House File 616 - Introduced
HOUSE FILE
BY COMMITTEE ON WAYS AND
MEANS
(SUCCESSOR TO HF 192)
(SUCCESSOR TO HSB 29)
A BILL FOR
1 An Act relating to property tax credits and assessment by
2 modifying filing deadline provisions, modifying requirements
3 relating to property assessment notices and equalization
4 order notices, modifying provisions relating to property
5 assessment protests and assessor informal reviews, and
6 including effective date and applicability provisions.
7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
TLSB 1113HZ (2) 86
md/sc
PAG LIN
1 1 Section 1. Section 426C.3, subsection 2, paragraph a, Code
1 2 2015, is amended to read as follows:
1 3 a. (1) Claims for the business property tax credit against
1 4 taxes due and payable in fiscal years beginning before July
1 5 1, 2016, shall be filed not later than March 15 preceding the
1 6 fiscal year during which the taxes for which the credit is
1 7 claimed are due and payable.
1 8 (2) Claims for the business property tax credit against
1 9 taxes due and payable in fiscal years beginning on or after
1 10 July 1, 2016, shall be filed not later than July 1 preceding
1 11 the fiscal year during which the taxes for which the credit is
1 12 claimed are due and payable.
1 13 Sec. 2. Section 441.26, subsection 1, Code 2015, is amended
1 14 to read as follows:
1 15 1. The director of revenue shall each year prescribe
1 16 the form of assessment roll to be used by all assessors in
1 17 assessing property, in this state, also the form of pages of
1 18 the assessor's assessment book. The assessment rolls shall
1 19 be in a form that will permit entering, separately, the names
1 20 of all persons assessed, and shall also contain a notice in
1 21 substantially the following form:
1 22 If you are not satisfied that the foregoing assessment is
1 23 correct, you may contact the assessor on or after April 1 2,
1 24 to and including May 4 April 25, of the year of the assessment
1 25 to request an informal review of the assessment pursuant to
1 26 section 441.30.
1 27 If you are not satisfied that the foregoing assessment is
1 28 correct, you may file a protest against such assessment with
1 29 the board of review on or after April 7 2, to and including May
1 30 5 April 30, of the year of the assessment, such protest to be
1 31 confined to the grounds specified in section 441.37.
1 32 Dated: .. day of ... (month), .. (year)
1 33 ...........
1 34 County/City Assessor.
1 35 Sec. 3. Section 441.26, subsection 2, Code 2015, is amended
2 1 to read as follows:
2 2 2. The notice in 1981 and each odd=numbered year thereafter
2 3 shall contain a statement that the assessments are subject
2 4 to equalization pursuant to an order issued by the director
2 5 of revenue, that the county auditor shall give notice on or
2 6 before October 15 8 by publication in an official newspaper of
2 7 general circulation to any class of property affected by the
2 8 equalization order, that the county auditor shall give notice
2 9 by mail postmarked on or before October 8 to each property
2 10 owner or taxpayer whose valuation has been increased by the
2 11 equalization order, and that the board of review shall be in
2 12 session from October 15 10 to November 15 to hear protests of
2 13 affected property owners or taxpayers whose valuations have
2 14 been adjusted by the equalization order.
2 15 Sec. 4. Section 441.28, Code 2015, is amended to read as
2 16 follows:
2 17 441.28 Assessment rolls == change == notice to taxpayer.
2 18 The assessment shall be completed not later than April 1 each
2 19 year. If the assessor makes any change in an assessment after
2 20 it has been entered on the assessor's rolls, the assessor shall
2 21 note on the roll, together with the original assessment, the
2 22 new assessment and the reason for the change, together with the
2 23 assessor's signature and the date of the change. Provided,
2 24 however, in the event the assessor increases any assessment the
2 25 assessor shall give notice of the increase in writing to the
2 26 taxpayer by mail postmarked no later than April 1. No changes
2 27 shall be made on the assessment rolls after April 1 except by
2 28 written agreement of the taxpayer and assessor under section
2 29 441.30, by order of the board of review or of the property
2 30 assessment appeal board, or by decree of court.
2 31 Sec. 5. Section 441.30, subsections 1 and 2, Code 2015, are
2 32 amended to read as follows:
2 33 1. Any property owner or aggrieved taxpayer who is
2 34 dissatisfied with the owner's or taxpayer's assessment may
2 35 contact the assessor by telephone or in writing by paper or
3 1 electronic medium on or after April 1 2, to and including May
3 2 4 April 25, of the year of the assessment to inquire about the
3 3 specifics and accuracy of the assessment. Such an inquiry may
3 4 also include a request for an informal review of the assessment
3 5 by the assessor under one or more of the grounds for protest
3 6 authorized under section 441.37 for the same assessment year.
3 7 2. In response to an inquiry under subsection 1, if the
3 8 assessor, following an informal review, determines that the
3 9 assessment was incorrect under one or more of the grounds for
3 10 protest authorized under section 441.37 for the same assessment
3 11 year, the assessor may, on or before April 25, recommend that
3 12 the property owner or aggrieved taxpayer file a protest with
3 13 the local board of review and may file a recommendation with
3 14 the local board of review related to the informal review, or
3 15 may enter into a signed written agreement with the property
3 16 owner or aggrieved taxpayer authorizing the assessor to correct
3 17 or modify the assessment according to the agreement of the
3 18 parties.
3 19 Sec. 6. Section 441.35, subsection 2, Code 2015, is amended
3 20 to read as follows:
3 21 2. In any year after the year in which an assessment has
3 22 been made of all of the real estate in any taxing district, the
3 23 board of review shall meet as provided in section 441.33, and
3 24 where the board finds the same has changed in value, the board
3 25 shall revalue and reassess any part or all of the real estate
3 26 contained in such taxing district, and in such case, the board
3 27 shall determine the actual value as of January 1 of the year
3 28 of the revaluation and reassessment and compute the taxable
3 29 value thereof. If the assessment of any such property is
3 30 raised, or any property is added to the tax list by the board,
3 31 the clerk shall give notice in the manner provided in section
3 32 441.36. However, if the assessment of If all property in any
3 33 taxing district is raised revalued and reassessed, the board
3 34 may shall, in addition to notices required to be provided in
3 35 the manner specified in section 441.36, instruct the clerk to
4 1 give immediate notice by one publication in one of the official
4 2 newspapers located in the taxing district, and such published
4 3 notice shall take the place of the mailed notice provided for
4 4 in section 441.36, but all other provisions of that section
4 5 shall apply. The decision of the board as to the foregoing
4 6 matters shall be subject to appeal to the property assessment
4 7 appeal board within the same time and in the same manner as
4 8 provided in section 441.37A and to the district court within
4 9 the same time and in the same manner as provided in section
4 10 441.38.
4 11 Sec. 7. Section 441.37, subsection 1, paragraph a,
4 12 unnumbered paragraph 1, Code 2015, is amended to read as
4 13 follows:
4 14 Any property owner or aggrieved taxpayer who is dissatisfied
4 15 with the owner's or taxpayer's assessment may file a protest
4 16 against such assessment with the board of review on or after
4 17 April 7 2, to and including May 5 April 30, of the year of the
4 18 assessment. In any county which has been declared to be a
4 19 disaster area by proper federal authorities after March 1 and
4 20 prior to May 20 of said year of assessment, the board of review
4 21 shall be authorized to remain in session until June 15 and the
4 22 time for filing a protest shall be extended to and include the
4 23 period from May 25 to June 5 of such year. The protest shall
4 24 be in writing and, except as provided in subsection 3, signed
4 25 by the one protesting or by the protester's duly authorized
4 26 agent. The taxpayer may have an oral hearing on the protest if
4 27 the request for the oral hearing is made in writing at the time
4 28 of filing the protest. The protest must be confined to one or
4 29 more of the following grounds:
4 30 Sec. 8. Section 441.37, subsection 3, Code 2015, is amended
4 31 to read as follows:
4 32 3. For assessment years beginning on or after January
4 33 1, 2014, the board of review may allow property owners or
4 34 aggrieved taxpayers who are dissatisfied with the owner's or
4 35 taxpayer's assessment to file a protest against such assessment
5 1 by electronic means. Electronic filing of assessment protests
5 2 may be authorized for the protest period that begins April
5 3 7 2, the protest period that begins October 15 9, or both.
5 4 Except for the requirement that a protest be signed, all other
5 5 requirements of this section for an assessment protest to the
5 6 board of review shall apply to a protest filed electronically.
5 7 If electronic filing is authorized by the local board of
5 8 review, the availability of electronic filing shall be clearly
5 9 indicated on the assessment roll notice provided to the
5 10 property owner or taxpayer and included in both the published
5 11 equalization order notice and the equalization order notice
5 12 mailed to the property owner or taxpayer if applicable.
5 13 Sec. 9. Section 441.49, subsections 2 and 4, Code 2015, are
5 14 amended to read as follows:
5 15 2. a. On or before October 15 8 the county auditor shall
5 16 cause to be published in official newspapers of general
5 17 circulation the final equalization order. The county auditor
5 18 shall also notify each property owner or taxpayer whose
5 19 valuation has been increased by the final equalization order
5 20 by mail postmarked on or before October 8. The publication
5 21 and the individual notice mailed to each property owner or
5 22 taxpayer whose valuation has been increased shall include, in
5 23 type larger than the remainder of the publication or notice,
5 24 the following statement statements:
5 25 Assessed values are equalized by the department of revenue
5 26 every two years. Local taxing authorities determine the final
5 27 tax levies and may reduce property tax rates to compensate
5 28 for any increase in valuation due to equalization. If you
5 29 are not satisfied that your assessment as adjusted by the
5 30 equalization order is correct, you may file a protest against
5 31 such assessment with the board of review on or after October
5 32 9, to and including October 31.
5 33 b. Failure to publish the equalization order or to notify
5 34 property owners or taxpayers of the equalization order has no
5 35 effect upon the validity of the orders.
6 1 4. The local board of review shall reconvene in special
6 2 session from October 15 10 to November 15 for the purpose of
6 3 hearing the protests of affected property owners or taxpayers
6 4 within the jurisdiction of the board whose valuation of
6 5 property if adjusted pursuant to the equalization order issued
6 6 by the director of revenue will result in a greater value than
6 7 permitted under section 441.21. The board of review shall
6 8 accept protests only during the first ten days following the
6 9 date the local board of review reconvenes period of time from
6 10 October 9, to and including October 31. The board of review
6 11 shall limit its review to only the timely filed protests. The
6 12 board of review may adjust all or a part of the percentage
6 13 increase ordered by the director of revenue by adjusting the
6 14 actual value of the property under protest to one hundred
6 15 percent of actual value. Any adjustment so determined by
6 16 the board of review shall not exceed the percentage increase
6 17 provided for in the director's equalization order. The
6 18 determination of the board of review on filed protests is
6 19 final, subject to appeal to the property assessment appeal
6 20 board. A final decision by the local board of review, or the
6 21 property assessment appeal board, if the local board's decision
6 22 is appealed, is subject to review by the director of revenue
6 23 for the purpose of determining whether the board's actions
6 24 substantially altered the equalization order. In making the
6 25 review, the director has all the powers provided in chapter
6 26 421, and in exercising the powers the director is not subject
6 27 to chapter 17A. Not later than fifteen days following the
6 28 adjournment of the board, the board of review shall submit to
6 29 the director of revenue, on forms prescribed by the director, a
6 30 report of all actions taken by the board of review during this
6 31 session.
6 32 Sec. 10. IMPLEMENTATION OF ACT. Section 25B.2, subsection
6 33 3, shall not apply to this Act.
6 34 Sec. 11. EFFECTIVE UPON ENACTMENT. The following provision
6 35 of this Act, being deemed of immediate importance, takes effect
7 1 upon enactment:
7 2 1. The section of this Act amending section 426C.3.
7 3 Sec. 12. APPLICABILITY. Except for the section of this Act
7 4 amending section 426C.3, this Act applies to assessment years
7 5 beginning on or after January 1, 2016.
7 6 EXPLANATION
7 7 The inclusion of this explanation does not constitute agreement with
7 8 the explanation's substance by the members of the general assembly.
7 9 This bill relates to property tax credits and assessment
7 10 by modifying filing deadline provisions, modifying provisions
7 11 relating to property assessment notices and equalization order
7 12 notices, and by modifying provisions relating to property
7 13 assessment protests and assessor informal reviews.
7 14 Current Code section 426C.3 requires claims for the business
7 15 property tax credit to be filed not later than March 15
7 16 preceding the fiscal year during which the taxes for which the
7 17 credits is claimed are due and payable. The bill provides that
7 18 claims for the business property tax credit against taxes due
7 19 and payable in fiscal years beginning on or after July 1, 2016,
7 20 shall be filed not later than July 1 preceding the fiscal year
7 21 during which the taxes for which the credit is claimed are due
7 22 and payable.
7 23 Current Code section 441.30 allows a property owner or
7 24 taxpayer to contact the assessor to inquire about the specifics
7 25 and accuracy of the assessment and to request an informal
7 26 review of the assessment on or after April 1 to and including
7 27 May 4 of the assessment year. The bill modifies that period
7 28 of time to be on or after April 2 to and including April 25.
7 29 The bill also authorizes a change to the assessment on or
7 30 before April 25 if the owner or taxpayer enters into a written
7 31 agreement with the assessor. This authority is in addition
7 32 to the assessor's current authority to recommend that the
7 33 taxpayer file a protest with the local board of review and file
7 34 a recommendation in regards to such a protest.
7 35 The bill also modifies the period of time for filing an
8 1 assessment protest with the local board of review from the
8 2 current April 7 to May 5, to a period of time beginning April 2
8 3 to and including April 30.
8 4 Current Code section 441.26 requires notices of equalization
8 5 orders to be published in the newspaper on or before
8 6 October 15. The bill modifies the publication deadline for
8 7 equalization order notices to October 8 and requires that
8 8 individual notices be mailed by October 8 to each owner or
8 9 taxpayer whose valuation has been increased by the equalization
8 10 order. The bill provides that the notice shall contain the
8 11 statement currently required in published notices and amends
8 12 Code section 441.49 to also require that the notice contain a
8 13 statement of the owner's or taxpayer's ability to file with the
8 14 local board of review a protest against an assessment adjusted
8 15 by the equalization order.
8 16 The bill also amends Code section 441.49 to modify the
8 17 period of time for taxpayer protests of an equalization order
8 18 and the dates of the local board of review's session to hear
8 19 such protests. Current law allows such protests to be filed
8 20 on or after October 15, to and including October 25. The bill
8 21 makes the period of time for filing a protest from October 9 to
8 22 October 31. The bill changes the dates during which the local
8 23 board is in session to hear assessment protests resulting from
8 24 equalization orders to be October 10 to November 15 (previously
8 25 October 15 to November 15).
8 26 Code section 441.35, subsection 2, also authorizes the local
8 27 board of review to provide notice to taxpayers by publication
8 28 in one of the official newspapers located in the taxing
8 29 district if the local board of review raises the assessment
8 30 of all property in a taxing district during the local board
8 31 of review's session in an even=numbered assessment year.
8 32 The bill modifies this provision to require, in addition to
8 33 individual owner or taxpayer notices, notice by publication if
8 34 all property in the taxing district is revalued and reassessed.
8 35 The bill amends Code section 441.37 to require individual
9 1 assessment notices and published notices resulting from an
9 2 equalization order to include information on the availability
9 3 of electronic filing of protests if electronic filing is
9 4 authorized by the local board of review.
9 5 The bill may include a state mandate as defined in Code
9 6 section 25B.3. The bill makes inapplicable Code section 25B.2,
9 7 subsection 3, which would relieve a political subdivision from
9 8 complying with a state mandate if funding for the cost of
9 9 the state mandate is not provided or specified. Therefore,
9 10 political subdivisions are required to comply with any state
9 11 mandate included in the bill.
9 12 The section of the bill amending Code section 426C.3 takes
9 13 effect upon enactment.
9 14 Except for the section of the bill amending Code section
9 15 426C.3, the bill applies to assessment years beginning on or
9 16 after January 1, 2016.
LSB 1113HZ (2) 86
md/sc