Julia Williams
Julia Williams
Editor-in-Chief
Throughout the month of June, commercial property and business owners across Jackson County began to receive their tax assessments from the Jackson County Assessor’s Office for the 2025 fiscal year, leaving many questioning whether to shut down their business or to pay their tax bill with a six-month lead time.
Behind the Process
Missouri Law requires Jackson County to reassess real estate property every odd number year. These assessments — conducted by a county assessor within the Jackson County Assessment Department — are based on current, fair market value, or the price a buyer would be willing to pay for the sale of the property, for all real estate properties across Jackson County, including — but not limited to — residential, commercial and agricultural, according to Jackson County’s website and the Board of Equalization (BOE) — an independent board of citizen tax payers in Jackson County, to completely and fairly equalize the value of all real estate property within the county.
Within their assessment, a commercial property owner will discover what Jackson County deems the property’s fair market value price — or what they believe the building is worth. From the fair market value, a property owner will receive an assessment rate or assessment value, which includes 32% of the property’s fair market value. This assessed 32% is then what commercial property owners are required to pay the county in taxes for their property.
Once a property owner has received their tax assessment, they have until Dec. 31 to file their taxes on that property. If they feel the assessment department has miscalculated their property’s fair market value, a commercial property owner has the ability to file an appeal with the county and the BOE. This year, the deadline to file an appeal is Monday, July 14.
However, while there is a clause for residential properties that assessed tax rates cannot increase more than 15% from the previous year’s assessment, this same stipulation is not implemented for commercial properties. And with no limit to how much this amount can increase from year to year, this year’s tax assessments have hit commercial property owners and will leave what they believe to be a large impact on the county as a whole.
Impact Across Jackson County
Several property owners have seen a significant increase in the fair market values, and tax assessment rates, for their commercial properties from 2023, including two businesses in particular within the Historic Northeast.
H&H Plumbing Business Owner and Plumber Dennis Hamontree does not operate his business out of his property at 4836 E. Ninth St., he instead utilizes the building for storage. Hamontree shared that he purchased his property for $10,000, 15 years ago and each year, the fair market value of his property has increased around $10,000. In 2023, he shared the fair market value of his building was assessed at $65,000 regardless of not making any improvements to the space since his purchase.
This year’s assessment, Hamontree shared, totaled at $95,000 for his property. Leaving him with a nearly $3,000 tax bill for 2025 on a storage space.
While Hamontree has recently experienced additional challenges with this building, which will require involvement of an attorney and may impact the future ownership of his property, he said it is this increase in his property taxes, which left him with initial uncertainty.
“For whatever reason, the City is pricing people out of their homes and businesses,” Hamontree said in an interview, Tuesday. “Mom and pop shops can’t pay these taxes.”
After receiving his fair market value of $95,000, which Hamontree said he feels is more accurately worth around $20,000, he could file an appeals process to get his property fair market value reassessed by the Jackson County BOE.
As filing an appeal must be completed online, Hamontree shared it is that factor, which remains a deterrent for many property owners in Jackson County.
“You can’t do anything without doing it online; older people can’t do it,” he said. “I feel really bad for the older people who can’t fight back.”
However, many business owners have expressed the impact this property tax increase will have, not just on the commercial property owners, but on the county as a whole. Small Business Owner Eric Bellamaganya and Blip Coffee Roasters Owner Ian Davis both shared that while this increase is hitting their businesses, in turn, it will also have a large impact on Jackson County customers.
“It’s across the board and every industry,” Davis said in an interview, Wednesday. “It’s devaluing the dollar spent in Jackson County. It’s not just a tax on commercial property owners. If property taxes in Jackson County went up, rent just went up drastically. It gets passed on to the customer.”
This year, Davis and Blip Coffee Roasters received a 626% increase on their tax assessment from 2023, leaving the business with a $20,000 tax bill to pay by Dec. 31.
“If we’re able to stay in business, we will have to increase prices,” he said.
This is also the case for Bellamaganya as he owns and operates two businesses within the Historic Northeast. While Bellamaganya does not own either of his buildings, he shared that property taxes have increased, which in turn will increase the rent for both of his spaces.
“We try to keep costs down for customers, but unfortunately, that’s what’s going to happen,” he said in reference to increasing prices at his coffee shop.
For both Davis and Bellamaganya, they shared an overall lack of transparency and accountability- from the City of Kansas City and Jackson County- is what remains the most frustrating.
“There’s an overall lack of communication; people don’t understand where taxes go,” Bellamaganya said. “Property taxes are designed to provide services and infrastructure that benefit communities; we don’t see the value in the taxes we already pay.”
“All anyone wants is transparency and accountability and it’s not happening,” Davis said. “It’s not just affecting a small group of commercial property owners; It’s every single person in Jackson County.”
On Monday, June 30, at the Jackson County Legislature meeting, two topics were discussed, including a commercial property tax assessment rate cap at 15% and a proposal to extend the appeals process deadline. An appeals process extension was denied, while the assessment rate cap was postponed for a later date.
“It’s hard, I wish there was a good answer,” Davis said in an interview, Wednesday.
Appeals Process
In a workshop on Thursday, June 26 at The Loretto (1111 W. 39th St.), Jackson County Legislator Sean Smith, along with County-area real estate agents, appraisers and former BOE members detailed the commercial property tax assessment appeals process through the Jackson County Parcel Viewer website for Jackson County residents and commercial property owners.
The appeals process must be completed online through a portal on the Jackson County website; appeals will not be accepted by email or fax. This workshop included the importance of utilizing resources to build a solid case to the BOE. In filing an appeals case, a commercial property owner should prepare the following proper documentation:
- Supporting documentation including comparables (comps) from a certified appraiser
- Sales contracts and settlement statement of sale of the property
- Written estimates or costs for structure/ property improvements
- Photos, which include before and after proof of renovations
- Proof of Income, rent rolls, leases and depreciation schedules for the last three years only
This documentation must be included with an appeal no later than 10 days following the application’s submission.
All appeals hearings are public and held with the BOE by phone. During this hearing, a BOE member may increase, decrease or maintain the current market value of a property. Negotiating, former BOE member and Independence Plaza Neighborhood Council Member Forestine Beasley shared on Thursday, is not an option.
For those unsatisfied with their BOE result, they would then have to file an appeal with the Missouri State Tax Commission.
Three of Jackson County’s Legislators will be hosting a town hall beginning at 6 p.m. on Wednesday, July 9 at J. Rieger & Co (2700 Guinotte Ave.) to discuss the 2025 Jackson County Commercial Property Tax Assessment and its appeals process. Experts will be on hand to assist in completion of this appeals process, according to a release from Jackson County, Wednesday.
admin
Dorri Partain
-
