Unless you’ve been hiding under a rock, you already know that real estate values have taken a mighty hit. What once was up has indeed come down, which may not be all bad news for your hotel business. At a time when occupancy is lagging and costs are increasing, wouldn’t it be nice to catch a break?

That break could be in the form of a tax reassessment. In general, local governments (usually county entities) assess taxes on a set schedule. The last time your hotel received an assessment could have been prior to the dip in the real estate market. In essence, you could be paying more than you’re hotel is worth.

 Reducing tax bills through reassessment of your hotel property may sound like a quick way to cut costs, but it takes a bit of time and a lot of help. In most cases, your chances of getting a reassessment rests on whether or not there’s a formal appeal process. With a formal process comes a deadline, in most cases. If you’re able to file an appeal within that timeframe, it could mean lower tax rates until your next reassessment date.

 In some cases, getting a reassessment is as easy as asking for it. For hoteliers wanting to consider this option, the first step is to talk with a tax advisor to determine if a reassessment is a good idea. Your tax advisor can examine your most recent tax documents and make a recommendation based on local tax rates, assessment trends, etc.

 It’s also possible to meet with your local taxing authority to determine what options are open to you. Often, it’s possible to negotiate a lower rate, justifying the decrease as a way to keep hotel business revenue in the region. Make sure first to check with your tax advisor, for there’s always a chance your rates will go up if your assessment is long overdue.