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HomeMy WebLinkAboutAgenda - 11-20-2012 - 5b ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: November 20, 2012 Action Agenda Item No. 5-b SUBJECT: Motor Vehicle Property Tax Releases/Refunds DEPARTMENT: Tax Administration PUBLIC HEARING: (YIN) No ATTACHMENT(S): INFORMATION CONTACT: Resolution Dwane Brinson, Tax Administrator, Releases/Refunds Data Spreadsheet 919-245-2109 Reason for Adjustment Summary PURPOSE: To consider adoption of a resolution to release motor vehicle property tax values for thirty (30) taxpayer requests that will result in a reduction of revenue. 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 $2,514.83 to Orange County, the towns, and school and fire districts. Financial impact year to date for FY 2012-2013 is $25,071.89. 2 RECOMMENDATION(S): The Manager recommends that the Board: • Accept the report reflecting the motor vehicle property tax releases/refunds requested in accordance with the NCGS; and • Approve of the attached refund resolution. 3 NORTH CAROLINA RES-2012-098 ORANGE COUNTY REFUND/RELEASE RESOLUTION(Approval) Whereas,North Carolina General Statutes 105-381 and/or 330.2(b)allows for the refund and/or release of taxes when the Board of County Commissioners determines that a taxpayer applying for the release/refund 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 Refimd/Release,the taxpayer has timely applied in writing for a refund 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: 1,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 12012. Clerk to the Board of Commissioners 4 Clerical error 105-381(a)(1)a.(Incarrect rate) Q,OGC REGISTERED MOTOR VEHICLE REPURT NOVEMEtER 20, 2U12 Illegal tax 105-381(a}{1}b, Appraisal appeal 1q5-330.2(b) ABSTRACT BIL�ING ORIGINAC. ADJUSTEQ FINANCtAL NAME NUMBER YEAR VALUE VA�UE IMPACT REA50N FpR ADJUSTMENT Ahn, Bon keun 978606 2012 17,274 15,&16 22.37 Hi h milea e A raisal a eal� Befumo,Qavid 1009888 2012 9,850 8,471 22.56 Hi h milea e A raisal a eal Daniel,Samuel 986063 2011 4,700 0 107.85 Ghan ed caun to Buncambe Ille al tax Daniel,Samuel 995793 2011 2,94t3 0 78.57 Chan ed coun to Buncombe Ille ai tax Delahun ,Martha 1Q1Q303 2012 8,400 7,625 (11.94) Hi h milea e A raisai appeal} Eakes,Thomas Co 1007643 2012 2,120 1,060 11.62 Holds a totalloss title A raisal a eai Fow3er,Glenda 1Q08392 2012 'E3,830 0 (126.42 Ghan ed coun to Columbus(llle al tax Greenblatt,Susan 941007 2012 8,424 6,156 37.10 Price paid(A raisal a eal Hunter,Catherine 1011851 2Q12 24,884 'f9,500 (82.87} Price paid(Appraisal a eal} Jones, Rodne Cameron 590464 2012 7,140 4,$55 (35.19 Hi h milea e(A raisal a eal Khachatoorian, Hai 978897 2012 21,150 0 355.8Q Chan ed caunt to Durham Ille al tax McGhee,James 109001 2012 3,000 1,500 13.71 Re airestimate A raisa!a ea! Nicholson, Dannell Gillian Jr. 592109 2012 11,800 8,496 37.15 Hi h milea e A raisal a eal Oxendine, Elizabeth 942142 2012 17,540 14,032 31.73 Hi h milea e A raisa{a eal Parks,William Land 979641 2012 20,384 18,342 31.40 Hi h milea e R raisal a eal Pure Water Salutions 361084 2012 4,63Q 0 82.89 Chan ed cpun to Rlamance Ille a!tax Pure Water Solutions 979491 2d12 12,280 0 196.86 Chan ed caun to Alamance Ille al#ax Pure Water Salutions 942090 2d12 9,700 0 159.19 Chan ed coun to Alamance 111e ai tax Seli man,Andrew Lee 943029 2012 11,280 116.08 Incarrect rate code Clerical error Stta horn,Michael 668784 2Q12 9,140 8,415 10.72 Mi h milea e A raisal a eaE Swart, I(eith 668857 2412 10,764 7,317 53.02 Hi h milea e A raisal a eal Upchurch, Ricky 1011045 2012 20,830 16,664 38.24} Hi h milea s A raisal a eal} Van Baur ondien,Mary 1010880 2012 16,110 0 (176.63 Ghan ed caunt to Chatham Ille al#ax Viilagomez, Elias 1008071 2012 9,280 6,310 45.74} High milea e Appraisal a peal} Waterhouse, Ben'smin 669646 2011 12,640 (87.9'E} Incorrect rate code(Clerical srror Waterhouse, Benjamin 669646 2012 10,940 (79.58} Incorrect rate code(Clerical error) Wilcox, Bruce Harold 979299 2012 16,983 0 (271.19} Chan ed caun to Alamance (Ile al tax Yin,Xiaohon 942335 2011 27,011 24,309 44.18} Incorrect value Glerica{errar Yin,Xiaohong 942335 2012 27,011 21,878 {$3.95} Price aid A raisal a eal Zhou,Chunxiaa 1010170 2d12 24,570 20,639 (60.56 Hi h milea s A raisal a eal Total 2,514.$3 October 19, 2012 thru October 31, 2012 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. 0 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