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COUNTY OF SAN MATEOInter-Departmental Correspondence |
County Counsel |
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DATE: |
March 25, 2003 |
BOARD MEETING DATE: |
April 22, 2003 |
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TO: |
Honorable Board of Supervisors |
FROM: |
County Counsel |
SUBJECT: |
La Mar-Grenn Claim for Refund of Property Taxes (APN No. 140-330-050) |
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Recommendation |
Deny claim for refund of property taxes paid for the 2000-2001 tax year in the amount of $253.97 and for cancellation of the second half of the bill for escaped taxes. |
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Background |
The taxpayer purchased the cooperative apartment for $249,000 on June 16, 2000. As of the January 1, 2000 lien date, the property was assessed on the secured roll for $134, 637. |
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Pursuant to the Revenue and Taxation Code, property must be reassessed any time there is change of ownership and the purchase price is rebuttably presumed to be the new value. Where, as here, property changes ownership after the lien date, the Assessor is required to issue supplemental bills for taxes. In this case, the Assessor determined the $249,000 purchase price should be enrolled, thus requiring the issuance of a supplemental bill in the amount of $114,363 to capture the difference between the value on the lien date and the newly assessed value. |
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Presumably because of computer error, the supplemental issued in the year 2000 was only for $59,000. When the error was discovered in the year 2002, an escape assessment for $48,363 was issued. The escape assessment was timely, because Revenue and Taxation Code section 532 provides a four year period within which escapes must be issued. Though the taxpayer's belief that the assessment was erroneous is understandable, there was no overpayment and thus no refund is warranted. The claim should be denied. |