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HomeMy WebLinkAboutAgenda - 12-15-2009 - 4cORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: December 15, 2009 Action Agenda Item No. ~• G SUBJECT: Motor Vehicle Property Tax Release/Refunds DEPARTMENT: Revenue/Tax Collector PUBLIC HEARING: (Y/N) No ATTACHMENT(S): Resolution Release/Refund Data Spreadsheet Reason for Adjustment Summary INFORMATION CONTACT: Jo Roberson, Revenue Director, 919-245-2727 PURPOSE: To consider adoption of a refund resolution related to 33 requests for motor vehicle property tax releases or refunds. BACKGROUND: North Carolina General Statute (NCGS) 105-381(a)(1) allows a taxpayer to assert a valid defense to the enforcement of the collection of a tax assessed upon his/her property under three sets of circumstances: (a) "a tax imposed through clerical error", for example when there is an actual error in mathematical calculation; (b) "an illegal tax", such as when the vehicle should have been billed in another county, an incorrect name was used, or an incorrect rate code (the wrong combination of applicable county, municipal, fire district, etc. tax rates) was used; (c) "a tax levied for an illegal purpose", which would involve charging a tax which was later deemed to be impermissible under state law. NCGS 105-381(b), "Action of Governing Body" provides that "Upon receiving a taxpayer's written statement of defense and request for release or refund, the governing body of the taxing unit shall within 90 days after receipt of such a request determine whether the taxpayer has a valid defense to the tax imposed or any part thereof and shall either release or refund that portion of the amount that is determined to be in excess of the correct liability or notify the taxpayer in writing that no release or refund will be made". For classified motor vehicles, NCGS 105-330.2(b) allows for a full or partial refund when a tax has been paid and a pending appeal for valuation reduction due to excessive mileage, vehicle damage, etc. is decided in the owner's favor. FINANCIAL IMPACT: Approval of these release/refund requests will result in a net reduction of $4,626.61 to Orange County, the towns, and school and fire districts. Financial impact year to date for FY2009-2010 is $37,481.34. 2 RECOMMENDATION(S): The Manager recommends that the Board: • Accept the report reflecting the 33 motor vehicle property tax release/refunds requested in accordance with the NCGS; and • Approve of the attached refund resolution. ~~S-o~~~ 1~~~ 3 NORTH CAROLINA ORANGE COUNTY REFUND RESOLUTION (Approval) Whereas, North Carolina General Statutes 105-381 and/or 330.2(B) allows for the refund of taxes when the Board of County Commissioners determines that a taxpayer applying for therefund has a valid defense to the tax imposed; and Whereas, the properties listed in each of the attached "Request for Property Tax Refunds" has been taxed; and Whereas, as to each of the properties listed in the Request for Property Tax Refunds, the taxpayer has timely applied in writing for a refund of the tax imposed and has presented a valid defense to the tax imposed as indicated on the Request for Property Tax Refunds. NOW, THEREFORE, IT IS RESOLVED BY THE BOARD OF COUNTY COIVIlVIISSIONERS OF ORANGE COUNTY THAT the recommended property tax refund(s) are approved. Upon motion duly made and seconded, the foregoing resolution was passed by the following votes: Ayes: Commissioners Noes: I, Donna Baker, Clerk to the Board of Commissioners for the County of Orange, North Carolina, DO HEREBY CERTIFY that the foregoing has been carefully copied from the recorded minutes of the Board of Commissioners for said County at a regular meeting of said Board held on said record having been made in the Minute Book of the minutes of said Board, and is a true copy of so much of said proceedings of said Board as relates in any way to the passage of the resolution described in said proceedings. WITNESS my hand and the corporate seal of said County, this day of Clerk to the Board of Commissioners Clerical Error 105-381(a)(1)a.(INCORRECT RATE) Ilegal Tax 105-381(a)(1)b. Appraisal Appeal 105-330.2(8) BOCC REGISTERED MOTOR VEHICLE REPORT December 15, 2009 NAME 8~ BILL NUMBER BILLING YEAR RATE CODE ORIGINAL VALUE ADJUSTED Levy VALUE FINANCIAL IMPACT REASON FOR ADJUSTMENT Austin, Sally 2009102872 2009 22 20,430 0 -344.70 Illegal Tax -County changed to Durham Black, Sylvia 200993459 2009 22 8,580 7,550 -15.87 Appraisal Appeal -High Mileage Buarotti, Paul 200993820 2009 11 10,910 8,946 -21.25 Appraisal Appeal -High Mileage Cate, Margaret 200994151 2009 22 11,220 10,323 -13.82 Appraisal Appeal -Repair Estimate Chhay, Tcheu 20099790 2009 22 25,950 0 -529.95 Illegal Tax-County changed to Durham Cooper, Thomas 2009104683 2009 03 10,470 7,125 -30.26 Appraisal Appeal -High Mileage Dostert, James 2009105260 2009 22 18,540 0 -315.59 Illegal Tax-County changed to Durham Evans, Carolyn 2009105529 2009 15 30,570 0 -274.70 Illegal Tax -County changed to Durham Gates, Warren 2009106027 2009 23 13,420 -86.95 Clerical Error -Incorrect Rate Code Gwinn, Jeremy 2009106411 2009 21 14,860 0 -273.08 Illegal Tax -Military Exempt Home of Record (WA) Howerton, Barbara 200996806 2009 03 10,080 8,064 -18.24 Appraisal Appeal -High Mileage Hynus, William 2009107221 2009 22 18,390 -69.07 Clerical Error -Incorrect Rate Code Irani, Ferzin 2009107243 2009 22 5,990 4,552 -22.15 Appraisal Appeal -High Mileage Keshen, Eve 2009107703 2009 22 4,930 2,723 -34.00 Appraisal Appeal -Repair Estimate Kitner, Bradley 2009107794 2009 17 8,540 7,140 -15.35 Appraisal Appeal -High Mileage Lee St. Construction, 200887829 2008 22 10,350 0 -217.81 Illegal Tax-County changed to Alamance Lee, Shoou-Yih Daniel 200997717 2009 21 20,950 18,017 -47.98 Appraisal Appeal -High Mileage McLaughlin, Stephen 200998397 2009 00 2,669 1,255 -12.89 Appraisal Appeal -Price Paid Melendez, Lenny 200998465 2009 21 12,830 0 -239.87 Ille al Tax - Milita Exempt Home of Record (NY) November 1st thru November 30th, 2009 -P Clerical Error 105-381(a)(1)a.(INCORRECT RATE) Illegal Tax 105-381(a)(1)b. Appraisal Appeal 105-330.2(6) BOCC REGISTERED MOTOR VEHICLE REPORT December 15, 2009 NAME 8~ BILL NUMBER BILLING YEAR RATE CODE ORIGINAL VALUE ADJUSTED Levy VALUE FINANCIAL IMPACT REASON FOR ADJUSTMENT Mills, Katherine 2009109125 2009 23 8,290 8,090 -2.96 Appraisal Appeal -High Mileage Piedmont Metro Service Co. 2007109750 2007 22 11,200 0 -248.05 Illegal Tax- County changed to Durham Piedmont Metro Service Co. 2008121562 2008 22 9,400 0 -209.97 Illegal Tax-County changed to Durham Piedmont Metro Service Co. 2008152999 2008 22 6,180 0 -141.59 Illegal Tax-County changed to Durham Rose, Jeffrey 200900020 2009 00 6,910 0 -62.99 Illegal Tax -County changed to Durham Ross, Timothy 200914793 2009 10 17,570 0 -194.63 Illegal Tax -County changed to Durham Rysell, Dennis 2009100118 2009 16 8,670 7,895 -7.14 Appraisal Appeal -High Mileage Sleboda, Robert 2009111338 2009 04 10,490 7,763 -30.68 Appraisal Appeal -High Mileage Tausch, Michael 2009111877 2009 21 8,640 0 -171.33 Illegal Tax -Military Exempt Home of Record (TX) Valencia, Christopher 2009101397 2009 21 16,980 0 -355.04 Illegal Tax -Military Exempt Home of Record (OR) Wilke, Nathan Paul 2009112906 2009 21 34,340 30,906 -56.17 Appraisal Appeal-High Mileage Wistner, Stephen 200992317 2009 02 7,220 0 -97.65 Illegal Tax -Military Exempt Woods, Wesley Darius 2009113146 2009 23 17,440 -108.78 Clerical Error -Incorrect Rate Code Wu, Chin 2009113180 2009 22 17,410 0 -356.10 Illegal Tax - DMV Error -4626.61 November 1st thru November 30th, 2009 ~ ~ Military Leave and Earning Statement: Is a copy of a serviceman's payroll stub 6 covering a particular pay period. This does list his home of record, which is his permanent state of residence where he would pay any state income taxes. Vehicle Titles Salvaged and Salvage Rebuilt: Any repairs that exceed 75% of the vehicle's market value using NADA, Kelly Blue Book and various other publications. When the insurance company has totaled the vehicle, and the customer has received the claim check, four things can happen: • Insurance company can keep the vehicle. • Customer can keep the vehicle. The customer is instructed to contact the local DMV inspector to have an initial inspection done, for vehicles 2001 to 2006 (these dates change yearly, example in 2007 the models will be 2002-2007). • Affidavit of Rebuilder- The inspector lists each part that needs to be repaired. • Final inspection- if all work is cleared and approved by the inspector then the rebuilt status is then removed (salvaged status remains). Note: Finance companies will not finance a salvaged vehicle. Total Loss: Repairs were more than the market value of the vehicle and the insurance company is unwilling to pay for the repairs. Total Loss/Rebuilt: Whatever the repairs were to make the vehicle road worthy after a Total Loss status has been given. Vehicle must be 5 years old or older. Vehicle status then remains as salvaged or rebuilt. Certificate of Reconstruction: When work has been done on (vehicles 2001-2006 in year 2006) this is issued when the inspector didn't see the original damaged and the vehicle has been repaired. Certificate of Destruction: NC DMV will not register this type of vehicle. It is not fit for North Carolina roads. Custom Built: When the customer has built this vehicle himself or herself. Ex. parts taken from various vehicles to build one vehicle. Three titles are required from the DMV in this case. 1) Frame 2) Transmission 3) Engine. Then an indemnity bond must be issued. An indemnity bond must also be issued when the vehicle does not have a title at all. Per Flora with NCDMV September 8, 2006