Property tax is a tax levied or assessed on the owner of property—often real property (real estate)—that is based on the property’s appraised value. Local governments often impose property taxes to finance their school districts, police departments, fire departments, and municipal projects such as construction and maintenance of streets and roads.
Most local government authorities (often counties) allow citizens to dispute or challenge the appraised value of their property through an administrative process initiated with the tax assessor or appraisal district.
In Hawaii, property tax is administered at the county level, with each of the state's four counties (Hawaii, Honolulu, Kauai, and Maui) setting their own rates and rules. The tax is based on the assessed value of the property, which is determined by the county's property tax assessor. Property taxes in Hawaii are relatively low compared to other states, and the state offers several exemptions, including those for homeowners, the elderly, and disabled veterans. Property owners in Hawaii who disagree with the assessed value of their property have the right to appeal. The appeal process typically involves filing a challenge with the county's Board of Review or Tax Appeal Court within a specified time frame after the assessment notices are sent out.