Bill Summary for S 321 (2015-2016)
|View NCGA Bill Details||2015-2016 Session|
AN ACT TO EXEMPT FROM PROPERTY TAX THE INCREASE IN VALUE OF REAL PROPERTY HELD FOR SALE BY A BUILDER, TO THE EXTENT THE INCREASE IS ATTRIBUTABLE TO SUBDIVISION OR IMPROVEMENTS BY THE BUILDER.Intro. by Brown, Tucker, Gunn.
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Identical to H 168 filed on 3/5/15.
Enacts new GS 105-277.02, certain real property held for sale classified for taxation at reduced valuation, providing that real property held for sale by a builder is designated a special class of property pursuant to Article V of the NC Constitution. Provides that increases in value of such property attributable to subdivision or other improvements made by the builder are excluded from property taxation as long as the builder continues to hold the property for sale. Further provides that this exclusion cannot exceed five years from the time the improved property was first subject to taxation. Provides that to receive this exclusion, a builder must apply annually as provided in GS 105-282.1. Directs tax assessors to specify what portion of the value is an increase attributable to subdivision or other builder improvements.
Amends GS 105-287(d) to require tax assessors to appraise unsold portions of land as land acreage instead of lots if a tract of land has been subdivided into lots yet more than five acres of the tract remain unsold (previously, a tax assessor could appraise the land acreage but was not required to do so).
Amends the definition of builder in GS 105-273 to no longer require licensing as a general contractor.
Effective for taxes imposed for taxable years beginning on or after July 1, 2015.