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10 ways to cut your property taxes

Posted by admin under CA Property Tax News

Property taxes are decided collectively by school boards, town boards, legislators, and councils. The tax rate is set by collating the amount of funds an area needs. This is then divided that by the “total taxable” assessed value of the area. The tax an individual pays is computed by multiplying the tax rate by the assessed value of your property and then deducting any applicable exceptions. Property taxes are at an all time high. Studies indicate that they have increased more than 35% in five years.

Property is assessed by determining property costs in any given area. Property is valued by studying: the current sale price of properties in the area, costs to be incurred to replace the property, potential realization of property if it is rented, sold, or gifted, and the historical value of a property.

There are a few ways in which you could save on taxes:

1. Check if the state you reside in is offering any rebates.  For example, a money back rebate, energy rebate, capping of taxes, or home owners rebate where under certain conditions you may be eligible to claim a rebate.

2. Ensure that the property is assessed right. This will ensure that you do not have to pay excess taxes. Assert your right to check you assessment report ensure that there are no miscalculations, mistakes, or assumptions. If in any doubt, do put in an appeal. According to statistics almost 50% of the cases win some relief.

3. Check all exemptions allowed according to the law.

4. Buy property jointly with a partner or family member. This way both owners become eligible for tax rebates.

5.  Check if your assessment is in according to other properties in your neighborhood. Check with the assessment office or with your neighbors themselves. It helps to know applicable laws. Use the help of a real estate professional to put together a file of properties similar to yours that have a lower assessment. Or, use the bank’s appraisal to support your case. Be sure that the case you gather together is water tight.

6. Use a property consultant to help you save taxes. Some charge a flat fee while others just a percentage of what you save. A professional will check how assessment is done and also if there are any loop holes you can use.

7. There is strength in numbers. Get together with other owners who are also checking or fighting assessments. Check on the National Taxpayers Union Web site http://www.ntu.org   for your rights.

8. Ask you home loan provider whether you are eligible for refund of property taxes paid. Some agreements have a provision for this. Many mortgages have automatic escrow of taxes. 

9. Even before you buy a home find out what the property taxes are in the area and what have been the increases in tax rates.

10. Be sure to read through assessment and tax manuals published by your local authorities. These will give a clear idea of what are the parameters used and what you must do to reduce or pay the correct property taxes.

In order to be money smart you need to get the help of an efficient and dedicated accountant, plan your tax liabilities well, known thoroughly all aspects of Property Tax. If you are prudent, you can benefit by using ways and means to cut your tax burden and liabilities.

Property tax bills will be having higher numbers

Posted by admin under CA Property Tax News

Businesses inside the city limits will be assessed $24.071 per $1,000, up from 2001 when the tax rate was $21,606 per $1,000. Businesses located outside the limits will be asses $18.056 per $1,000, up from $15,525 per $1,000 assessment in 2007.

“It’s going to be a shock for a lot of people when they see their bill,” Robinson said. “It’s nothing the county did to bring this increase about,” Robinson said. “In addition, the Carlsbad Soil and Water Conservation district has a levy that property owners are assessed yearly. That is in addition to the tax increase.”
She said the bond passed in January will sunset in 10 years. However, the two mil increase was passed into perpetuity.

Providing examples of increases, Robinson said that a homeowner with a home with an assessed value of $90,000, in 2007, the homeowner paid $640 in property taxes. This year, the tax bill is about $726.
“We tax on one third of the value of property,” Robinson said.

She noted a homeowner whose home is valued slightly over $178,000, based on the one-third taxably value, the property tax bill this year will be $1,436, up from $1,267 paid last year.

“I looked at my property taxes for this year, and I was shocked that it had increased this year over $100,” Robinson said. “I don’t know if people were aware how much the college bond and two mil increase was going to impact them. I don’t think they knew. If they had, probably more people would have gone to the polls. The college will be able to do a lot with the revenue. It was needed. But still, for some people, the property tax increase is really going to hurt them.”

According to numbers obtained from the county clerk’s office, 17,621 voters were eligible to vote in the election. However, only 1,040 voters cast ballots.
Despite the property tax increase, Robinson said Eddy County is still lower than other counties in the region.

“I asked Hobbs, Lovington, Roswell, Ruidoso, Alamogordo and Clovis to provide me with their tax rates so I could make comparisons,” she said. “They are all higher than Eddy County. I guess the good news is that Eddy County’s tax rate is still lower than the other counties.” 

Marin property tax growth slows - but still up $37 million

Posted by admin under CA Property Tax News

Marin County’s property tax revenue - the fuel that powers local government and funds schools - is up $37 million this year, but it’s no longer growing at the pace it did earlier this decade.Property tax bills were mailed to 92,762 homes and businesses in Marin Friday. Assistant Treasurer-Tax Collector Roy Given estimates the 2008-09 tax levy will generate about $715 million, an increase of 5.4 percent from the $678 million generated in 2007-08.

It is the first time in nearly a decade that Marin’s property tax growth has fallen below 7 percent. In six of the past nine years, the county’s property tax revenue grew by 8 percent or more. But property tax revenues have declined steadily since topping 10 percent in 2005-06.

The lion’s share of the county’s property tax - nearly 43 percent - goes to fund California schools. The county gets 25 percent, local municipalities receive nearly 15 percent, special districts nearly 13 percent and about 5 percent is allocated to a special fund, most of which ends up going to fund schools.

The county of Marin is counting on property taxes to provide more than 36 percent of its $431 million 2008-09 budget.

Part of the slowdown in property tax revenue growth can be attributed to the value of some Marin homes dropping, said Richard Benson, Marin County’s assistant assessor. There were about 3,000 Marin properties listed on the 2008-09 tax levy as having declining value, Benson said.

“It definitely does have an impact,” Benson said, though he couldn’t quantify it.

Benson said that since December 2007, he has received about 1,800 requests from Marin residents who want their assessments reviewed. “I’ve got a stack on my desk,” Benson said.

The county is required to reduce the tax value of property when it finds instances where “declines” have occurred. Many additional reductions are triggered by the reassessment requests.

If taxpayers are unhappy with the result of a review, they can file an appeal with the county’s Assessment Appeals Board between July 2 and Dec. 1, 2008. To get an application form, call 499-7345 or visit the board’s office in Room 329 at the Marin Civic Center in San Rafael.

The average residential property tax bill for the owner of a single detached home in Marin is $7,798, said Roy Given, assistant treasurer-tax collector. That includes local school bond payments and special taxes. The average for owners of townhomes and condos is $4,895, Given said.

First installments for property tax are due Nov. 1 and must be paid on or before Dec. 10 to avoid penalty. The second installment must be paid by the following April 10.

Property taxes for 2008-09 due (Humbolt County)

Posted by admin under CA Property Tax News

Published: Sep 23 2008, 10:52 PM · Updated: Sep 23 2008, 10:56 PM

The Humboldt County Tax Collector’s Office announced it has mailed more than 65,000 property tax bills for 2008-09, and county taxpayers should receive the bills soon. The total amount of secured taxes and assessments to be collected is more than $111 million.

Any resident who does not receive their bill(s) by Oct. 20 should contact the Tax Collector’s Office in the Humboldt County Courthouse. Residents who purchased property after Sept. 1 should contact the former owners and request the tax bill(s) from them, or obtain a copy of the bill(s) from the Tax Collector’s Office.

Failure to receive a tax bill does not excuse late fees, and it is the responsibility of the taxpayer to request a bill if not received. Voters in several school districts have approved bond issues and this has increased the total amount of the bills for people living in those districts.

The first installment is considered late after Dec. 10. The Tax Collector’s Office suggests making early payments to avoid late penalties or waiting in line the last day.

The Tax Collector’s Office is open from 8:30 a.m. to noon, and 1-5 p.m., Monday through Friday.

Supplemental Assessment Tax In Sacramento..

Posted by admin under CA Property Tax News

Do you know what a Supplemental Assessment is?  I received one a few weeks ago.

Thanks Ricky.

Definition is:

 When the Assessor’s Office reappraises your property due to a change in ownership or new construction, you will be notified by mail of the new assessed value. This notification is known as a ‘Notice of Supplemental Assessment.’ The reappraisal may result in the issuance of a supplemental tax bill. If the new assessed value is greater than the previous taxable value, the result will be a bill for the increase in value. A positive increase will generate a one-time supplemental bill. However, if the new assessed value is lower than the previous taxable value, it will result in a negative value. A negative value indicator will generate a one-time supplemental refund.