The Best and Worst of Property Tax Administration

Transcription

1 Th Bst n Wost of Popty Tx Aministtion COST Scoc on Stt Popty Tx Aministtiv Pctics Fick J. Nicly My 2011 Dougls J. Tun Excutiv Summy Fi popty tx ministtion is citiclly impotnt to both iniviul n businss txpys. Fom n iniviul pspctiv, th popty tx is oftn intifi s th most ht tx, i supssing both th incom tx n th sls tx in txpys low stimtion. Whil much-vil, howv, it is unlikly to go wy nytim soon sinc th popty tx povis ppoximtly 65% of locl school vnus. ii Bcus stt n locl juisictions ly so hvily on th popty tx, it is ssntil fo stt lgisltos n tx ministtos to nsu th tx is minist fily n without pcptions of bis o unu ministtiv buns. Txpys much mo willing to fily n fully comply with popty tx systm pciv s unbis, quitbl n fficint. Th Council On Stt Txtion (COST) is th pmi stt tx ogniztion psnting multijuisictionl txpys. COST is nonpofit t ogniztion consisting of nly 600 multistt copotions. COST s mission is to psv n pomot quitbl n noniscimintoy stt n locl txtion of multijuisictionl businss ntitis. Ov th lst 100 ys, th popty tx hs gully shift fom tx gnlly impos t th stt lvl (ccounting fo 43% of stt vnu in th ly 1900s), to cicumstncs toy wh 98% of th popty tx is impos t th locl lvl ccounting fo ov 70% of vnus fo locl govnmnts. iii Popty txs toy ccount fo lss thn two pcnt of stt vnus. iv Bcus of th potntil buns on businsss cus by this cntliztion, it is vitl fo stt govnmnts to ovs th options of locl ssssos to nsu popty txs unifomly n fily ssss. v Viw fom th businss community s pspctiv, popty txs compis fully 36.5% of th totl stt n locl tx bun impos on businss fo FY 2009, f xcing ll oth txs impos on businsss by stt n locl juisictions. vi This quts to $215.3 billion in popty txs nnully n mount which, conty to cunt conomic tns, continus to stily incs y to y. vii In, cnt stuy not tht th Distict of Columbi, Floi, Inin, n Nw Mxico w foun to hv incs popty tx collctions by ov 10% nnully (on p cpit bsis) fom fiscl y 2007 to fiscl y viii This Scoc vluts th following chctistics of stt n locl popty tx systms tht in ou viw psnt fi popty tx ministtion on stt by stt bsis: A fi popty tx systm must hv stniz filing, mittnc n ppl pocus thoughout th stt; 2011 Council On Stt Txtion (COST) 122 C Stt NW, Suit 330 Wshington, DC Phon: F Nicly is COST s Tx Counsl n th stff mmb ssign to ssist COST s Popty Tx Committ. H is fomly Chif Counsl to th Ohio Dptmnt of Txtion. Doug Tun is Dicto of Popty Txs fo th nl Elctic Compny n svs s chi of th COST Popty Tx Committ.

2 Th ppl pocss fo popty tx isputs must b bfo n inpnnt tibunl, in novo hing, without py-to-ply quimnt fo isput popty txs; n Th popty tx bun must b blnc n unifom n not shift onto businss txpys. This scoc complmnts oth scocs COST hs issu to vlut stt ministtiv tx pctics. COST cntly upt Th Bst n Wost of Stt Tx Aministtion scoc in Fbuy, Aitionlly, COST hs vlut stt unclim popty lws fom th popty hols pspctiv in Th Bst n Wost of Stt Unclim Popty Lws. This Scoc, Th Bst n Wost of Popty Tx Aministtion, spcificlly sss stt popty tx ministtiv pctics, tking into ccount th fct tht popty txs minist t both th stt n locl govnmnt lvl. Simil to th pio scocs, this Scoc nks objctiv pocul pctics of stt n locl popty tx ministtiv pctics. Stong ovsight fom th stt (usully th stt s chif tx uthoity) is sibl fo th potion of th popty tx minist loclly. Top 5 n Bottom 5 Rnk Stts: Top-Rnk Stts Bottom-Rnk Stts Stt Stt Myln A- Nw Yok F Floi B+ Dlw D- ogi B+ Illinois D- Kntucky B+ Pnnsylvni D- Ogon B+ Hwii D Intouction COST is non-pofit t ogniztion tht psnts nly 600 multistt copotions ngg in intstt n intntionl businsss. This Scoc pomots COST s mission sttmnt of psving n pomoting quitbl n noniscimintoy stt n locl txtion of multi-juisictionl businss ntitis. In 2008, COST fom Popty Tx Tsk Foc ix focus on ffots to impov stt n locl ministtion of popty txs. On of th initil gols of th Tsk Foc ws to vlop COST policy sttmnt on fi n quitbl popty tx ministtion. In Octob, 2008, th COST Bo opt th Tsk Foc s commntions. Tht policy sttmnt s s follows: Position: Stt n locl popty tx systms must b fily minist n tx buns quitbly istibut mong txpys. A popty tx systm tht is infficint o tht ispopotionlly flls upon businss is not quitbl n will ngtivly impct stt s businss tx climt. Unifom Tx Bs n Rts A popty tx bs ispopotionlly compising businss popty is not blnc. Th tx ts impos on popty us fo businss puposs shoul not significntly iff fom th tx ts impos on popty us fo sintil puposs. Th mkt vlu n ssss vlu tios fo businss n sintil popty shoul lso b simil. Futhmo, intngibl popty, such s t nms, custom ltionships n goowill, shoul not b inclu in th popty tx bs bcus such popty is ssocit only with th mngmnt of businss, n th msumnt of such vlu is xtmly subjctiv. Finlly, wholsl xmptions of popty us fo sintil puposs n tificil cps tht o not qully pply to popty us in businss inhntly unfi n fisclly unsoun. Efficint Filing Pocus Th fomt n filing u ts fo popty tx tuns, incluing qusts fo supplmntl infomtion n xtnsions, shoul b unifom coss th Stt n llow nough tim fo pop compltion ft th vlution lin t. Txpys shoul b povi sufficint tim to viw ssssmnts (.g., 60 ys) so s to minimiz th numb of potctiv ppls tht fil. Stmlin pocus shoul b povi fo popty owns to obtin xmptions. A sttwi vlution mthoology tht is conuct in cconc with Unifom Stns of Pofssionl Appisl Pctic (USPAP) n upt on gul bsis to fcto in chngs in vlu, incluing pcition n ll foms of obsolscnc, shoul b utiliz. An fficint popty tx systm shoul lso utiliz mon lctonic filing mthos n povi fo xclusions fom poting n pying tx on minimis mounts of popty. Cntliz Rviw n Unifom Appl Pocus If popty tx tuns fil loclly, cntl gncy shoul viw n hv ovsight ov loclitis popty tx pocus. Appl pocus n ts fo popty tx vlutions shoul b unifom coss th stt. Dcisions of locl popty tx viw bos shoul b subjct to novo viw by n inpnnt tibunl, pfbly on tht hs sttwi juisiction n n xptis in popty txtion. Tx Pymnt Rquimnts on Contst Vlutions Locl govnmnts n oth bnficiis of popty txs cn suff significnt hm whn vlution isputs l to substntil funs of popty txs tht hv ly bn ppopit. Illy, txpys shoul only hv to py th tx on th unisput vlu o only on potion of th contst vlu of th popty. Altntivly, whn significnt mount of tx is in isput, such mounts shoul b kpt in scow to minimiz th hm to th bnficiis of th tx shoul th txpy pvil in th isput. At th b minimum, if uc pymnt o scow is not llow, th bnficiis of th tx must b notifi of th isput to nsu th isput tx vnu is us puntly. Any intst chg must pply qully to ovpymnts n unpymnts. Mny of th issus intifi in this Scoc bs on concns is by th Appisl Fountion, n ntity uthoiz by Congss. Th Appisl Fountion is nonpofit ogniztion with two bos: th Appis Qulifiction Bo, which stblishs minimum uction n 2

3 xpinc quimnts fo ppiss, n th Appisl Stns Bo, which issus th Unifom Stns of Pofssionl Appisl Pctic (USPAP). COST s vlution is lso consistnt with th sttmnt of vlus pomulgt by th Intntionl Assocition of Assssing Offics ( IAAO ) upon which its Co of Ethics is bs. x Th IAAO is nonpofit ogniztion of govnmnt ssssmnt officils n oths intst in th ministtion of popty txs, with mission of pomoting innovtion n xcllnc in popty ppisl, ssssmnt ministtion n popty tx policy. Th following th IAAO s vlus: 1) Commitmnt to th impovmnt of th popty tx systm wolwi; 2) Accountbility to th public goo; 3) Commitmnt to xcllnc in ssssmnt ministtion byon popty tx; 4) Rspct fo th woth n ignity of ll iniviuls; 5) Pomotion of inclusivnss, finss n ivsity; 6) Obligtion to ogniztionl tnspncy, intgity n honsty; 7) Pctic of sponsibl stwship of soucs; n 8) Diction to xcllnc n mintining th public tust. Th IAAO hs lso publish book ssing th Funmntls of Tx Policy tht nots finss, quity n unifomity shoul pomint in goo popty tx systm. xi Th COST Stuy: Highlighting th scop of th complinc bun, th COST Popty Tx Tsk Foc conuct bnchmking stuy to tmin if COST mmbs h significnt iffncs with how thy compli with th stts popty tx lws. In summizing th t fom th bnchmking stuy, 32 COST mmbs pticipt, inicting thy hv popty tx filing sponsibility in n vg of 38 stts, with th smllst sponnt hving filing sponsibility in svn stts. Most COST mmbs sponing to th bnchmking suvy (40%) inict thy h filing sponsibility in ov 45 stts. Thos COST mmbs lso pot pying ov $3.5 billion in popty txs nnully, split oughly 50/50 btwn l n psonl popty tx. To mit thos txs, thos COST mmb compnis qui to pocss ov qut of million tx bills fo pymnt. Nin compnis in th stuy pocss ov 10,000 popty tx bills p y. Lstly, th bnchmking stuy foun tht COST mmbs w uit on gul bsis. Th vg numb of popty tx uits fc by COST mmb sponnts ws 24 p y. Fo this initil Scoc, both l n psonl popty ss togth, long with poptis tht cntlly ssss (.g., mny public utilitis). In gnl, most l popty is ssss t th locl lvl. Stts vy on wh th psonl popty tx is minist. Som stts minist it loclly, som compltly t th stt lvl n oth stts us combintion of both. Mny public utilitis, incluing fomly gult ntitis, hv ll thi popty tx minist t th stt lvl. Miscllnous popty txs impos on ctin typs of popty, such s moto vhicls, outsi of th scop of this Scoc. This Scoc focuss on objctiv fctos in vluting stt s popty tx ministtiv pctics. Objctiv vlutions pimily bs on stt n locl govnmnt lws n gultions. Subjctiv issus with vious stt n locl ssssos n thi pctics not th focus of this Scoc. Thos subjctiv vlutions cn chng ov tim pning on who is th cting tx sssso in juisiction; n oftn influnc by th ltionship compny n/o inusty hs with spctiv ssssos. Th us of objctiv citi compots with COST s gol in issuing this suvy to povi th stts with issus thy cn chng lgisltivly (o by ulmking) in o to impov popty tx lws to chiv fi n mo quitbl popty tx systm. This Scoc os not focus on th vntgs (.g., ltiv s of locting txbl l popty n vnu stbility) o isvntgs (.g., pymnt not ictly ti to incs in wlth o incom) to stt n locl govnmnts using popty txs s vnu souc s comp to oth txs. PROPERTY TAX SCORECARD This Scoc vluts multipl citi lump into th pimy subjct s: 1) Stniz Pocus; 2) Fi Popty Tx Appl Pocus; n 3) Rsintil Popty Tx Buns vs. Businss Popty Tx Buns. W lso inclu n Oth Issus componnt to ss issus not spcificlly ss in on of th pimy goups. A til xplntion of ch subctgoy is inclu ft th scoing tbl lt in this pot. Stniz Pocus. This goup contins fiv subctgois: 1) Sttwi stniz u ts fo ll popty tx filings n pymnts; 2) Sttwi us of stniz foms (vy impotnt whn businsss qui to fil pots with locl juisictions of stt) n ovsight by stt gncy; 3) Rsonbl l popty tx vlution cycls (vy two to th ys); 4) Exclusions fo minimis popty vlus n/o bills; n 5) Equl intst ts ppli to ssssmnts of itionl tx u n ny tx ovpymnts. Fi Popty Tx Appl Pocus. This nxt goup contins fou subctgois, th ssntil lmnts of fi popty tx ppl pocus. Th subctgois : 1) Th initil ppl lin must b fi n sonbl (t lst 60 ys); 2) Th bun of poof to sustin n ppl must b sonbl; 3) D novo viw bfo n inpnnt tibunl must b vilbl ft compltion of ny ministtiv viw t both th stt n th locl lvl; n 4) Th isput potion of th popty tx shoul b scow o ptil pymnt of th tx shoul b llow in th vnt of isput. 3

4 Rsintil Popty Tx Buns v. Businss Popty Tx Buns. This lst goup contins th subctgois n consis whth th popty tx bun is nutl o unuly buns businss popty mo thn sintil popty. Th following fctos w consi in this gouping: 1) Assssmnt tios on vious typs of popty; 2) Tx ssssmnt cps; n 3) Equl popty tx buns. Th focus on qul popty tx buns is bs on whth th ovll tx bun impos on th businss scto is gt thn tht impos on sintil popty in th stt (i.., th focus is not on miscllnous popty tx xmptions nowly tgt t ctin owns of sintil popty). As stt in Policy Focus Rpot publish by th Lincoln Institut of Ln Policy: Th vinc shows tht limits on ssss vlus, whil fvo by mny homowns, ply flw mns to count ising popty txs n By sving th connction btwn popty vlus n popty txs, ssssmnt limits impos wily iffing popty tx obligtions on owns of inticl popty; uc conomic gowth by istoting txpy cision mking; n gtly uc th tnspncy n ccountbility of th popty tx systm s whol. xii Oth Issus. Ctin issus with spct to stt ministtiv popty tx pctics o not fit within th pvious ctgois. COST mmbs n pctitions w sk to intify itionl poblms with stt s popty tx ministtion tht w not ictly ss in on of th spcific ctgois. Not tht this Scoc os not ictly ss spcific vlution issus lt to ctin inustis (such s public utilitis, incluing ntitis fomly gult s public utilitis). Howv, wh ppopit, points givn to thos stts tht inquitbly inclu intngibl popty in th vlution of ths ntitis whn such popty is xclu fom popty txtion fo ll oth typs of businsss (incluing sintil poptis). ing th Suvy xiii Point totls w tmin fo ch subctgoy fom th bov goups using 0 to 4 ging systm. Th high th sco, th mo th stt s popty tx pctics vit fom COST s commntions fo fi n fficint popty tx systm. On point ws ssign to ch issu list in th Oth Issus ctgoy contin in th nl Infomtion sction of th Scoc. No oth ging ws inclu in th nl Infomtion potion of th Scoc tht infomtion is povi solly fo infomtionl puposs. Th following scl ws us fo th finl ging of th scoc: Stniz Pocus (mx 20 points) Fi Tx Appl Pocus (mx 16 points) Rsintil v. Businss Popty (Unfi Bun) (mx 12 points) Totl Sco A 0 to 4 0 to 3 0 to 1 0 to 11 B 5 to 10 4 to 5 2 to 4 12 to 20 C 11 to 15 6 to 10 5 to 6 21 to 31 D 16 to to 13 7 to to 38 F Abov 18 Abov 13 Abov 10 Abov 38 Summy Rsults Th summy tbl on Pg 5 nks ch stt s sults in complying with th subctgois scib bov. Mo til infomtion is povi blow n th suvy sults povi fo ch gouping bginning on pg 10 of this suvy. 4

5 Stniz Pocus Fi Tx Appl Pocus Rsintil v. Businss Popty Oth Issus Totl Sco Stt (Mx. 20) (Mx. 16) (Mx. 12) AL 8 B 6 C+ 10 D 1 25 C- AK 15 C- 11 D 3 B 1 30 C- AZ 9 B- 8 C 9 D 0 26 C- AR 7 B 8 C 3 B 1 19 B- CA 8 B 11 D 4 B C- CO 0 A 9 C 9 D 2 20 B- CT 15 C- 6 C+ 4 B C- DE 20 F 10 C- 4 B D- DC 6 B 9 C 11 F 1 27 C- FL 6 B 3 A- 5 C 0 14 B+ A 3 A 3 A- 5 C 2 13 B+ HI 17 D 8 C 9 D 0 34 D ID 12 C 7 C 3 B 0 22 C+ IL 17 D 9 C 8 D 1 35 D- IN 12 C 5 B- 7 D 1 25 C- IA 10 B- 9 C 10 D 2 31 C- KS 7 B 8 C 7 D 1 23 C KY 7 B 6 C+ 1 A 1 15 B+ LA 13 C 9 C 8 D 2 32 D ME 15 C- 5 B- 4 B C- MD 1 A 6 C+ 3 B 1 11 A- MA 11 C+ 5 B- 8 D 1 25 C- MI 6 B 8 C 6 C B- MN 11 C+ 5 C 7 D 0 23 C MS 6 B 12 D 6 C C- MO 11 C+ 5 B- 7 D 2 25 C- MT 10 B- 11 D 8 D 2 31 C- NE 9 B- 9 C 1 A 1 20 B- NV 8 B 13 F 4 B C- NH 14 C 4 B 0 A 1 19 B- NJ 16 D 8 C 4 B C- NM 11 C+ 8 C 6 C C- NY 20 F 10 C- 10 D 3 43 F NC 10 B- 6 C+ 0 A 3 19 B- ND 9 B- 12 D 3 B 0 24 C OH 7 B 6 C+ 6 C B- OK 5 B+ 4 B 7 D 2 18 B OR 6 B 4 B 2 B B+ PA 19 F 8 C 6 C D- RI 15 C- 10 C- 7 D 0 32 D SC 12 C 3 A- 11 F 1 27 C- SD 9 B- 8 C 4 B C+ TN 11 C+ 9 C 6 C C- TX 7 B 3 A- 6 C B- UT 3 A 7 C 5 C 2 17 B VT 9 B- 10 C- 2 B C+ VA 18 D 8 C 2 B C- WA 10 B- 9 C 1 A 1 21 C+ WV 9 B- 12 D 6 C C- WI 11 C+ 12 D 3 B 0 26 C- WY 11 C+ 4 B 3 B 1 19 B- 5

6 SPECIFIC CRITERIA USED FOR FAIR PROPERTY TAX ADMINISTRATION Stniz Pocus Th stt-by-stt til on Stniz Pocus stts on pg 10. As not in th COST bnchmking suvy iscuss bov, multijuisictionl compnis oftn qui to pocss thousns of popty tx bills. It is citicl fo stts to implmnt stniz pocus to llow ths businsss to mo fully n fily comply with stt n locl popty tx lws. Stniztion fosts n opn n tnspnt pocss tht lso hlps uc th ngtiv pcption, whth l o pciv, tht txpy must hv n insi connction to civ fi ttmnt in tx sssso s juisiction. 1) Stniz Du Dts: Du ts fo popty tx tuns/pots must b consistnt coss th stt. Inconsistnt u ts tht vy by locl juisiction n/ o vy fom y to y ct n unu complinc bun on businss txpys. Fotuntly, 23 stts sco n A fo implmnting stniz u ts fo filings n pymnts. Th popty tx sttuts of ch stt shoul clly povi unifom ts intifying whn ll filings n pymnts u. Du ts shoul not b lft opn to th isction of locl ssssos. W liz, howv, tht stt o locl ssssos shoul hv th flxibility to xtn u ts to l with unfosn cicumstncs (.g., mssiv flooing in th community, unxpct chngs in popty tx vlution, tc.). 2) Stniz Foms & Ovsight: Bcus mny stts hv huns of popty tx juisictions, it is unconscionbl to llow ch txing juisiction to qui spt n istinct foms fo poting popty txs, n to initit n ppl of popty vlution. Fo fficincy puposs, mny businss popty txpys mng thi popty tx options t cntl loction. It cts tmnous n unncssy bun on businss txpy to fil uniquly iffnt foms in vy popty tx juisiction wh th txpy hs popty. It cn lso l to gossly unfi pnltis fo filu to fil th coct fom o filing to poply mit pymnt by non-stn u t. Wos, it cn l to ismissl of popty tx ppl simply bcus spciliz fom qui to initit n ppl ws not complt. To voi such buns, cntl stt gncy, typiclly th stt vnu ptmnt, shoul pscib ll foms n shoul qui thos foms to b unifomly ccpt by th stt s locl ssssos. Such n gncy shoul lso mintin stong ovsight of vlution pctics us by locl ssssos. Fo xmpl, if obsolscnc/pcition tbls us to vlu psonl popty, ll ssssos in th stt shoul b qui to unifomly us th sm tbls incluing unifom xcptions to th us of such tbls. In ition, wh pplicbl, sls tio stuis shoul b us by th cntl stt gncy to confim tht ssssos ssssing, within n ccptbl mgin of o, th mkt vlu of th popty (i.., th pic pi fo th popty by willing buy n sll with nith un compulsion to buy o sll). It is impotnt fo th cntl stt gncy to focus on th gol of ssssing th popty t mkt vlu; it shoul not hv to continuously quliz popty vlus o tx ts to l with ssssos in txing juisictions tht inquitbly ssss popty t vlu gt o low thn mkt vlu. 3) Rl Popty Vlution Cycl Evy 2 to 3 Ys: Th il l popty tx vlution cycl is not nnul, but vy two to th ys. This is bcus som poptis qui xtnsiv ppisl tchniqus, mking it infficint n impcticl to vlu ll poptis in n sssso s juisiction on n nnul bsis. Mkt vlus cn quickly chng, howv, so vlution (i.., ppisl bs on ctul visul inspction of th popty) tht occus mo thn vy th ys is inppopit n cn l to vstly iffnt vlus on simil poptis, pning on whn th popty ws lst ppis. Comphnsiv vlutions lso pf ov pioic mi-cycl vlutions. Mi-cycl vlutions typiclly us only limit sttisticl t to moify th vlu of poptis in givn txing juisiction. It is lso impotnt fo th vlution cycl to b fix t st pio of tim in th lw. Th timing of popty vlution shoul not b t th option of th sssso, glss of whth th tmintion is bs on som fom of sttisticl nlysis. It is toubling tht in Conncticut, Dlw n Nw Yok, ssssos hv not conuct comphnsiv vlution of poptis in ctin txing juisictions fo mo thn tn ys. Dvitions fom th fix vlution cycl ppopit only whn ncssy to flct th ctul vlu of th popty sulting fom cnt sl, ssuming th popty ws sol in n m s-lngth tnsction. 4) Exclusion fo D Minimis Vlus: It is wst of soucs to qui txpys to fil pots on popty with insignificnt vlus. In mny such css, th cost to pot n minist th tx on th popty is gt thn th popty tx collct. Som stts hv ss this issu. In Floi psonl popty tx tun is not u to county if th totl vlu of th popty is lss thn $25,000. Rgttbly, th Scoc inicts tht most stts o not hv sttutoy povisions tht povi fo non-poting of minimis vlus. COST stongly ncougs stts to nct minimis povisions to ssist both txpys n tx ssssos. This minimis xclusion shoul lso pply to th pymnt of txs. If pcl hs tx bill of lss thn st mount, bill shoul not b issu. Ctin COST mmbs inict thy hv civ popty tx bills fo lss thn oll. Kuos to Floi, which gnts county commissions th isction to limint popty tx bills un $30. 6

7 Stts shoul lso llow bills issu by stt n/o locl ssssos to b consolit fo pymnt by th txpy. If th consolit bill fo ll popty own by txpy in th txing juisiction is un ctin mount,.g., $30, no tx bill shoul b snt. 5) Equl Intst Rts: Intst ts shoul fily flct th tim vlu of mony. Accoingly, th imposition of intst on linqunt pymnt of tx shoul b th sm n no gt thn th intst pi by stt o locl govnmnt fo th ovpymnt of popty tx. Only 11 stts w foun to impos th sm intst t on popty tx ficincis s thy o funs. Th t intst bgins to ccu is lso impotnt. Som stt n locl govnmnts will impos intst bs on th fist t pymnt is lt, but th fun of intst my b bs on t subsqunt to th ctul pymnt of th tx. Absnt sonbl mount of tim fo ssssos to coct billing n ssssmnt os,.g., chngs m within 60 ys of th popty tx billing, funs shoul b ntitl to th sm t of intst bs on th sm msumnt pio. Fi Popty Tx Appl Pocus Th stt-by-stt til on fi popty tx ppl pocus stts on pg 22. Pticully with spct to psonl popty, ou popty tx systm lis on th volunty submission by popty owns of infomtion to ssist ssssos in vluing th txbl popty in txing juisiction. A systm pciv s unfi n/o bis os not ncoug popty txpys to b opn n willing to sh infomtion with ssssos bout conitions impcting th vlu of txbl popty. Fo full cooption, txpys n listic mount of tim to fil n ppl, sonbl bun of poof, novo viw of n sssso s o popty tx bo s finings, n th bility to ptilly py o scow ny isput tx. 1) Initil Appl Dlin: Txpys sking to fil popty tx ppl to locl sssso, locl popty tx bo, o, if pplicbl, to stt tx gncy, shoul hv t lst 60 ys fom th foml wittn notic of th ssss vlu of th isput popty. Th il tim pio is 90 ys, which is th pio of tim to ppl spcifi in th Mol Stt Aministtiv Tx Cout Act of th Amicn B Assocition. xiv Unfotuntly, 23 stts impos n initil popty tx ppl pocss tht ffos txpy with lss thn 30 ys notic to ppl. Fo xmpl, Kntucky os not povi n qut tim pio to ppl n inccut ssssmnt. In Comwll Louisvill Associts v. Commonwlth of Kntucky, xv txpy tht fil to ppl th sssso s vlution within 13 ys fom th inspction pio ws not llow to subsquntly chllng th popty vlution, vn though stipult vlution o sult in popty tx ovpymnt of $67,327. Most toubling is tht som ssssos, whn chnging popty s vlu, not qui by sttut to sn vlution notic ictly to th txpy. Minimum u pocss quis fi notic; mly publishing notic in th locl nwspp o on th sssso s bulltin bo is not sufficint. 2) Bun of Poof: It is customy with most tx ppls fo th bun of poof to st with th txpy. Howv, popty tx is uniqu in tht th txpy oftn hs no ict contct with th sssso whn th initil tmintion is m fo th mkt vlu of th popty. Rflcting tht lity, som juisictions impos th initil bun on th sssso to psnt vinc to show th bsis fo th vlution of th popty. This is th pf bun. Anoth ccptbl mtho is to plc th bun on txpy to pov th txpy s sst vlution of th popty by pponnc of th vinc (th bun nomlly impos in oth stt tx isputs). Any itionl bun, such s cl n convincing stn, is gossly unfi. Th is no justifiction fo imposing bun of poof stn simil to th stn us by som juisictions to pov fu. COST is pls to pot tht Floi n Wst Vigini hv cntly chng thi lws to plc n unfi bun of poof quimnt with mo sonbl pponnc of vinc stn. 3) D Novo Appl: In gnl, th pf tx ppl pocu is to gnt txpys n initil ministtiv viw bfo tx sssso o bo ict to hnling popty tx ppls. Such n ppl povis txpys n ssssos with n oppotunity to quickly solv isputs bs on os o oth fctul iscpncis. Howv, subsqunt ppls shoul b to n inpnnt tx tibunl; n such viw shoul b novo; i.., th co fo ppl shoul not b st t th initil ministtiv (non-inpnnt) hing lvl. Futh, th popty own shoul b bl to is nw issus n vinc bfo th inpnnt tx tibunl, such s n ppisl n/o tstimony fom xpts tht my not hv bn vilbl (o povi) t th initil hing with th tx sssso o th popty tx bo. 4) Escow o Ptilly Py Disput Tx: Lg popty txpys oftn onously blm fo cusing finncil hm to community by ppling n sssso s vlution o qusting fun on popty subsquntly foun to b ovvlu. Businsss unstn tht popty tx vnus citicl fo funing mny impotnt govnmnt functions, pticully fo pimy n scony public school uction. Howv, it is unfi to citiciz popty txpys fo sking ppls o funs whn thy initilly foc to py th full mount of isput tx (i.., py-to-ply tx systm) whn th fult sts with th sssso who impoply vlu th popty. A popty tx systm tht quis isput popty txs to b pi in full in o to ppl (n thus voi lt pymnt pnltis), cts n incntiv fo vlution officils to voi ppopit justmnts to popty s vlution whn it is bov th popty s fi mkt vlu. Th pctic by ctin stts of quiing full pymnt of isput popty txs must n. 7

8 On simpl (n pf) solution is to llow txpys to py th popty tx on only th unisput vlu of th popty. If popty s vlu is foun to b gt thn th unisput mount ft ll ppls xhust, ny itionl tx ow shoul b pi by th popty txpy, with intst. As scon bst ltntiv, th isput tx shoul b plc n hl in n intst-bing scow ccount until th isput is solv. Eith ppoch mitigts politicl pssu on both tx officils n th txpy to uc th popty tx cipints xposu to funs sulting fom pymnt of th isput potion of th popty tx. Rsintil Popty Tx Bun v. Businss Popty Tx Bun To nsu nutlity, th popty tx bun must b sh qully btwn businss popty n sintil popty. A stt tht imposs low ssssmnt t n/o low nnul cp on popty gowth fo sintil popty, s comp to businss popty, is unfily shifting th bun of th popty tx to th businss scto. Stting on pg 32, this Scoc intifis popty tx systms tht plc high popty tx bun on businss popty. (Tgt xmptions povi to ctin owns of businss n/o sintil popty not cov in this nlysis.) 1) Assssmnt Rtios: Illy, th ssssmnt tio fo popty vlutions in stt shoul b 100% of th fi mkt vlu of ll txbl popty in th stt. Fo vious sons, som stts ssss ll popty t lss thn fi mkt vlu, but th sm pcntg of fi mkt vlu shoul pply to ll txbl poptis. Inquitis is whn ctin poptis (.g., public utility poptis n som oth cntlly ssss poptis) ssss t high t thn oth poptis in th stt o vlu iffntly (.g., unit vlution) to impos gt tx bun on tht popty. xvi In, som stts impos multipl clssifictions of popty, ch with iffnt ssssmnt ts. Som stts lso llow ssssmnt tios to vy fom loclity to loclity, futh complicting complinc n ministtion. Whn ll txbl popty is vlu t 100% of fi mkt vlu, th tx bcoms mo tnspnt. It is si fo owns of popty in th stt to unstn thi popty tx bills n to comp tx ts impos on popty thoughout th stt. 2) Tx Assssmnt Cps: Anoth mchnism us by som stts to shift th bun of th popty tx to businss is th imposition of cps on th gowth of popty tht only pplis, o mo fvobly pplis, to sintil poptis. Fo xmpl, Floi n Inin both povi cps on sintil n businss popty; howv, th cps fvo sintil popty. Floi cps sintil popty t th high of 3% o infltion whil businss popty is cpp t 10% (xcluing nw constuction). Inin s cp stuctu ngs fom 3% fo som businss popty to 1% fo own-occupi homs. Th pf tx stuctu imposs no cps, n tx ts woul just ccoing to th ovll vlution bs in txing istict. A cnt stuy vluting popty cps by th Lincoln Institut fo Ln Policy commn thi limintion (long with homst xmptions) s wy to mk th popty tx systm mo quitbl. xvii If cps impos, thy shoul pply qully to businss n sintil popty;.g., Clifoni s nnul gowth cp is 2% o infltion, whichv is lss. xviii 3) Equl Popty Tx Bun: If th cumultiv ffct of xmptions ffo to sintil popty owns unfily shifts th bun of th tx to th businss scto, n imblnc popty tx stuctu tht os not qutly istibut th popty tx bun to ll popty owns in stt is ct. Whil th vious homst xmptions stt offs povi in th tbl, th scoing fo this ctgoy ws pimily bs on th Minnsot Txpys Assocition s 50-Stt Popty Tx Compison Stuy fo txs pybl in xix Tbl 19 in tht stuy comps th ffctiv tx t on $1 million commcil popty to tht of min-vlu hom in slct mtopolitn s of ch stt. Th high th tio, th mo commcil poptis subsiizing th popty txs pi by homowns. Fotuntly, 15 stts hv ffctiv tx ts tht inict both typs of poptis tt qully tio t o clos to 1. On th oth n, six stts, incluing Nw Yok (with Nw Yok City), impos ffctiv tx ts on commcil poptis tht th to six tims gt thn thos impos on sintil popty. An Iho cs, Simmons v. Stt Tx Commission, 723 P (1986), scibs th impct of 50% (up to $50,000) homst xmption ov tim. Tx ts significntly incs in o to py fo th homst xmption, which in tun incs th tx bun impos on th non-xmpt popty owns. xx nl Infomtion Excpt fo th Oth Issus column, th gnl infomtion sction stting on pg 39 ws not g. This sction of th Scoc inclus th typs of popty txpys in stt, th txbl popty in th stt (.g., som stts o not ssss psonl popty), th gnl vlution t fo th popty in stt, n th initil juisiction tht hnls popty tx ppl. Spcific Suvy Qustions Th following th spcific suvy qustions snt to popty tx ministtos of ch stt, to COST mmbs, n to popty tx pctitions. nl Infomtion 1) Wht ctgois of businss txpys tx in th stt (gnl businss, utilitis, tlcommunictions, ilo, oil n gs, tc.)? Which of ths ctgois of txpys loclly ssss n which cntlly ssss? 8

9 2) Wht typ of popty is txbl in th stt (l popty, psonl popty, o both)? 3) Wht th popty vlution ts n ssssmnt ts fo poptis in th stt? 4) Wht juisiction(s) hnls th initil ppl of popty tx ssssmnt? Stn Pocus 1) A th sttwi stniz u ts fo filings n pymnts? 2) A th sttwi stniz foms us fo filings (tuns/pots, ssssmnts, ppls, tc.)? 3) How oftn is l popty in th stt vlu? 4) Is th n xclusion llow fo popty tht is of minimis vlu o woul ct minimis tx bill (.g., no bills issu fo un $10)? 5) A qul intst ts us by th txing uthoitis fo both intst on unpymnt of txs n fun intst on ovpymnt of txs? Fi Tx Appl Pocus 1) Wht is th lin fo txpys to initilly ppl popty ssssmnt in th stt? How mny ys os th txpy hv fom th notic of ssssmnt to th lin to ppl? 2) Who hs th bun of poof t th initil ppl? Wht lvl of poof must b povi in th initil ppl? 3) Is novo stn of viw us t th subsqunt lvl of ppl? 4) If th txpy chooss to chllng th ssssmnt, cn th tx b scow? O cn th txpy mk ptil pymnt of th unisput tx until th vlution isput is conclu? Rsintil v. Businss Popty 1) Wht th iffnt ssssmnt tios us to vlu th iffnt typs of popty n/o iffnt typs of businsss in th stt? 2) Dos th stt hv cps? If so, how o thy pply to businss popty comp to sintil popty? 3) Dos th stt hv homst xmptions, n th xmptions now (.g., tgt tows spcil goups of txpys such s snios n isbl) o bo (.g., pply to lmost ll sincs)? Acknowlgmnt of Appcition Although th numb of sponnts is too numous to list, COST woul lik to cknowlg n thnk thos who pticipt in th bnchmking suvy n th pouction of this Scoc, incluing COST mmb compnis, popty tx pctitions n stt popty tx psnttivs. Thi pticiption is ply ppcit. 9

10 Stt Stniz Du Dts fo Filings/Pymnts? AL Ys. Rpots u: l n psonl popty filings u b/t 10/1 n 12/31 (Al. Co ); utility filings u on 3/1 (Al. Co , -17). Pymnts u: l, psonl, n utility popty: following 10/1 (Al. Co ). Fight lin n quipmnt compnis pymnt u upon 30 ys fom t of th pliminy ssssmnt (Al. Co ). AK No. Vis loclly. But oil n gs tuns my b qui by th stt (AS , AS ). AZ Ys. Rpots u: 4/1 (A.R.S ). Pymnts u: fist hlf by 10/1 n oth hlf by 3/1; fo tx mounts un $100, th nti mount is u 10/1 (A.R.S. Sc ). AR Ys. Rpots u: 5/31 (ACA ). Pymnts u: 1 st businss y in Mch though 10/15; txs u fom utilitis n cis must b pi in instllmnts ccoing to schul povi by sttut (ACA ). Stniz Pocus Stniz Foms & Ovsight? A Ys, cn us stt o county foms. Rl Popty Vlution Cycls Evy Two to Th Ys? Exclusion fo D Minimis Vlus? Equl Intst Rts? A At lst onc vy th ys. A No. F No. Intst is not pi on th ovpymnt of txs (Al. Co ). Totl Totl F 8 B F No. F No spcific intvl (shotst pcticl tim) (AS ). Stt n municipl txbl popty is vlu nnully (AS ). D No. F Ys. Annul t of 8% fo stt oil n gs tx (AS ). Intst on linqunt municipl txs shll not xc 15% p y (AS ). A 15 C- A Ys. A Annul (A.R.S ), with ctin popty vlu th sm fo up to th ys (A.R.S. Sc ). B No. F No, nnul 16% t fo unpymnt (A.R.S ). F 9 B- A Ys. (Non fo ppls of cntlly ssss popty.) B Rl popty - minimum of vy 3 ys (ACA ()). Utility n ci popty is vlu nnully. C No F Ys, 10% (ACA ). A 7 B 10

11 Stt Stniz Du Dts fo Filings/Pymnts? CA Ys. Rpots u: nl psonl popty tun u 4/1 (with utomtic xtnsion until 5/7. Popty tx pymnts u 12/10 n 4/10 (C.R.T.C. 441). In gnl, psonl popty u 8/31 (som locl vition). Fo loclly ssss popty ppls cn vy bs on whn county sssso sns out notics of ssssmnt. CO Ys. Rpots u: 4/1 fo cntlly ssss popty (C.R.S ); 4/15 fo psonl popty (C.R.S ) n 4/15 mining, oil & gs poptis (C.R.S (1)(h), ). Pymnts u: fist hlf 2/28 n oth hlf u 6/15 (C.R.S ). Fo tx mounts of $25 o lss, pymnt is u by 4/30 (i.). CT Ys. 6/1 fo filing incom n xpns pots fo incompoucing l stt; 11/1 fo filing psonl popty cltions n qunnil pots fo xmpt popty own by non-pofit n uctionl institutions (C..S ). DE No. Filing n pymnt ts vy by county (Knt: 6/1; Nw Cstl: 7/1; Sussx: 5/1). Stniz Pocus (Continu) Stniz Foms & Ovsight? C Ys, howv, countis my county-spcific info w/ th ppovl of th Stt Bo of Equliztion. Rl Popty Vlution Cycls Evy Two to Th Ys? B In gnl, l popty subjct to 2% chng p y fom Pop. 13 (Cl. Const., 2, At. XIIIA). Rvlu t ownship chng o mjo constuction which chngs th utility of popty (C.R.T.C ; 18 CCR ). Psonl popty vlu nnully. A Ys. A Two-y ssssmnt cycl (chng in vlu cn b m in scon y of cycl if n unusul conition xists) (C.R.S (10.2)). Exclusion fo D Minimis Vlus? C Ys, obligtion to fil psonl popty sttmnt only if gggt cost of popty hl xcs $100,000 (C.R.T.C.. 441). Countis my lso nct n oinnc to cncl minimis bills of not mo thn $10,000 (pviously $5,000) if th costs of collction n ssssmnt unjustifi) (S.B. 822, Lws 2009, ffctiv Jn. 1, 2010). A Ys, minimis povision fo psonl popty ($4k fo C.R.S ). Equl Intst Rts? A No. Loclly ssss popty is 9% fo unpymnt n 3% fo ovpymnt. Stt ssss popty is 9% fo both unpymnt n ovpymnt. A Ys, 1% p month (C.R.S ). Totl Totl D 8 B A 0 A A No stniz foms, but CT Assocition of Assssing Offics hs som tmplts n foms. D Rl popty must b vlu t lst vy 10 ys (C..S (b)). F No F No, 18% intst fo unpymnt (C..S ) n up to 10% isctiony intst fo ovpymnt (C..S. 37-3). F 15 C- F No, vis by county n municiplity F No povision fo pioic viw. Oppotunity to ppl l stt nnully; howv, pplbl vlu gos to lst ssssmnt t. Dt of lst ssssmnt vis by county, Knt County ws F No. F No. F 20 F Continus 11

12 Stt Stniz Du Dts fo Filings/Pymnts? DC Ys. Rpots u: l popty - 4/15 fo incom poucing poptis, psonl popty bfo 8/1 (D.C.C ). Pymnts u: l popty - 3/31 n 9/15 (D.C.C ()). FL Ys. Psonl popty tx tuns must b fil by 4/1 (F.S ). Txs u bfo 4/1 th y following th y in which th txs ssss (F.S ). A Ys fo filings, no fo pymnts. Psonl popty sttmnts u by 3/1 o 4/1 pning on county. O.C..A , Du ts fo txs vy n som countis qui th tx to b pi in instllmnts. HI Ys, xcpt ppl lin in Honolulu iffs (1/15 v. 4/9). Rpots u: 1/15 fo l popty tuns (HRS ) n 10/20 fo public utility compnis (HRS 239-4). Pymnts u: fist instllmnt on 8/20 n scon on 2/20 (HRS ). Stniz Pocus (Continu) Stniz Foms & Ovsight? A Ys (on tx juisiction), but still woking on som foms. Rl Popty Vlution Cycls Evy Two to Th Ys? B Evy on to th ys (D.C.C ). Exclusion fo D Minimis Vlus? B Ys, psonl popty w/ cunt vlu of $225,000 o lss. Equl Intst Rts? A No. Rl popty 10% on unpymnt n 6% on ovpymnt (D.C.C. v (c)); psonl popty- 5% on unpymnt n 6% on ovpymnt. Th is lso 20% (ffctiv Oct. 1, us to b 15%) collction f on vy pymnt. A Rtuns stn; ffctiv 3/2010 ppl foms stn. Stt foms vilbl t o/foms/ownlo/!vl. html. B Annully, w/inspction vy 5 ys. Popty is vlu s of Jn. 1 ch y (F.S (2)). B Ys, no psonl popty tun qui in county with lss thn $25,000. Th Bo of County Commissions hv isction to opt solution to limint ny tx bill blow $30 (F.S ). A No. In gnl, if tx is ow on l popty th intst t is 18% (F.S ). Fo psonl popty th intst t is 15% o 12% (goo fith) (F.S (10), (10), (10), , (9), n (1)). No intst on funs o ovpymnt of txs. C Ys A Rl popty vlution cycl is vy 3 ys. County ppisl stff must pp ssssmnts nnully (Rg ). Countis igsts viw vy 3 ys; howv, th is no mnt schul fo ppisls. Sttut quis popty t fi mkt vlu nnully. B Ys, psonl popty tht os not xc $7,500 in vlu (O.C..A ). A Ys. 1% p month (O.C..A ). B No, vis by county. F Diffs by county. F No. F No intst on ovpymnt, HRS Sc /3 to 1% monthly intst fo linqunt popty txs (HRS ). Totl Totl F 6 B F 6 B A 3 A F 17 D 12

13 Stt Stniz Du Dts fo Filings/Pymnts? ID Ys. Rpots u: psonl popty filing fo loclly ssss popty - 3/15 (IC ), 11/1 fo tnsint psonl popty (IC ), 1st Mony in Novmb fo popty bought in fom outsi th stt (IC Y), 4/30 fo opto s sttmnt fo cntlly ssss popty (IDAPA ). Pymnts u: 1st hlf 12/10, 2n hlf 6/20 (IC ). IL No, filing n pymnt ts vy by county. Th sttwi uls pplicbl whn filing ppls with th Illinois Popty Tx Appl Bo (S 86 ILCS 1910). Fo th most pt, pymnts pybl in two instllmnts - 6/1 n 9/1 (35 ILCS 200/21-5); but cn b lt by locl oinnc. IN Ys. Rpots u ts stniz: psonl popty filings u 5/15 (In. Co , ). Pymnts u: 5/10 n 11/10 (In. Co , ). Stniz Foms & Ovsight? B No; th stt pps ctin foms but us is not mntoy. F No. Th sttwi foms pplicbl whn filing ppls w/ th Illinois Popty Tx Appl Bo. A Ys. Psonl popty tuns fil on stt pscib foms - htm Stniz Pocus (Continu) Rl Popty Vlution Cycls Evy Two to Th Ys? C Annully, supplmnt by ppisl incluing physicl inspction t lst vy 5 ys (IC ). Exclusion fo D Minimis Vlus? Equl Intst Rts? B No. F Unpymnt - 1%/month (IC ); ovpymnt funs pmissiv on th pt of county commissions (IC ). Totl Totl F 12 C D Evy fou ys (35 ILCS 200/9-215), xcpt vy th ys in Cook County. C No. F No. F 17 D A Sttutoily vy 5 ys (In. Co ); howv, th stt implmnt th nnul justmnt (tning) pocss in 2006 (th lst ssssmnt ws 2002). Th is lgisltion pning tht woul implmnt cyclicl ssssmnts, whby 20% of th pcls ssss in 5 y pio. F No. F No, unpymnt - 10%; ovpymnt - 4% (In. Co , ). F 12 C Continus 13

14 Stt Stniz Du Dts fo Filings/Pymnts? IA Rpots u to locl ssssos not stniz, oth pots n pymnts stniz. Pymnts u: 9/30 (fist hlf) & 3/31 (scon hlf) (Iow Co 445/36A). KS Ys. Rpots u: Psonl popty - btwn 1/1 n 3/15 (K.S.A ); moto cis n utilitis (inclus ilos) - 3/20 (K.S.A ); oil n gs ls - 4/1 (K.S.A ). Pymnts u: l n psonl popty - 12/20 (K.S.A , ). KY Ys. Listing pio fo l popty: 1/1-3/1. Du t, psonl popty: 5/15 (KRS ). Collctions bgin 10/1 o 11/1 (KRS (1)). LA No, mny xcptions. Rtuns u: 2/15 fo finncil institutions (L. R.S. 47:1970); 3/1 fo insunc compnis (L. R.S. 47:1954); 4/1 fo public svic compnis n l & psonl popty (L. R.S. 47:2324), xcpt psonl & l popty tuns u 45 ys ft cipt of foms in Jffson Pish. Dtmintion of xmption on 1/1 of ch tx y (L. R.S. 47:1952), xcpt Olns Pish, tmintion m s of 8/1 in pcinng y (L. R.S. 47:1703(B)). Pymnts u: 12/31 (L. R.S. 47:2101(A), 47:2171) xcpt 2/1 in Olns Pish (L. R.S. 47:1997(B)). Stniz Pocus (Continu) Stniz Foms & Ovsight? C Rpots u to th locl ssssos not stniz. Rl Popty Vlution Cycls Evy Two to Th Ys? C Loclly ssss l popty is vlu vy two ys (Iow Co 428.4); cntlly ssss popty is vlu nnully. Exclusion fo D Minimis Vlus? Equl Intst Rts? A Minimum Bill of $2. C No intst on ovpymnt n unpymnt ws 1.5% intst p month (Iow Co ). A Ys. A Annully (K.S.A , ). B Ys, whn psonl popty tx is lss thn $5 (K.S.A ). C No. Intst t is 2% lss IRS shot-tm intst t fo funs n 2% mo fo unpymnts (K.S.A ). A Ys. A No lss thn vy 4 ys (KRS ). B No unifom xclusion; cision by locl officils w/$10 mximum. C No, bs on pim t chg by Kntucky bnks (KRS ). D Ys. A Rl popty - vy 4 ys; psonl popty - nnully (L. R.S. 47:2331). Ths povisions lso pply to public svic popty (L. R.S. 47:1978.1(A)(1)). C No F No, 1.25% p month on unpymnt (L. R.S. 47:2101). Totl Totl F 10 B- F 7 B F 7 B F 13 C 14

15 Stt Stniz Du Dts fo Filings/Pymnts? ME No, xcpt 5/1 fo pot climing businss quipmnt xmption (36 M.R.S.A. 693(1)) n btwn 8/1 n 12/31 fo BETR ppliction (S Fom 800, 36 M.R.S.A. 6655). Rtuns u: 4/1 fo psonl n l popty (36 M.R.S.A. 706). Pymnt u ts vy mong loclitis. MD Ys. Rtuns u: 4/15 (TP ). Pymnts u: 7/1 but gc pio until 9/30 (TP ). MA Ys fo filings, 3/1. M..L.c No fo pymnts. Pymnts u: two pymnts, 11/1 n 5/1. Locl option (us by 2/3s) fo qutly pymnts. M..L.c ). MI Ys fo filings, no fo pymnts. Psonl popty sttmnts u by 2/20 ch y (Mich. Comp. Lws ). MN No, but psonl popty is gnlly xmpt. Pymnts u: fist hlf - 5/15 n scon hlf - 10/15 (Minn. Stt ) Stniz Pocus (Continu) Stniz Foms & Ovsight? D No. No xcpt fom fo climing businss quipmnt xmption n foms fil un th BETR pogm (S 36 M.R.S.A. 6655). Rl Popty Vlution Cycls Evy Two to Th Ys? D No st schul, physicl inspction qui t lst vy fou ys (36 M.R.S.A. 706-A, 5721-A). Exclusion fo D Minimis Vlus? D Ys, psonl popty lss thn $1,000 (36 M.R.S.A. 655). A Ys. A Evy th ys (TP 8-104(b)(1)). A Ys (psonl popty lss thn $250). D Ys. A Sttutoily, nnully (M..L.c , 38A & 39). Locl cn occu lss fquntly, but t lst vy th ys. (M..L.c ). B No gnlly. Locl option to xmpt psonl popty ccounts vlu up to $10,000. ((M..L.c. 59 5). C Ys. A Annully. B Ys, but limit -mchnics tools (Mich. Comp. Lws 211.9(h)); $550 fo houshol who uss own psonlity in option of businss in on loction (Mich. Comp. Lws 211.9(k)). B No pticul fom qui fo Chp. 278 ptition; smpl cptions, foms, n ptitions vilbl. A Rl popty is ssss (n subjct to justmnt) nnully, on-sit inspction/ ppisl of popty is qui t lst vy 5 ys (Minn. Stt ). D Any popty w/lss thn $100 of vlu is oun up to $100 n tx t tht mount (Minn. Stt ). Thus, popty lss thn $100 is tx s if its vlu ws $100. Equl Intst Rts? C No, n ovpymnt intst t vy by municiplity but cnnot b lss thn 4% of linqunt t. B Ys, 1% p month (TP ). Locl tx intst t is 2/3 of 1% p month (TP ). D No (ovpymnts - 8%; unpymnts - 14%) (59 M..L.c , 57C n 69). D Ys, intst t is 1% p month fo both un n ovpymnts of tx (Mich. Comp. Lws (3), (1), ). D No. Intst t on unpi tx fo 2010 is 3% ( txs.stt.mn.us). Fo unpymnts, txpys must complt Schul M15 to clcult thi intst. Lt pymnts = 4% intst n itionl 5% intst if pi 181 ys ft u t (Minn. Stt & ). Totl Totl F 15 C- A 1 A F 11 C+ A 6 B F 11 C+ Continus 15

16 Stt Stniz Du Dts fo Filings/Pymnts? MS Ys. Psonl popty nition foms u 4/1 (MCA , -49). Pymnts u: 2/1 of th following y (MCA ). MO Ys. Rpots u: psonl popty lists fom txpys gnlly u 3/1 (RSMo , ), stt ssss poptis pots u 4/1. Pymnts u: no lt thn 12/31 (RSMo ). MT Ys fo pot u ts. Rl popty tx pymnts u 11/30 n 5/31 (MCA , ). Psonl popty tx pymnts bs on miling of tx bill - 30 ys ft cipt of tx bill. NE Ys. Rpots u: 5/1 (R.R.S.N ). Pymnts u: 12/31 (R.R.S.N ). Excpt tx pybl in two instllmnts, u 5/1 n 9/1 (R.R.S.N ) o 4/1 n 8/1 fo countis with popultion ov 100,000. NV Ys. Rpots u: 7/31 (NRS ). Pymnts u: scu pymnts - thi Mony in August (NRS ), instllmnts - fist Mony in August, Octob, Jnuy, n Mch (NRS ). Appls u: 1/15 to county n 3/10 to stt bo. Stniz Pocus (Continu) Stniz Foms & Ovsight? Rl Popty Vlution Cycls Evy Two to Th Ys? A Ys. A All l popty pcls must b physiclly obsv n upt vy 4 ys (MS Stt Tx Comm n Pop. Tx Bu., Rul 6). Exclusion fo D Minimis Vlus? C Ys (MCA (g),(h),(j),(l),(),(s) n (t)). Equl Intst Rts? Totl Totl A No F 6 B A No. Foms fo poting loclly ssss psonl popty not stniz. Appl foms to th Stt Tx Commission n poting foms fo stt-ssss popty stniz. D Evy two ys on 1/1 (onumb ys) (RSMo ). A No F No (S RSMo ; php). F 11 C+ C Ys. A Cntlly ssss popty vlu nnully (MCA ), oth l popty ppis vy six ys. F Ys, psonl popty xmption of $20,000. A No, ovpymnts bs on shot tm invstmnt fun t n unpymnt t is 10%. F 10 B- A Ys ( A Annully (R.R.S.N , -1301). B No F No, unpymnt is 2%; fo ovpymnts no intst qui to b pi fo fiv ys. F 9 B- A Ys. A Mntoy 5 y ppisl quimnt (NRS ). Most ppis ln nnully. Not: th two lgst countis in Nv, Clk n Wsho, conuct nnul ppisls of ln n impovmnts. D Ys, fo psonl popty tx bs on vg cost of collction, usully $15.20 (NRS (2)). B No, vis. Unpymnt spns fom 4-7% pning on how pst u (NRS ). F 8 B 16

17 Stt Stniz Du Dts fo Filings/Pymnts? NH Ys. Rpots u: 4/15 (RSA 74:7). Pymnts u: 12/1 (RSA 76:13 :15-c), howv som juisictions my povi fo sminnul o qutly pymnts. NJ No. Vis btwn citis, townships, n booughs. nlly pots u on o bfo 9/1 (N.J.S.A. 54:4-2:28). Pymnts qutly - u 2/1, 5/1, 8/1 n 11/1 (N.J.S.A. 54:4-66); but bcus of bugt issus, mny bills lt xtning pymnt t. NM Ys. Rpots u: lst y of Fbuy (NMSA ). Pymnts u: 11/10 n 4/10 (NMSA (A)). NY No, filing n pymnt ts vy by ssssing n txing juisiction. Pymnts u: 1/31 (RPTL 924(1)), xccpt NYC - 7/1 n 1/1 (unlss qui to b pi in 4 instllmnts--i.. popty ov $80,000) (NYC Cht 163(b), 1519(1)). Stniz Foms & Ovsight? B Stt lvl - ys; locl lvl - not lwys (s stt.nh.us/vnu/foms/ inx.htm#popty_txs). D Ys. Tx Cout foms stniz, but som countis insist on us of thi own foms. A No, whil th stt hs foms fo cntlly ssss popty, th is consibl vition t th locl lvl. F No. Som foms vilbl t ny.us). Stniz Pocus (Continu) Rl Popty Vlution Cycls Evy Two to Th Ys? C Rl popty ssss vy 5 ys, whil som businss poptis vlu vy y (x. - utility popty). Exclusion fo D Minimis Vlus? Equl Intst Rts? D No. F No (unpymnt -12%; ovpymnt - 6%) (RSA 76:13; s RSA 80:32, :60). B No sttutoy o constitutionl cycl. My b on voluntily by municiplity t ny tim, o s o by county bo of txtion n Dicto of Txtion o Supio Cout. Asssso hnbook quis ssssmnt ft popty impovmnts (Th Hnbook fo Nw Jsy Assssos, NJ Stt Div. of Tx (1989)). F No. F No, unpymnt - 8% on fist $1,500 n 18% thft; ovpymnt - 5% (N.J.S.A. 54:4-67). D Annul (NMSA ). Rgultion llows ssssos to us two-y ppisl cycl with pmission of th stt s Popty Tx Division. NMSA B No. County commissions hv option to bill txs un $10 in singl instllmnt. D No, unpymnt 1% p month (NMSA ); ovpymnt is bs on county invstmnt of funs t. F Diffs, typiclly nnul (.g., NYC). Th is no sttwi quimnt, so locl pctics vy. Som hv not ssss in mny cs. F No. F No. Fo NYS, st by Comm pusunt to Tx Lw 697(j) n cnnot b lss thn 1% p month. Fo NYC, fo popty ov $2,750-15% (NYC Amin. Co (f) n (g)) n fo popty un $2,750-7% p y (NYC Amin. Co (f) n (l)). Totl Totl F 14 C F 16 D F 11 C+ F 20 F Continus 17

18 Stt Stniz Du Dts fo Filings/Pymnts? NC Ys. Rpots u: 1/31 (N.C..S ). Pymnts u: 9/1 (N.C..S ()). ND Ys. Rpots u: 2/15 n 5/1 fo ilos (N.D. Cnt. Co , -07) n 5/1 fo public utilitis (N.D. Cnt. Co ). Pymnts u: 1/1 (N.D. Cnt. Co ) n must b pi by 3/1 to voi linquncy. OH Du t fo cntlly ssss popty pots is Mch 1. Countis hv iffnt ts fo l popty pymnts. OK Ys. Rpots u: 3/15 (68 O.S. 2835). Pymnts u: 1/1 n 4/1 (68 O.S. 2913). OR Ys. Rpots u: 3/1 (ORS ). Pymnts u: 11/15, 2/15, n 5/15 (ORS ). PA No, filing n pymnt ts vy by county. Stniz Pocus (Continu) Stniz Foms & Ovsight? Rl Popty Vlution Cycls Evy Two to Th Ys? A Ys. A Rl popty must b ppis t lst onc vy 8 ys but county cn ppis ll l popty on shot cycl if so si o if thi sls tio gos blow 85% o ov 115% (i.. if popultion is 75,000 o mo, thn must ppis vy 3 ys). Vlu cycl subjct to mnipultion (N.C..S , -287). Exclusion fo D Minimis Vlus? F Ys, txing juisictions cn st minimum oll mount t which tx bill is not issu. This minimum mount hs to b lss thn $5.00 (shoul flct th tx collction costs). Equl Intst Rts? Totl Totl C No. F 10 B- A Ys. Fo loclly ssss popty, th sttwi stniz foms fo Notic of Incs of Assssmnt n Appliction fo Abtmnt. A Annully (N.D. Cnt. Co ). All popty is qui to b ssss t its tu n full vlu on 2/1 (loclly ssss) o 1/1 (cntlly ssss). In pctic, th tim btwn physicl inspctions of popty vis. B No. F No. Intst ts on unpymnt st by stt sttut n unifom thoughout th stt. No intst is pi on funs of ovpymnt of txs. 12% intst impos on unpi txs on y ft thy bcom u. F 9 B- C Ys. A Rl popty upt vy 3 ys but full ppisl is only conuct vy 6 ys (Ohio Rv. Co , Ohio Amin. Co Rul ). D Ys, ssssmnts fo th cunt tx y tht lss thn $2.00, th county uito my uc such mount to zo. C Ys (s Ohio Rv. Co , ). A 7 B A Ys. A Annully. Rl popty must b visully inspct t lst vy 4 ys (68 O.S. 2820). B No. F Ys (68 O.S. 2913). A 5 B+ A Ys (s gov/dor). A Annully on sttisticl bsis, no st quimnt whn poptis must b physiclly inspct (ORS ). C Ys, tuns still mntoy; ssssmnts on psonl popty cncl if lss thn st mount. ORS B No. Ovpymnts 1% n unpymnts 1.33% (ORS , ). D 6 B F No. F Annully, no st bs y fo l popty vlution cycl (72 P.S , 5347, , 5354,601). Constitutionl chllngs pning. D No. F No, fo 2008 unpymnts hv 7% intst t whil ovpymnts hv 5% intst t. Rts fo linqunt txs vy btwn countis. F 19 F 18

19 Stt Stniz Du Dts fo Filings/Pymnts? RI No, u t vis by municiplity (R.I. n. Lws $ , -15). SC No. Rpots u: 4/30 (SC Co ). Pymnts vy by city (SC Co ). SD Ys. Rpots u: Tlphon, public svic n piplin - 4/15 (SDCL ); ilo - 5/1 (SDCL ) n ilinns - 6/1 (SDCL ). All psonl popty is xmpt. Pymnts u: 4/30 n 10/31 (SDCL ). TN No. In gnl, pots u: 3/1. Pymnts u: 2/28 (howv, pymnts fo Mmphis u: 8/31 n 2/28). TX Ys. Rpots u: 4/15 (TEX. TAX CODE 22.23). Pymnts u: 2/1 of th following y (TEX. TAX CODE 31.02). Stniz Pocus (Continu) Stniz Foms & Ovsight? D Ys (s R.I. n. Lws ). Rl Popty Vlution Cycls Evy Two to Th Ys? A Town n citis must vlu l popty ch 10th y ft is fist vlution (R.I. n. Lws ); som signt loclitis must vlu vy 3 ys (R.I. n. Lws ). Exclusion fo D Minimis Vlus? Equl Intst Rts? F No. F No, unpymnts - 18%; ovpymnts % (s tx.stt.i.us/misc/ IntstRtChng php). C Ys (s A Rl popty vlu vy 5 ys (SC Co ). D No. F No, whil intst t on unpymnts n ovpymnts is 5%, fom July 1, 2008 though Jun 30, 2009 th ovpymnt t ws uc by 2%. A Ys. A Annully. B No. F No. Intst on ovpymnts is 4% (SDCL ); intst on unpymnts is 10% (SDCL ). F Ys, cn us stt foms. A Countis on ith 4, 5 o 6 y ppisl cycl (T.C.A ). D No. F Ys - 1% p month (T.C.A ). A Ys, cn us stt fom; howv, som ppisl isticts hv vy bis pfnc fo locl foms. B At lst vy 3 ys (TEX. TAX CODE 25.18). B Ys, minimis ppli to tx bills. B Whil 1% p month fo both (TEX. TAX CODE 33.01), stt gts 60 ys to py n with unpymnt n itionl pnlty of 12% fo th fist month n 1% p month thft pplis. Intst ccus on th mount fun t nnnul t of 12% (TEX. TAX CODE 31.12). Totl Totl F 15 C- D 12 C F 9 B- A 11 C+ F 7 B Continus 19

20 Stt Stniz Du Dts fo Filings/Pymnts? UT Ys. Rpots u: within 60 ys of bing qust by sssso (usully mil by 1/1) (U.C.A ). Pymnts u: 11/30 (U.C.A ). VT No, pots u: 4/20 (32 V.S.A. 4004) n pymnt ts vy by municiplity. (32 V.S.A. 4772) VA No. Rpots gnlly u 5/1 (V. Co ) but vy in som loclitis. Pymnts gnlly u 12/5 (V. Co ) but vy loclly. WA No. Rpots u: 4/30 (RCW ). Pymnts u: 4/30 n 10/31 (RCW , ). Som countis 30 ys to ppl n oths 60 ys (RCW ). WV Ys. Rpots u: 7/1 o 10/1 (W. V. Co ). Pymnts u: 9/1 n 3/1 (W. V. Co 11A-1-3). Stniz Pocus (Continu) Stniz Foms & Ovsight? A Ys (s gov). Rl Popty Vlution Cycls Evy Two to Th Ys? A Annully (U.C.A ). Poptis ssss t fi mkt vlu. Physicl inspction of poptis t lst onc vy 5 ys. Slt Lk County hs n nnul ssssmnt cycl. Exclusion fo D Minimis Vlus? B Ys fo psonl popty, lss thn $3,800 (s poptytx.uth.gov/). Equl Intst Rts? Totl Totl C Ys (s U.C.A ). A 3 A D Ys. A Annully (gnlly on 4/1) (s 32 V.S.A. 4050). Vis by municiplity though ll municipl subjct to sttutoy ppisl stns (s 32 V.S.A. 4041). C No. F Ys, 1% fo fist 3 months, thn 1.5% ch month o ptil month thft. 32 V.S.A A 9 B- F No. F Dpns on which locl govnmnt is ssssing th popty. Rl popty in citis nnully o binnilly, but city < 30,000 my lct to wit 4-ys (V. Co ). Countis must ssss t lst vy 4 ys, but my lct to wit up to 5-6 ys whn povi by lw o th popultion is lss thn 50,000 (V. Co ). F No. F Ys. 10% (V. Co ) but locl juisictions my povi iffnt t (V. Co ). C 18 D D Ys, cn us stt o county foms. A Rl popty vis fom on to 4 ys; ll popty physiclly inspct onc vy 6 ys (RCW ) King County (Sttl) hs n nnul ssssmnt cycl. D Ys, l n psonl popty un $500 (RCW ). A No, 12% fo un pymnt (s RCW (5)), much low vibl intst t fo ov pymnt bs on shot tm Tsuy bill ts. F 10 B- A Ys (s Stt. wv.us/txiv). A Physiclly inspct vy 3 ys n ssss nnully (W. V. Co 11-1c-7). B No. F No, th intst t on unpymnt is 9% p y. In gnl, no intst on ovpymnt unlss o by cout. F 9 B- 20