COVID-19 dramatically impacted the values of many properties, particularly in the hospitality sector. Washington law provides property tax relief where a disaster, such as the COVID-19 pandemic, reduces a property's value by 20% or more.
Tax abatement relief may be available for years in which the COVID-19 disaster reduced a property's value by 20% or more. For most COVID impacted properties, the greatest value impact was during 2020, the first year of the pandemic. If COVID reduced a property's value during 2020 by 20% or more, the owner would be entitled to a proportionate abatement of its 2020 property taxes. For example, if COVID reduced the value of a $50 million dollar property in Seattle to $40 million, the owner would be entitled to a 20% abatement of its 2020 property taxes, or approximately $85,000.
Property tax abatement applications for 2020 taxes must be submitted to the county assessor by March 19.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
