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HomeMy WebLinkAboutAgenda - 02-01-2011 - 4cORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: February 1, 2011 Action Agenda Item No. .~ ' G SUBJECT: Motor Vehicle Property Tax Release/Refunds DEPARTMENT: Tax Administration PUBLIC HEARING: (Y/N) No ATTACHMENT(S): Resolution Release/Refund Data Spreadsheet Reason for Adjustment Summary INFORMATION CONTACT: Jo Roberson, Tax Administrator 919-245-2727 PURPOSE: To consider adoption of a refund resolution related to 30 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 $4,937.16 to Orange County, the towns, and school and fire districts. Financial impact year to date for FY 2010-2011 is $33,129.42. RECOMMENDATION(S): The Manager recommends that the Board: • Accept the report reflecting the 30 motor vehicle property tax release/refunds requested in accordance with the NCGS; and • Approve of the attached refund resolution. (~~.~~ ~Dl 1 - C~D(~ 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 COMMISSIONERS 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) Illegal Tax 105-381(a)(1 )b. Appraisal Appeal 105-330.2(6) BOCC REGISTERED MOTOR VEHICLE REPORT FEBRUARY 1st, 2011 ADJU TED ABSTRACT BILLING ORIGINAL LEVY FINANCIAL NAME NUMBER YEAR VALUE VALUE IMPACT REASON FOR ADJUSTMENT Alford, Marcus 949615 2010 3,860 0 $ (34.69) Illegal Tax -County Changed to Durham Andrews, Walter 605972 2010 46,706 $ (332.00) Clerical Error -Incorrect Rate Code Benjamin, Stuart 950307 2010 22,190 0 $ (203.68) Illegal Tax -County Changed to Durham Blackwood, Paul 948971 2010 2,000 1,000 $ (9.21) Appraisal Appeal -Damage Estimate Chepulskyy, Roman 607127 2010 1,660 830 $ (12.79) Appraisal Appeal -Damage Estimate Cowherd, Clayton 607493 2010 15,000 13,500 $ (23.11) Appraisal Appeal -High Mileage Duarte, Kathryn 608057 2010 12,410 11,169 $ (19.13) Appraisal Appeal - Hi h Mileage Edwards, Joshua 644904 2010 7,150 500 $ (71.97) Appraisal Appeal -Has Antique Plate Farrell, James 655538 2010 11,410 0 $ (112.34) Illegal Tax -County Changed to Alamance Francis, Joseph 950658 2010 20,650 0 $ (348.09) Illegal Tax -County Changed to Chatham Grigg, Jason 950708 2010 32,520 0 $ (530.94) Illegal Tax -County Changed to Chatham Hannan, Michael 609100 2010 39,710 $ (206.31) Clerical Error- Incorrect Rate Code Harrill, Annabel 951416 2010 28,590 0 $ (470.39) Illegal Tax -County Changed to Chatham Hill, Jennifer 609326 2010 10,190 $ (95.89) _ Clerical Error- Incorrect Rate Code Howard, William 609519 2010 14,050 $ (94.38) Clerical Error -Incorrect Rate Code Jeffries, Miriam 571956 2010 1,660 $ (19.52) Clerical Error- Incorrect Rate Code Kahl, Christina 609894 2010 5,660 0 $ (117.18) Illegal Tax -County Changed to Durham King, Nicholas 951027 2010 19,320 0 $ (327.61) Illegal Tax -Military Exempt Home of Record (NY) Knowles, Ronald 610109 2010 10,840 9,139 $ (15.68) Appraisal Appeal -High Mileage Kress, Lance Whitaker 610155 2010 11,360 10,224 $ (10.16) Appraisal Appeal -High Mileage Levinson, Sidney 610363 2010 25,850 $ (197.15) Clerical Error -Incorrect Rate Code Rodgers, Kenneth 949185 2010 4,550 0 $ (60.43) Illegal Tax -County Changed to Alamance Seago, Jerry 947152 2010 41,000 15,066 $ (238.05) Appraisal Appeal -Price Paid Southerland, Harold 612910 2010 68,216 $ (448.10) Clerical Error -Incorrect Rate Code Spinarski, Peter 948213 2010 11,700 5,850 $ (90.22) Appraisal Appeal - Holds a Salvaged Title Staley, Fred 951445 2010 17,260 0 $ (312.34) Illegal Tax -County Chan ed to Alamance Tiegs-Paquette, Nadine 951160 2010 10,740 0 $ (390.88) Illegal Tax -County Changed to Chatham Walker, Kathy 605021 2010 10,480 $ (78.98) Clerical Error -Incorrect Rate Code Young, Jon 614277 2010 710 $ (32.95) _ Clerical Error -Incorrect Rate Code Young, Jon 614276 2010 720 $ (32.99) Clerical Error -Incorrect Rate Code $ (4,937.16) TOTAL January 3rd, 2011 thru January 13th, 2011 ~ Military Leave and Earning Statement: Is a copy of a serviceman's payroll stub 5 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