Preparing for Grievance Day

 

Excessive Assessment Appeal Services

Michael DeRosa Assessment Appeal Advocate
(c) (315) 406-7355
Mike Franklin Unique Property Advocate
(315) 876-2262
(e) info@PreparingForGrievanceDay.com

 

GLOSSARY

Ad Valorem Taxation
Taxation that’s based on the assessed value of the subject of the tax.

Approved Assessing Unit
An assessing unit that’s completed a property revaluation and has been certified by the State Board of Real Property Services. Certification gives the assessing unit some additional options in its property tax system – e.g., the option to use dual tax rates.

Article 7 Tax Certiorari Proceeding
A proceeding in New York Supreme Court where the taxpayer may appeal a decision by
the Board of Assessment Review (BAR).

Article 78 Proceeding
A proceeding in New York Supreme Court where the taxpayer may seek review of a decision by
SCAR, or of a decision by BAR not to ratify a stipulated assessment that the taxpayer and
assessor have agreed upon without a formal challenge.

Assessed Value
The assessor’s determination of the value of real property, before exemptions are applied but
after the uniform percentage of value is applied.

Assessing Unit
A city, town, county, or village that assesses real property for tax purposes. Or, a “consolidated
assessing unit,” comprised of two or more cities or towns. There are more than 1,100 assessing
units in New York. Note: Some properties are located in more than one assessing unit and will therefore be assessed more than once.

Assessment
A valuation of real property for tax purposes. See also “assessed value.”

Assessor
An elected or appointed official who assesses real property in an assessing unit for tax purposes.
An assessing unit might instead have a Board of Assessors.

Board of Assessment Review (BAR)
A board of 3-5 persons in an assessing unit, appointed by the local government, that hears and
decides complaints filed by taxpayers seeking to lower their assessments.

Cost Approach
A property valuation technique generally used for special purpose and utility properties. It
determines a property’s value by adding the cost to replace structures on the land to the market
value of the land.

Exemption
By law, relief from the requirement to pay property taxes, for instance because the property
houses a religious institution.

Final Assessment Roll
The assessment roll that each assessing unit produces after BAR challenges have been
completed and changes made to the tentative assessment roll. It lists the “final” assessment for
each parcel of real property in the assessing unit, though taxpayers may appeal BAR
decisions.

Full Value
See “market value.”

Income Approach
A property valuation technique generally used for properties like apartment buildings, stores, or
factories. It determines a property’s value by estimating the amount of income it would produce
if rented.

Level of Assessment
See “uniform percentage of value.”

Market Approach
A property valuation technique generally used for residential, vacant, and farm properties. It
determines a property’s value by comparing it to recent sales of similar properties.

Market Value
The price for which a piece of property would sell in an “arms-length” transaction (where the
seller’s under no compulsion to sell, and the buyer’s under no compulsion to buy). Also known as “full value.”

Real Property
Primarily, real estate and any structures attached to it.

Residential Assessment Ratio (RAR)
The median ratio in a list of ratios of assessments to sales prices for an assessing unit. Assessors
may use the RAR to help measure assessment equity. For some assessment challenges, the
taxpayer may also choose to use the RAR to identify the level at which his property should be
assessed.

Revaluation or Reassessment
A systematic review of the assessments in an assessing unit.

Small Claims Assessment Review (SCAR)
A proceeding within the New York Supreme Court system that a taxpayer may pursue to appeal
BAR’s decision.

Special Assessing Unit
New York City or Nassau County.

State Board of Real Property Services
A 5-member board appointed by the Governor that oversees the administration of real property
assessments in New York. For instance, the Board works on the state equalization rate, helps
assessing units administer property assessments, and trains and certifies assessors.

State Equalization Rate
The percentage of full value at which properties in an assessing unit are assessed, as determined
by the State Board of Real Property Services. The state uses it to ensure that properties are
equitably taxed throughout the state. Sometimes, this will be the same as the assessing unit’s
uniform percentage of value, or level of assessment.

Tax Levy
For property taxes, the total amount of money that an assessing unit must raise from the property tax.

Tax Rate
The rate at which a property assessment is taxed. For instance, $50 for every $1,000 of assessed value. The assessing unit determines the tax rate by dividing the tax levy by the total taxable assessed values of all properties in the assessing unit. So, if the total assessment of properties decreases one year, but the assessing unit still needs to raise the same amount of money through property taxes, the assessing unit may raise the tax rate for that year.

Taxable Status Date
The date on which a property’s exemption status is determined. For most assessing units, it’s
March 1st of the year the final assessment roll is filed.

Tentative Assessment Roll
The tentative assessment roll is a list of information published every year by the assessor for
each local assessing unit. It contains information about each parcel of property, including the assessed value of each property assessed, the estimated full value of each property assessed, and the level of assessment used in the assessing unit.

Uniform Percentage of Value
The percentage of full value (market value) at which an assessing unit assesses real property. So,
once a property’s market value has been determined, the market value is multiplied by the
uniform percentage of value to arrive at the property’s actual assessment. To ensure that taxes
are fair, each property in the assessing unit must be assessed at the same rate. If the uniform
percentage of value is 100%, a property’s assessment will be the same as its market value. If the
uniform percentage of value is 50%, the property’s assessment will be half of its market value. Also called the “level of assessment.”

Valuation
Determining the value of a piece of property.

Valuation Date
The date at which real property is valued for tax purposes. For most assessing units, it’s July 1st
of the year before the assessment roll is filed. So, if the final assessment roll is filed on July 1,
2013, the assessments be based on valuations from July 1, 2012.

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Grievance Day Advocates

Michael DeRosa Advocate (c) (315) 406-7355

Mike Franklin Advocate (c) (315) 876-2262