HomeMy WebLinkAboutAgenda - 10-18-2011 - 5cORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: October 18, 2011
Action Agenda
Item No.~'~" - G
SUBJECT: Motor Vehicle Property Tax Release/Refunds
DEPARTMENT: Tax Administration PUBLIC HEARING: (YIN) No
ATTACHMENT(S):
Resolution
Release/Refund Data Spreadsheet
Reason for Adjustment Summary
INFORMATION CONTACT:
Jenkins S. Crayton, 919-245-2735
PURPOSE: To consider adoption of a release or refund resolution related to 14 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
$1,844.88 to Orange County, the towns, and school and fire districts. Financial impact year to
date for FY 2011-2012 is $14,100.02. .
2
RECOMMENDATION(S): The Manager recommends that the Board:
• Accept the report reflecting the 14 motor vehicle property tax release/refunds requested
in accordance with the NCGS; and
• Approve of the attached refund resolution.
NORTH CAROLINA ~ ~ ~ ^ ~ O l' _ o ~ Q 3
ORANGE COUNTY C~
REFUND/RELEASE RESOLUTION (Approval)
Whereas, North Carolina General Statutes 105-381 and/or 330.2(bl) allows for the refund and/or
release of taxes when the Board of County Commissioners determines that a taxpayer applying fo the
releasefrefund has a valid defense to the tax imposed; and
Whereas, the properties listed in each of the attached "Request for Property Tax Refund/Release"
has been taxed and the tax has not been collected: and
Whereas, as to each of the properties listed in the Request for Property Tax Refund/Release, the
taxpayer has timely applied in writing for arefund or release of the tax imposed and has presented a valid
defense to the tax imposed as indicated on the Request for Property Tax Refund/Release.
NOW, THEREFORE, IT IS RESOLVED BY THE BOARD OF COUNTY
COMMISSIONERS OF ORANGE COUNTY THAT the recommended property tax refund(s) and
release(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 Boazd of Commissioners for the County of Orange, North Carolina,
DO HEREBY CERTIFY that the foregoing has been cazefully 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 Boazd 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
2011.
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(b1)
BOCC REGISTERED MOTOR VEHICLE REPORT
OCTOBER 18, 2011
NAME ABSTRACT
NUMBER BILLING
YEAR ORIGINAL
VALUE ADJUSTED
VALUE FINANCIAL
IMPACT
REASON FOR ADJUSTMENT
Clawson, Joshua
663020
2011
17,210
14,801
(32.00) _
Appeal Appraisal -High Mileage
Drake, Harrington
974635
2011
19,000
0
(292.68) _ _
Illegal Tax -County chahged to
Chaham
Ernst, David 970324 2011 12,730 9,929 (45.81) _
Appeal Appraisal -High Mileage
Freeman, Jonah 969886 2011 9,250 7,400 (30.27) Appeal Appraisal -High Mileage
Greeson, John 656088 2011 18,760 16,134 (24.20) Appeal Appraisal -High Mileage
Heath, Forrest 656375 2011 10,850 8,463 (21.33) Appeal Appraisal -High Mileage
Hicks, Karen 964586 2011 2,140 0 (20.34) Illegal Tax -County changed to Durham
Hicks, Karen
964265
2011
8,730
0
(82.95) _
Illegal Tax -County changed to Durham
Kraybill,Eunice
665809
2011
11,970
0
(214.38) - -_ -
Illegal Tax -County changed to Chaham
Lanier, Patrick 970776 2011 21,020 0 (353.79) Illegal Tax -County changed to Durham
NC High School Athletic Association
974647
2011
29,690
0
(487.35) _
Illegal Tax -Exempt Property
Shiver, Claude Berry Jr. 969125 2010 2,550 1,275 (11.75) Appeal Appraisal - Damaga
Vincent Building, Inc. 669401 2011 5,530 0 (115.19) Illegal Tax -County changed to Durham
Waddell, Stuart 967585 2011 11,880 0 (112.84) Illegal Tax - DMV Error sent Record Twice
Total
(1,844.88) ____
~l
September 17, 2011 thru September 28, 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 xeceived 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