Amid declining property values, a major question this year is: My property value went down; why didn’t my taxes? When levies or bond issues are passed by the voting public (for schools or agencies), the state tax commissioner sets the tax “rate” at a level which produces the amount promised by the levy. For many taxpayers, levies comprise up to 80 percent of the bill, meaning a reduction in value won’t mean a proportional decrease in taxes because the tax rate has been increased to cover any shortfall to the taxing authority. The only proportional tax relief from the reduced value of property is found in the “inside millage” portion, which is 15 to 20 percent of an entire tax bill, depending on location of property (taxing district).
A frequent question is: When will I receive my tax bill? The Butler County treasurer normally mails bills out in January and July of each year, with due dates at least 20 days later. Due to the recent decline in property values, the auditor voluntarily revalued properties in 2009. In addition, 2009 was an astounding year for contesting property values through the Board of Revision process. The mailing of tax bills is slightly delayed this year due to these unusual occurrences.
We expect tax bills to be in the mail by Feb. 11 and they are due March 3. Of course, most taxpayers do not mind the extra time to pay their bill, but schools and other taxing agencies awaiting their funds are anxious to receive them, so we work as quickly as possible. Yet, considering we’re mailing 160,000 bills with various complex taxing computations, it must also be a careful and deliberate process.
Another common question is: I cannot sell my property for the value it says on my tax bill. How do I contest my property value?
Since the county auditor is tasked with assessing property values, our office would instruct the caller to contact the Auditor’s Office at (513) 887-3154 or to visit the auditor’s Web site — www.butlercountyauditor.org — to fill out an application for a Board of Revision hearing. Applications can be filed with the auditor during a short window — Jan. 1 through March 31 — and a hearing will be scheduled for later in the year.
The Board of Revision is comprised of the auditor, treasurer and a county commissioner, or their representatives. During this hearing, you must present evidence as to why you believe your property is valued too high. While hearings are quick and informal, state law puts the burden of proof on the taxpayer. Appraisals, purchase price and sales comparisons of surrounding properties are good pieces of evidence for taxpayers to present to the board.
Some taxpayers inadvertently pay their tax bills late and find themselves with a penalty. Callers frequently ask: I always pay on time, but paid a day late. Can you remove the penalty?
Nearly all processes and procedures in the county Treasurer’s Office are prescribed by state law, and interest and penalties affixed to late tax payments are no exception. If your payment is less than 10 days late, there is a state-mandated late charge of 5 percent of your tax bill. A 10 percent late charge is attached to any payment over 10 days late. The law does allow some discretion to remit penalties in certain instances but, if there is late payment history in the preceding three years, chances of penalties being remitted are greatly diminished. To request an application, you can visit our Web site at www.butlercountytreasurer.org or call our office at (513) 887-3181.
Some taxpayers are not able to pay their tax bills when due, and in those cases we may set up a payment plan for past-due taxes. Taxpayers without a mortgage escrow may prefer not paying six months worth of payments all at once, and in those cases we will set up an escrow payment plan. For payment plans, simply call the Treasurer’s Office at (513) 887-3181.
Please remember — the Butler County Treasurer’s Office is open from 8 a.m. to 5 p.m. Monday through Friday. Our purpose and mission is to provide Butler County taxpayers with respectful and courteous service, to work with taxpayers on payment plans, and to answer taxpayer questions in a timely and thorough way.
Nancy Nix is the Butler County treasurer.