appraisal review boards) schedule most of the property tax protests. The appraisal districts take the position there are simply handling a “clerical task” delegated to them by the appraisal review board. Since scheduling property tax protest hearings involves professional judgment regarding the complexity of the accounts, the proportion that will be settled informally and the proportion that will not appear for the hearing, this claim seems unreasonable. Of course, the time per hearing, informal settlement rate and “no show” rate al vary with the size and complexity of the accounts.

Some appraisal districts, including Dallas Central Appraisal District, schedule 500+ accounts for one date and time. For example, they might schedule 500 accounts for June 20 at 8am. There is no clarification of which accounts will be done first, how many ARB panels will be hearing property tax appeals on June 20 and what happens to protests not resolved on June 20.

Harris County Appraisal District often over-schedules the number of property tax appeal hearings. Even though it is inconsistent with the Texas Property Tax Code, they informally reschedule the hearing for the following day. There is no provision for the appraisal district to reschedule appeal hearings. If the property owner requests a rescheduled date, the hearing is to be rescheduled to a date not less than five days and not more than 15 days from the originally scheduled date.

Appraisal districts sometimes dismiss or “no show” hearings there did not have ARB panels to process.

Appraisal review boards need to schedule and administer property tax appeal hearings, as required by the Texas Property Tax Code.

Sec. 41.45(a) – Hearing on Protest.

 

(a) On the filing of a notice as required by Section 41.44, the appraisal review board shall schedule a hearing on the protest. The appraisal review board shall schedule the hearing to be held as soon as practicable but not later than the 90th day after the date the board approves the appraisal records as provided by Section 41.12. If more than one protest is filed relating to the same property, the appraisal review board shall schedule a single hearing on all timely filed protests relating to the property. A hearing for a property that is owned in undivided or fractional interests, including separate interests in a mineral in place, shall be scheduled to provide for participation by all owners who have timely filed a protest.

Acts 1979, 66th Leg., p. 2306, ch. 841, Sec. 1, eff. Jan. 1, 1982. Amended by Acts 1981, 67th Leg., 1st C.S., p. 171, ch. 13, Sec. 138, eff. Jan. 1, 1982; Acts 1987, 70th Leg., ch. 794, Sec. 1, eff. June 18, 1987; Acts 1989, 71st Leg., ch. 796, Sec. 37; Acts 1991, 72nd Leg., ch. 836, Sec. 3.1, eff. Sept. 1, 1991; Acts 1995, 74th Leg., ch. 828, Sec. 2, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1039, Sec. 38, eff. Jan. 1, 1998; Acts 1999, 76th Leg., ch. 416, Sec. 3, eff. Sept. 1, 1999; Acts 1999, 76th Leg., ch. 463, Sec. 2, eff. Jan. 1, 2000; Acts 2001, 77th Leg., ch. 1420, Sec. 21.001(99), eff. Sept. 1, 2001.

Amended by:

Acts 2007, 80th Leg., R.S., Ch. 626 (H.B. 538), Sec. 2, eff. January 1, 2008.

Acts 2009, 81st Leg., R.S., Ch. 1267 (H.B. 1030), Sec. 4, eff. June 19, 2009.

Acts 2011, 82nd Leg., R.S., Ch. 771 (H.B. 1887), Sec. 11, eff. September 1, 2011.

Acts 2011, 82nd Leg., R.S., Ch. 924 (S.B. 1546), Sec. 1, eff. September 1, 2011.

Acts 2013, 83rd Leg., R.S., Ch. 1259 (H.B. 585), Sec. 21, eff. January 1, 2014.

Acts 2015, 84th Leg., R.S., Ch. 1201 (S.B. 1394), Sec. 1, eff. January 1, 2016.

Acts 2017, 85th Leg., R.S., Ch. 80 (H.B. 455), Sec. 1, eff. September 1, 2017.

Acts 2017, 85th Leg., R.S., Ch. 744 (S.B. 1286), Sec. 1, eff. September 1, 2017.

Acts 2019, 86th Leg., R.S., Ch. 944 (S.B. 2), Sec. 62, eff. September 1, 2020.

Acts 2021, 87th Leg., R.S., Ch. 533 (S.B. 63), Sec. 17, eff. September 1, 2021.

Acts 2021, 87th Leg., R.S., Ch. 644 (H.B. 988), Sec. 17, eff. January 1, 2022.

Acts 2021, 87th Leg., R.S., Ch. 965 (S.B. 1919), Sec. 1, eff. September 1, 2021.

 

Cross References:
Right to protest by taxpayer, see Sec. 41.41.
Determination of protest, see Sec. 41.47.
Notice of Protest Hearing, see Sec. 41.46.
Appraisal review board record requirement, see Rule Sec. 9.803.

Notes:
Appearance at appraisal review board hearing in person or by affidavit is mandatory condition precedent to filing suit. Webb County Appraisal District v. New Laredo Hotel, Inc., 792 S.W.2d 952 (Tex. 1990).

Appraisal review board members perform quasi-judicial functions so that immunity did apply in barring claims against them in the performance of their duties. Three appraisal review board panel members were sued by a tax consultant claiming negligence in a value determination for not basing the value reduction on a preponderance of the evidence presented at the protest hearing. The members asserted the affirmative defense of judicial immunity. Sledd v. Garrett, 123 S.W.3d 592 (Tex. App.-Houston [14th Dist.] 2003, pet. denied).

An unadjudicated protest filed by a taxpayer does not bar a hearing pursuant to a motion for late correction under Section 25.25(d). Dismissal of a protest for failure to appear at a hearing is not an adjudication of the rights of the parties. The taxpayer was not entitled, however, to recover attorneys fees under Section 41.45 as a result of the denial of the hearing on the motion for late correction. Koger Equity, Inc. v. Bexar County Appraisal Review Board, 123 S.W.3d 502 (Tex. App.-San Antonio, 2003, no pet. h.).

Tax Code Section 25.25(c), subject to a five-year limitation, gives the appraisal review board the authority to change the appraisal roll on motion of the chief appraiser or a property owner. Section 25.25(b) does not contemplate the filing or presentation of any protest, or authorize the appraisal review board to review the chief appraiser’s decision. Western Athletic Clubs, Inc. v. Harris County Appraisal District and Harris County Appraisal Review Board, 56 S.W.3d 269 (Tex. App. – Amarillo 2001, no pet.).

An appraisal review board exceeds its authority by having a written procedure that a taxpayer’s fiduciary authorization must be filed prior to the filing of a protest or motion. Tarrant Appraisal Review Board v. Martinez Brothers Investments, Inc., 946 S.W.2d 914 (Tex. App.-Fort Worth 1997, no writ).

Taxpayer is entitled to judicial review of the appraisal review board order – he is not required to meet his burden of proof or present evidence at the appraisal review board hearing. When the appraisal review board issues its order, the taxpayer has exhausted his administrative remedies. National Pipe and Tube Company v. Liberty County Appraisal District, 805 S.W.2d 593 (Tex. App.-Beaumont 1991, writ denied).
These codes affect property owners across the state, in both larger and smaller cities including:

• Lochridge
• Hitchcock
• Montgomery
• Thompsons
• Rollingwood
• Lake Jackson
• Algoa
• Sugar Valley
• Lincoln Park
• Hudson Bend
• Copeville
• Blue Mound
• Willis
• Shavano Park
• Cross Mountain
• Bedford
• Krum
• Ferris
• Brazoria
• Thorndale

The Texas Property Tax Code applies to all property types in Texas including:

• Bar
• Regional mall
• Manufacturing/processing
• Veterinary clinic
• Motel
• Multifamily
• Land
• Lodging
• Warehouse
• Cold storage facility

O’Connor & Associates offers property tax services to all property owners of all land uses across Texas.

Sign up to have O’Connor & Associates protest your commercial or residential property taxes.
You pay NOTHING unless we reduce your taxes!