The Effect of Property Assessment Reductions on Tax Delinquency and Tax Foreclosure

B-Tier
Journal: National Tax Journal
Year: 2025
Volume: 78
Issue: 2
Pages: 415 - 433

Score contribution per author:

0.670 = (α=2.01 / 3 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This article evaluates the impacts of residential property tax bill reductions on tax delinquency and property tax foreclosure in Detroit, using the substantial decline in tax bills driven by a citywide reassessment. Using parcel-level data between 2012 and 2019, we find that property tax reductions resulting from the property reassessment generated meaningful tax compliance improvements. Detroit offers important lessons for other cities experiencing chronic population decline, excess supply of housing, and potentially inflated assessment valuations for property tax purposes.

Technical Details

RePEc Handle
repec:ucp:nattax:doi:10.1086/735110
Journal Field
Public
Author Count
3
Added to Database
2026-01-28