Property Tax Resources

10 minutes reading time (2089 words)

Washington DC. Property Tax Updates

Updated MARCH 2019

Tax Rate Rollercoaster

In the summer of 2018 the District, for the first time in over a decade, changed the real property tax rates for commercial properties. For Tax Year 2019 (October 1, 2018 through September 30, 2019) the District implemented tired commercial tax rates. Those rates are as follows:

New Rates - Tax Year 2019

Assessment                             Rate

$1 - $5,000,000                        1.65%

$5,000,001 - $10,000,000        1.77%

$10,000,001 +                          1.89%

The top rate of 1.89% constitutes a 2% increase over the prior top rate of 1.85%. However, in December 2018 the District enacted legislation that reduced the top back to 1.85% for Tax Year 2020 (October 1, 2019 through September 30, 2020). This reduction in the top rate was made possible by revenue associated with a newly created internet sales tax.

In March 2019 Mayor Muriel Bowser released her budget for Tax Year 2020. The proposed budget proposed increasing the top commercial rate back to 1.89%. Mayor Bower’s budget also called for an increase in transfer and recordation taxes (payable upon the sale of a property) from 2.90% to 5.00%. The DC Council will soon start debate on the Mayor’s tax proposals, but it can be safely said that the volatility of the commercial tax rates is on the rise and that the District is looking to commercial property owners to compensate up for slowing tax revenue growth.

Scott B. Cryder, Esquire
Wilkes Artis, Chtd.
American Property Tax Counsel (APTC)

Washington Property Tax Updates
Wisconsin Property Tax Updates

American Property Tax Counsel

Recent Published Property Tax Articles

How Office Owners Can Help Lower Sky-High Property Tax Assessments

​The American Property Tax Counsel argues that if a property tax assessment is premised on a uniform per-square-foot value, rental rate or vacancy rate for all office properties in a metro area, the assessor is likely going to overlook distinguishing factors in submarkets that could benefit building owners.

Managing fixed expenses...

Read more

Unfair Taxation? Governments Need to Fix the Right Problem

​Investors should be wary when taxing authorities single out properties to be assessed in a method that is inconsistent with the treatment of other taxpayers in the same class, says attorney Kieran Jennings.

Recently, The New York Times published an article on property taxes imposed on retailers under the headline "As...

Read more

Finding Tax Savings in Free-Trade Zones

​The FTZ Act prohibits state and local taxes on tangible personal property.  Here's what you should know about the potential for reducing your tax bill.

Foreign-trade zones can offer substantial tax savings for businesses involved in various aspects of manufacturing and international trade. While there are costs involved in setting up...

Read more

Member Spotlight


Forgot your password? / Forgot your username?