Understanding Omitted Assessments
Omitted assessments differ from regular property tax assessments in that they provide a mechanism for counties to recoup taxes on properties that were not included in the initial assessment cycle. Typically, property tax liability arises from assessments published by the county. If taxpayers disagree, they can appeal through various channels. However, if officials later discover that a property was omitted from the tax roll, they can issue an omitted assessment, leading to back taxes owed dating back to the property’s taxable status.
Common Scenarios Leading to Omitted Assessments
Several common situations contribute to omitted assessments. If a property transitions from being exempt—such as those owned by government entities, educational institutions, or religious organizations—to non-exempt owners or users, back taxes may apply. To prevent future liabilities, new owners should notify the appropriate assessing officials via certified mail, as failing to do so can deprive the taxpayer of a strong defense against a three-year back tax obligation.
Another scenario involves properties assessed as vacant land that later have structures built on them. If assessing officials do not receive notification of the building permit or fail to process it, a back tax could be levied. Finally, taking a homeowner’s exemption without qualifying can also result in omitted assessments.
Legal Defenses Against Omitted Assessments
Property owners facing omitted assessments have several defenses available. If they filed an appeal and provided the correct property characteristics, this documentation can serve as a defense. Additionally, proving that relevant permits were sent from the municipality to assessing officials can bolster a case. If a new owner properly notified the assessors of a property’s transition from exempt status, that notification also serves as a crucial defense.
Changes in Statutory Framework and Case Law
Recent changes to the omitted assessment statute significantly enhance protections for property owners. Previously, assessing officials could go back indefinitely to issue omitted assessments, creating uncertainty for property owners. Now, there is a three-year limit on how far back officials can assess. Additionally, requiring an opportunity to have the back tax reviewed by independent quasi-judicial agency is a notable change.
Initial Steps to Mitigate Omitted Assessments
Property owners should first understand the deadlines for filing appeals with assessing officials and the Board of Review. If appeals are not filed timely, further options may be lost. Engaging an experienced tax attorney who understands omitted assessment statutes is crucial. By being proactive and thorough in communications with assessing officials, property owners can better safeguard against unpaid taxes and omitted assessments.
Impact of Property Improvements on Assessments
New constructions can lead to omitted assessments if they are not picked up in a timely manner. If property owners are adding improvements, they should ensure they notify the relevant authorities to avoid any assessment discrepancies in the future.
The Importance of Documentation
Proper documentation is essential when disputing omitted assessments. Certified mailings confirming property ownership transitions or building permits are crucial. Property owners may need to rely on their closing attorney or use Freedom of Information Act requests to obtain necessary documents demonstrating the factual basis for their defense under the statute.
Proactive Measures for Property Owners
Property owners should routinely assess whether their property is accurately recorded on the tax roll. If discrepancies arise or if any part of a property is not being taxed appropriately, they should take steps to bring the property onto the tax roll instead of hoping the issue goes unnoticed.
Conclusion
Nora Devine emphasizes that being proactive and ensuring an accurate property record is essential for property owners. For more insights and guidance on Illinois property tax, visit https://thedevinelawgroup.com. Don’t forget to like, subscribe, and leave a review on your favorite platform.