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IPTI Xtracts- the Items Included in IPTI Xtracts Have Been Extracted from Published Information

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IPTI Xtracts- the Items Included in IPTI Xtracts Have Been Extracted from Published Information UNITED STATES – March 2019 Contents THE TOP 10 PROPERTY TAX MYTHS ....................................................................................................................... 2 NJ AND HAWAII: THOUSANDS APART, IN MILES, PROPERTY TAXES ....................................................................... 4 THE SLOW HOUSING MARKET CAN HURT GOVERNMENT REVENUES, BUT DOESN'T HAVE TO ............................... 5 CALIFORNIA ................................................................................................................................................................... 5 NO DEAL WOULD BE THE BEST DEAL ON SPLIT ROLL IN CALIFORNIA ..................................................................... 5 DELAWARE ..................................................................................................................................................................... 7 COURT PROVIDES GUIDANCE ON APPLICABILITY OF TRANSACTION PRICE AS MEASURE OF FAIR VALUE .............. 7 ILLINOIS .......................................................................................................................................................................... 8 THUMBS-DOWN TO ASSESSOR'S RESIGNATION COMING FAR TOO LATE ............................................................... 8 FORD COUNTY TENTATIVE MULTIPLIER ANNOUNCED ........................................................................................... 8 INDIANA ......................................................................................................................................................................... 9 STUDY: LOCAL GOVERNMENTS HAVE LESS REVENUE THAN 2007 THANKS TO PROPERTY TAX CAPS ...................... 9 DARK BOX TAX ASSESSMENTS BILL PASSES THE SENATE, MOVES TO HOUSE ....................................................... 10 MICHIGAN .................................................................................................................................................................... 10 NOW IS THE TIME TO CONSIDER APPEALING YOUR 2019 PROPERTY TAXES ........................................................ 10 DR. WOLFRAM TALKS ABOUT REFORMING MICHIGAN’S PROPERTY TAX ............................................................. 11 MONTANA ................................................................................................................................................................... 12 BOZEMAN HAS FOURTH-HIGHEST PROPERTY TAXES PER CAPITA, FOURTH-LOWEST MEDIAN HOUSEHOLD INCOME ............................................................................................................................................................... 12 NEW HAMPSHIRE ......................................................................................................................................................... 12 STRIVING FOR FAIRNESS WITH NH’S PROPERTY TAX SYSTEM .............................................................................. 12 NEW JERSEY ................................................................................................................................................................. 13 PROPERTY TAXES COULD SKYROCKET IN NJ — HERE’S WHY (ANALYSIS) .............................................................. 13 THESE TOWNS HAVE SOME OF THE STEADIEST TAX RATES IN THE STATE. WHAT’S THEIR SECRET? ..................... 14 NEW YORK ................................................................................................................................................................... 16 A PIED-À-TERRE TAX WILL BRING REVENUE NEW YORK NEEDS............................................................................ 16 DIFFERENCE BETWEEN MARKET VALUE AND ASSESSED VALUE? .......................................................................... 18 REAL-ESTATE INDUSTRY BLASTS ‘PIED-À-TERRE’ TAX ON HIGH-VALUE SECOND HOMES ..................................... 19 International Property Tax Institute IPTI Xtracts- The items included in IPTI Xtracts have been extracted from published information. IPTI accepts no responsibility for the accuracy of the information or any opinions expressed in the articles. P a g e | 2 TARGET, BIG-BOX STORE LAWSUITS IN CNY WOULD PUSH PROPERTY TAX BURDEN TO REST OF US ................... 20 AS PIED-À-TERRE TAX GAINS STEAM, NYC REAL ESTATE INDUSTRY PUSHES BACK ............................................... 23 PIED-À-TERRE TAX 'APPEALING BUT PROBLEMATIC,' WATCHDOG WARNS .......................................................... 24 HOW A $238 MILLION PENTHOUSE TURNED A LONG-SHOT TAX ON THE RICH INTO REALITY .............................. 25 WHY BILLIONAIRE KEN GRIFFIN CAN SNAG PROPERTY TAX BARGAIN .................................................................. 26 $238 MILLION PENTHOUSE BUYER WILL PAY A PROPERTY TAX RATE LOWER THAN MANY NYC HOMEOWNERS 27 NORTH CAROLINA ........................................................................................................................................................ 28 SOLAR ENERGY EQUIPMENT: NORTH CAROLINA APPELLATE COURT ADDRESSES SCOPE OF PROPERTY TAX ....... 28 PENNSYLVANIA ............................................................................................................................................................ 29 CITY PROPERTY TAX SYSTEM - STILL BROKEN ....................................................................................................... 29 PHILADELPHIA .............................................................................................................................................................. 30 WANT TO KNOW HOW CITY PROPERTY ASSESSMENTS WORK? GOOD LUCK. ...................................................... 30 PHILLY LOOKS TO REPLACE EMBATTLED CHIEF ASSESSOR AMID OUTCRY OVER PROPERTY ASSESSMENTS ......... 31 TENNESSEE .................................................................................................................................................................. 32 ELECTROLUX TAX BILL WOULD SOAR UNDER CORRECTED ASSESSMENT ............................................................. 32 TEXAS ........................................................................................................................................................................... 33 PUBLIC EXPECTATIONS AND THE POLITICAL REALITIES OF REDUCING PROPERTY TAXES ..................................... 33 TEXAS RANKS SEVENTH IN HIGHEST PROPERTY TAXPAYERS ................................................................................ 34 AS TEXAS PROPERTY TAXES SOAR, LOCAL GOVERNMENTS SPEND TAXPAYER DOLLARS TO STYMIE REFORM ..... 35 WASHINGTON .............................................................................................................................................................. 37 OUR PROPERTY TAX SYSTEM REWARDS NEGLECT AND PUNISHES INVESTMENT IN STRUGGLING NEIGHBORHOODS ................................................................................................................................................ 37 PROGRESSIVE GROUPS DECRY D.C. BILL THEY SAY WOULD GIVE ‘TAX CUTS FOR MANSIONS’ ............................. 39 WISCONSIN .................................................................................................................................................................. 40 WISCONSIN CITIES RELY HEAVILY ON PROPERTY TAXES ....................................................................................... 40 ________________________________________________________________________________________________________ The Top 10 Property Tax Myths Are you missing an opportunity to reduce your property tax liability? Nearly all local taxing jurisdictions, including municipalities, counties and boards of education, generate tax revenue through the imposition of property tax, which is one of the most substantial sources of local government revenue. For many businesses, property tax is the largest state and local tax obligation and one of the largest regular operating expenses incurred. International Property Tax Institute IPTI Xtracts- The items included in IPTI Xtracts have been extracted from published information. IPTI accepts no responsibility for the accuracy of the information or any opinions expressed in the articles. P a g e | 3 Unlike other taxes, property tax assessments are based on the estimated value of the property, and thus, are subject to varying opinions. Businesses that fail to take a proactive approach in managing their property tax obligations may be missing an opportunity to reduce their tax liability. Below are 10 common property tax myths and the truths that counter them. MYTH #1: If a property’s value does not increase year to year, the property tax liability should remain the same. TRUTH: The annual tax rate is determined by the tax levy necessary to fund the applicable governmental budget for services such as schools, libraries, park districts, fire departments and police. Essentially, the governmental budget is divided by the total assessment within a jurisdiction to calculate the tax rate. The tax rate is applied to a property’s individual assessment to calculate tax. Rates can fluctuate annually and can result in higher or lower taxes even if your property value stays consistent. MYTH #2: Fair market value is equivalent to assessed value. TRUTH: Fair market value is an estimate of the price at which property would change hands in an arm’s length transaction. Assessed value
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