Ag valuation denied or rollback notice? How to protest in Texas

Know what you are protesting

A denial, a rollback notice, and a value dispute are different issues. Read the letter before building your response. The law calls ag valuation 1-d-1 open-space appraisal.

Under Tax Code §41.41(a), a property owner may protest to the appraisal review board, or ARB. That includes:

• Qualification: The district says your land does not qualify for 1-d-1 appraisal.
• Change of use: The district says a change in land use occurred. This is the determination behind a rollback notice.
• Value: You disagree with the appraised or market value.

Write down what the district decided and what you disagree with. If the notice leaves that unclear, ask the district in writing to explain it. This guide explains the process. It is not legal advice.

Notice arrivesA denial must give every reason. File a written protest within 30 days, or by May 15 for a value protest if later.Step 1

Before the hearingAsk for the district's evidence free. Bring guidelines, photos, receipts, your plan.Step 2

After the ARBDistrict court petition within 60 days of the board's final order.Step 3

From Tax Code §§23.57, 41.44, 41.461 and 42.21. Details below.

Check the notice and any request for information

For an application denial, §23.57(d) requires written notice "not later than the fifth day after" the decision. It "must state and fully explain each reason" and explain how to protest. The Comptroller's manual says the notice "must be sent by certified mail."

Use those reasons as your checklist. Match each reason to the records you have. If a reason is unclear, ask the district in writing what it means.

If the district needs more information for your application, §23.57(b) says it must request it in writing within 30 days of filing. You have 30 days to answer or the application is denied. For good cause, the chief appraiser may grant one extension of up to 15 days.

Not every financial record is required. The Comptroller's manual says: "Information contained in income statements, income tax returns, land lease rates and lease agreements is not necessary to determine whether the land qualifies." If the district asks for that information, the request should say you are not required to provide it.

A written lease can still help document your case. That is different from saying it is required to qualify. Ask the district in writing about any request you do not understand.

File the written protest by the deadline

Under §41.44, the general deadline is May 15 or 30 days after the appraisal notice was delivered, whichever is later. For a change-of-use determination, the deadline is 30 days after that notice is delivered. The Comptroller says to count the 30 days from the date the district mails a notice, not the day it reaches you.

Keep the notice and record when it was delivered. If you cannot tell which deadline applies, ask the district in writing. Do not assume every notice follows the same deadline.

You can use Form 50-132, Notice of Protest. The Comptroller also says any written notice is enough if it identifies:

• The property.
• The owner.
• What you disagree with.

You may ask for an informal meeting with the district first. Treat that request and your written protest as separate tasks. Keep your filing deadline in view.

Build the file around the disputed issue

Start with the district's own published guidelines. Trinity, San Jacinto and Angelina publish ag guidelines. Walker publishes wildlife guidelines. Polk and Tyler don't publish any that we could find. Ask your district in writing which guidelines apply to your land and the issue in your notice.

Gather the records that support your response:

• Photos of the land and its use.
• Receipts and sale records.
• Your management plan.
• A written lease, if you have one.
• Your TPWD annual report for wildlife use.

Organize the file by the district's stated reasons. Put the reason beside the record that addresses it. Keep the focus on the question being heard: qualification, change of use, or value.

The burden of proof differs. In a value protest, §41.43(a) puts the burden on the district to prove the value. For 1-d-1 qualification itself, Texas courts put the burden on the applicant to clearly show the land qualifies. The Comptroller's manual cites Cordillera Ranch v. Kendall County Appraisal District on that point.

Ask for the district's hearing information

Under §41.461, at least 14 days before the hearing, the district must tell you that you can get a free copy of the data, schedules, formulas, and other information it will use at the hearing.

Ask for that information. Review it alongside your notice and supporting records. Note where the district's information differs from yours. Ask the district in writing about anything you cannot understand.

Owners 65 or older have an added notice process under §23.551. Before deciding a change of use occurred, the chief appraiser must send a notice with a response form and prepaid envelope. If there is no reply within 60 days, the district must make a reasonable effort to find the owner.

Know what comes after the ARB

An ARB decision binds only that tax year. Keep the final order with your protest records.

Under §42.21(a), an appeal to district court requires filing a petition within 60 days after you receive notice of the final order. Other options exist. Ask the district in writing about the options for your case.

Your county

General information, not legal or tax advice. Your appraisal district makes the final call.