Affidavit of Arms-Length Transaction for Property Tax Assessment

Property Tax Appeal Affidavit Template

When challenging a property tax assessment, proving that your recent purchase was an arm's-length transaction is critical. This Affidavit of Arms-Length Transaction template helps property owners create a legally compliant sworn statement demonstrating that the sale price reflects true market value.

Why This Form Matters for Property Tax Appeals

Tax assessors sometimes question whether a property's sale price accurately represents fair market value. If you purchased property from a family member, business associate, or under unusual circumstances, assessors may disregard the sale price when determining your tax liability. An arm's-length affidavit provides documented proof that your transaction was conducted between unrelated parties at market rates, making your sale price a valid basis for assessment.

Designed for Property Owners, Real Estate Professionals & Legal Teams

This template serves:

• Property owners appealing unfair tax assessments after recent purchases
• Real estate attorneys preparing tax appeal documentation for clients
• Tax consultants building evidence packages for assessment challenges
• Real estate agents helping buyers establish proper market valuations
• Title companies providing closing documentation support

What This Affidavit Captures

The form collects comprehensive information to establish the legitimacy of your transaction:

• Complete property details and identification
• Sale price, date, and transaction terms
• Sworn statements about buyer-seller relationship (or lack thereof)
• Market analysis and comparable sales justification
• Details of marketing efforts and offer competition
• Financing terms and conditions
• Supporting documentation for independent valuation

Streamline Your Property Tax Appeal with Paperform

Rather than working with static PDF affidavits that require printing, manual completion, and scanning, this Paperform template creates a professional digital workflow. Conditional logic shows relevant questions based on your transaction type, calculations help organize comparable sales data, and file upload fields let you attach supporting documentation like appraisals and market analyses.

Once completed, you can export the affidavit as a PDF for notarization and submission to your local tax assessor's office. If you need signatures from multiple parties, integrate with Papersign (papersign.com) to collect legally binding eSignatures from co-owners, real estate agents, or witnesses without printing a single page.

For legal teams handling multiple property tax appeals, use Stepper (stepper.io) to automate your workflow—automatically route completed affidavits to attorneys for review, send notification emails to clients, update case management systems, and create task lists for gathering additional supporting documentation.

This template helps you present clear, organized evidence that your property purchase reflects true market value, strengthening your position in property tax assessment disputes and potentially saving thousands in annual tax liability.