House committee substitute makes the following changes to the 1st edition.
Amends Section1 of this act to provide thatregardless of the provisions of GS 105-380 (No taxes to be released, refunded, or compromised) and any other provisions of law restricting the time when a change in appraisal or valuation of property may be made or any other provisions of Subchapter II of GS Chapter 105 that is inconsistent with this act, a board of county commissioners must engage in the measures required in this act if all of the specified conditions are met. Provides that the provisions of GS 105-380 do not apply to issuing any refund under the provisions of this act.
Deletes language specifying that the county have independent corroborating evidence regarding instances of inequity and instead requires independent evidence and requires that there be evidence that themajority of commercial neighborhoods in the county reviewed bya qualified appraisal company have significant issues of inequity. Provides that the same qualified appraisal company may conduct the review required under Section 1 and Section 2 of this act.
Provides that the interest on taxes that were paid on parcels with errorsthat resulted in the parcels having an overstated value are to be calculated at a rate of 5% per annum (was,required any overpayment of taxes, as a result of overstated valuations, to be refunded, with interest paid on the overpayment pursuant to GS 105-360(e)).Provides that the discovery penalties set out insubsection (h) of GS 105-312 do not apply to additional taxes levied on parcels as a result of errors causing the parcels to have an understated value and treated as taxes on discovered property under GS 105-312.
Amends the whereas clauses.
Bill H 200 (2013-2014)Summary date: Apr 8 2013 - View summary
Bill H 200 (2013-2014)Summary date: Mar 4 2013 - View summary
Directs boards of county commissioners to either (1) conduct a reappraisal, by no less than one appraiser certified by the Department of Revenue (DOR) for mass valuation per 4,250 parcels, within 18 months, applicable to all tax years from and including the tax year when the last general appraisal was performed, or (2) have a qualified appraisal company conduct a total review of all the values in the county by neighborhood and make recommendations as to the true value of the properties as of January 1 of the year of the last general review, when all of the following conditions are met:
(1) County has independent, corroborating evidence that the majority of commercial neighborhoods in the county have significant issues of inequity in valuations.
(2) County has independent, corroborating evidence that residential neigborhoods have instances of inequity or erroneous data that had significant impact on the valuation of the neighborhood.
(3) County's last general reappraisal was performed for the 2008, 2009, 2010, 2011, 2012 tax year.
(4) The independent, corroborating evidence came from a review performed by a qualified appraisal company selected and retained by the county and registered with the DOR and had a sample size of no less than 375 properties.
Directs boards of commissioners to, after the above review or reappraisal is completed, make any change to property abstracts and tax records needed to ensure that assessed values of incorrectly appraised properties in the county reflect the true values, effective the year of the last general reappraisal, applying the adjusted values for each tax year until the next general reappraisal, unless those values are changed pursuant to GS 105-287.
The changes noted above will be prioritzed as follows:
(1) Adjustments to parcels with errors that resulted in significantly overstated value.
(2) Adjustments to parcels with errors that resulted in significantly understated value.
(3) Adjustments to parcels with errors that resulted in overstated value.
(4) Adjustments to parcels with errors that resulted in understated value.
Directs any overpayment of taxes, as a result of overstated valuations, to be refunded, with interest paid on the overpayment pursuant to GS 105-360(e). Also requires additional payment of taxes on properties that were undervalued to be paid in accordance to GS 105-312.
Includes a severability clause.