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REFERENCE TITLE: property tax; reducing limited valuation |
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State of Arizona House of Representatives Fifty-third Legislature First Regular Session 2017
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HB 2526 |
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Introduced by Representative Grantham
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AN ACT
Amending section 42-13302, Arizona Revised Statutes; relating to property tax valuation.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 42-13302, Arizona Revised Statutes, is amended to read:
42-13302. Determining limited value in cases of omissions and changes
A. In the following circumstances the limited property value shall be established at a level or percentage of full cash value that is comparable to that of other properties of the same or similar use or classification:
1. Property that was erroneously totally or partially omitted from the property tax rolls in the preceding tax year.
2. Property for which a change in use has occurred since the preceding tax year.
3. Property that has been modified by construction, destruction or demolition since the preceding valuation year.
4. Property that has been split, subdivided or consolidated from January 1 through September 30 of the valuation year, except for cases that result from an action initiated by a governmental entity.
B. In the case of property that is split or consolidated after September 30 through December 31 of the valuation year, except for cases that result from an action initiated by a governmental entity, the total limited property value of the new parcel or parcels shall be the same as the total limited property value of the original parcel or parcels. For the following valuation year, the limited property value shall be established at a level or percentage of full cash value that is comparable to that of other properties of the same or similar use or classification. The new parcel or parcels shall retain the same value‑adding characteristics that applied to the original parcel before being split or consolidated, except as provided in subsection A, paragraph 3 of this section.
C. In the case of property that was split, subdivided or consolidated from January 1 through September 30 of the valuation year as a result of an action initiated by a governmental entity, the limited value is the lower of either:
1. The level or percentage of full cash value that is comparable to that of other properties of the same or similar use or classification.
2. The total limited value for the original parcel or parcels as determined under section 42-13301, and in the following valuation year, the limited property value shall be established pursuant to section 42‑13301.
D. In the case of property that was split, subdivided or consolidated after September 30 through December 31 of the valuation year as a result of an action initiated by a governmental entity, the total limited value for the resulting parcel or parcels is the same as the total limited value for the original parcel or parcels as determined under section 42-13301, and in the following valuation year, the limited property value shall be established as the lower of either:
1. The level or percentage of full cash value that is comparable to that of other properties of the same or similar use or classification.
2. The limited property value established pursuant to section 42‑13301.
E. If the full cash value of property is reduced through one of the following appeals processes, the limited property value shall be reduced by a percentage equal to the percentage reduction for the full cash value:
1. Section 42-16051, review of valuation or classification by county assessor.
2. Section 42-16105, Appeal of valuation or classification from county assessor to county board of equalization.
3. Section 42-16157, appeal of valuation or classification from county assessor to state board of equalization.
4. Section 42-16201, appeal from county assessor to court.
5. Section 42-16202, appeal from county board of equalization to court.
6. Section 42-16203, appeal from state board of equalization to court.
7. Section 42-16205, appeal to court in cases of new construction, changes to assessment parcels and changes in use.
8. Section 42-16205.01, appeal in cases of new ownership.
9. Section 42-16254, review of property tax errors.