What Is the WOZ Value?
The WOZ value (Valuation of Immovable Property Act) is the value of your home or commercial property as determined by the municipality. This value is reassessed annually and is determinative for several taxes: property tax (OZB), water board tax, deemed rental value for income tax purposes, and inheritance tax. A WOZ value that is set too high therefore means you are paying too much tax.
When Should You File an Objection?
You receive the WOZ assessment notice each year, usually in February or March. You have six weeks from the date of the notice to file an objection. An objection is worthwhile if:
- The WOZ value exceeds the market value of your property
- The municipality has insufficiently accounted for defects or deferred maintenance
- Comparable properties in the neighbourhood have been valued lower
- The location (for example, along a busy road) has been insufficiently taken into account
How Do You File an Objection?
You can file an objection with the municipality in writing or digitally. In your notice of objection, you substantiate why the WOZ value is too high. Use comparable sale prices of properties in the neighbourhood, photographs of defects, and possibly a valuation report. The municipality must process your objection within the statutory time limit.
Appeal Before the Court
If your objection is rejected, you can appeal before the tax division of the district court. The court assesses whether the municipality has correctly determined the WOZ value. Court proceedings are accessible: the court fees are limited and you can handle the case yourself or engage a representative.
Costs and Savings
Filing an objection against the WOZ value is free of charge. If your objection is upheld, you can save hundreds of euros per year on taxes. Moreover, the reduction also applies to subsequent years as long as no new assessment notice has been issued. It is therefore always worthwhile to challenge a WOZ value that has been set too high.