97-002

Response's December 16, 996 and January 10, 1996

 

 

Request

November 15, 1997

 

Dear Assessor,

 

Under Utah Code sections 59-2-1002(c) and 59-2-1008, which provide for correction of mistakes in assessments, I am writing regarding property number XXXXX. (A copy of the tax notice is attached.)

 

This property is the COMPANY A. It is a low income housing project being built to help poor families. Until this year all tax notices on this property were sent to our office at 301 West 5400 South, Suite 101, Murray, Utah 84107. For some reason this year several of the parcels were combined into ##### and sent to a different address in Murray, and was not forwarded to our office until two days ago.

 

My primary concern is that the buildings are listed as non-primary on the tax notice. In fact first three buildings (40 units) were completed in December 19YY and were being occupied by tenants. I believe these units qualify as primary residential. I have checked with Salt Lake County and was told that is their policy that as long as a building is designed for residential living, it is valued as primary even if it is not complete or occupied. I ask that you review our request and grant primary status on parcel ##### since 40 units were complete before the lien date and that some were occupied in January of 19YY.

 

I look forward to supplying any information you may require.

Sincerely,

 

XXXXX

 

 

December 16, 1996

 

NAME

ADDRESS

CITY STATE, ZIP

 

Dear Mr. XXXXX:

 

In response to your letter dated November 15, 1996, I had occasion to discuss your request with not only the Salt Lake County Assessor but several other assessors and members of the Utah State Tax Commission.

 

XXXXX, Salt Lake County Assessor's Office, verified that indeed that was the policy of Salt Lake County. The majority of assessors I asked stated that it was their county's policy to place the primary exemption after completion of the improvement. The same response was made by those members of the Property Tax Division and that I should continue to follow our county's policy.

 

I agree that there is some disagreement among counties on this issue but I find no reason to diverge from policy established even before I took office.

 

I have enclosed an Affidavit of Primary Residence for you to sign and I will see that your project will be put on the 1997 assessment roll with a primary residence exemption and at the completed or full market value.

 

Sincerely,

 

XXXXX

Summit County Assessor

 

 

December 23, 1996

 

 

 

Mr. XXXXX, Chairman

Utah State Tax Commission

210 North 1950 West

Salt Lake City, Utah 84116

 

Dear Chairman XXXXX,

 

I am writing to request an advisory opinion regarding the proper tax rate for residential properties under construction as of the lien date. This question arose in XXXXX County where in late 19YY our company was constructing a 94 unit affordable housing apartment project. On the lien date of January 1, 19YY, three of the seven buildings were complete with some units occupied. The remaining four buildings were 30-50% complete.

 

Nevertheless, XXXXX County has taken the position that the units should be taxed at a commercial rate until physically occupied by a tenant. Salt Lake County takes a different position and taxes units at a residential rate if the units are intended to be residential units when construction is complete. I have enclosed copies of my correspondence with XXXXX County on this issue.

 

Apparently, there is no uniform policy in the State of Utah on how to deal with this question. I request that the Utah State Tax Commission issue an advisory opinion to resolve the conflict among counties and provide a uniform policy for all counties.

 

I would be happy to provide any additional information you need.

 

Sincerely,

 

XXXXX

XXXXX County

XXXXX, County Assessor

 

 

January 10, 1997

 

 

NAME

ADDRESS

CITY, STATE, ZIP

 

Advisory Opinion - Application of residential property exemption to multiple unit

dwellings during construction

 

Dear Mr. XXXXX,

 

We have received your request for information regarding the partial exemption available to primary residential properties. In discussing this matter with your staff, we learned that you are in the process of bringing this issue before the county Board of Equalization. If you are dissatisfied with the Board’s decision, you may appeal that decision to the Tax Commission. Because this matter may come before us on appeal, we must decline to issue an advisory opinion at this time.

 

We understand that there may be a question as to the timeliness of your appeal to the County Board of Equalization. If you missed the deadline for filing an appeal, that issue is a hurdle that you must cross in addressing your appeal to the Board of Equalization. If the Board denies your appeal on the basis of timeliness, you may petition the Tax Commission to hear your appeal of that denial. In either case, you will have the burden of showing that the county’s notice was in some way deficient and that the deficiency unreasonably interfered with your rights to appeal. We mention this because, as we understand it, you still have not filed the appeal. If you have not already done so, we urge you to pursue your appeal rights immediately.

 

XXXXX of our Property Tax Division has been informed of this situation. If you have general policy questions about the residential exemption, feel free to discuss them with XXXXX. He can be reached at #####. Of course, any Tax Commission ruling on your petition in particular or an interpretation of this exemption in general will have to come from the Commission itself.

 

For the Commission,

XXXXX,

Commissioner