The future of property tax management

The commercial real estate industry is becoming more global, more complex and more competitive – making the case for digital solutions for managing property tax more compelling. And new digital technologies are enabling faster, simpler, and more productive property tax management.

Data analytics, process automation, machine learning, artificial intelligence and cloud computing are providing greater visibility into properties and their performance to inform forecasting and budgeting, preserve capital and reinforce competitive position.

As digital transformation in the CRE sector advances, digitally-enabled property tax management offers increasing opportunities to derive more value from real estate assets and portfolios.

That said, it’s clear that successful digitalization of property tax requires collaboration and commitment among governments, tax and assessment authorities, taxpayers and property tax specialists around the world. Altus Group is taking a leading role in participating in and encouraging such alliances.

While approaches and processes vary widely from one country to another, ultimately the foundation is the same: property values are assessed, taxpayers pay tax on this value, and they have the right to appeal.

This commonality represents a framework upon which an end-to-end solution for integrated property tax management is emerging.

The soon-to-be future state of efficient property tax management

The future of property taxes requires a digital platform that standardizes and streamlines property tax management processes from end-to-end and from country to country.

Altus Group envisions a full-service cloud platform that will simplify and seamlessly manage the complete property tax process for those with assets across a country or throughout the world.

Within the decade, the digitalization of property tax will encompass the collection of property and transaction data, data sharing between taxpayers and tax authorities, self-certification of property data, automated valuation modelling, property surveys, tax return submission, the entire appeals process, dispute resolution, to tax collection and payment.

Nick Wright

Global Head of Sales, Property Tax & Business Rates

The following is how a digitally-enabled property tax management platform will function, providing an ever-expanding variety of technology tools to manage this expense, minimize the tax burden and fortify strategic decision making.

Working together to create a better property tax management system

The digitalization of tax is part of a worldwide trend towards greater information sharing. Tax administrations, taxpayers and their agents and private sector organizations will increasingly harness technology and collaborate to better share information to improve administration, facilitate compliance and add value.

As the pace of the property tax digital journey accelerates, real estate investors, owners, executives, managers and taxpayers/ratepayers around the globe can look forward to seamlessly managing this significant expense, preserving capital and reinforcing competitive position.