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RETROACTIVE REAL PROPERTY TAX RATES FOR CERTIORARI PARTIES
2004 Priority Issue

Contact: Ken Pokalsky

Issue:

Senators Morahan and Larkin have introduced S.7553A and Assembly members Grommack, Calhoun, and Karben have introduced A.11650A which retroactively levies on large parcel holders a higher, recalculated tax rate for any past year for which a certiorari proceeding results in a lowered (by 5% or more) assessment. Large parcel holders are defined as 5% or more of the city/town tax roll or of the portion of a school district within the city/town. The hypothetical (and higher) tax rate is determined by replacing the large parcel holder's original assessment amount on the tax roll for a past year with the lowered assessment determined by the court and then dividing the resultant aggregate tax roll into the total amount of tax levied district-wide for that prior year. Use of the newly recalculated tax rate reduces the amount of refund successfully secured in the courts. The Business Council has issued its opposition memorandum and has had meetings with the Senate and Assembly. Neither house majority has as of yet allowed the bills to move to their floor.

Status:
8/11/04

S.7553A is in Senate Rules Committee; A.11650A is in Ways & Means Committee.