Boston sued by commercial property owner who alleges retaliatory overtaxation
Summary
A commercial property owner has filed a class-action lawsuit against the City of Boston, alleging that the city unlawfully inflated property tax assessments in retaliation for the owner’s appeal of a previous assessment. Pioneer New England Legal Foundation and Sullivan & Worcester LLP represent the plaintiff, 148 State St., and claim the city’s actions have impacted at least 61 commercial property owners. The lawsuit argues the city artificially inflated property values for those who appealed, seeking to avoid recognizing fair market value decreases post-pandemic.
The city allegedly maintained higher assessed values from previous years instead of reflecting current market values, and even added back a portion of estimated value decreases for appealing property owners. This practice, spanning 2024 and 2025, has allegedly resulted in millions of dollars in excess taxes paid by property owners. Experts estimate potential overtaxation could reach $200 million, with implications for Boston’s budget and residential tax bills.
The city maintains a clear legal process for appeals and has dismissed the allegations as “baseless.” The Department of Revenue also stated it could not substantiate the claims. However, Pioneer New England Legal Foundation remains confident in its case, suggesting the alleged over-assessment could be a way to achieve the same outcome as stalled legislation to increase commercial tax rates.
(Source:The Boston Herald)