**New Business Property Tax Credit is Available***
Buena Vista County Assessor would like to announce we are now taking applications for the new “Business Property Tax Credit”. Applications for the credit against the 2013 property tax assessments must be received in the Assessor’s Office not later than January 15, 2014. Applications received after January 15, 2014 will be applied to next year’s tax credit.
The Property Tax Reform Bill (SF 295) was passed by the Iowa Legislature last spring. If you own commercial or industrial real estate (apartment buildings are not included), and sign up in our office, you’ll be one of the people across Iowa to collect a part of a $50,000,000 pool of funds set aside to reduce business property taxes on tax bills that come out next September 2014. How much will it be worth to a property owner? Guesses vary widely because there are a lot of unknowns (like how many people will be applying). The pool of funds to be refunded to property owners doubles in the second year to $100,000,000 and goes to $125,000,000 in the third year. When all or a portion of a parcel or property unit is sold, transferred, or ownership otherwise changes, the buyer, or new owner who wishes to receive the credit shall re-file an application. The deadline in subsequent years will be on or before March 15th (postmarks will not qualify for timely filing per Iowa Department of Revenue).
There is even the possibility of receiving multiple credits if you own other adjoining parcels, but the qualifications to receive multiple credits are complex, and that’s why we’re requiring property owners to come in to sign so that we can make sure they receive the credit on as many parcels as possible. We’re also going to be asking if there are any apartments or living quarters in an otherwise business occupied building. This isn’t a part of the tax credit, but will help us identify parts of structures that are used for apartments/living quarters. Apartment buildings and any part of other business buildings that are used for apartments/living quarters will be moved to a new classification (Multi-Residential) for 1/1/2015 assessments. This brand new classification will receive reductions in the rollback over each of the next 10 years until it is taxed the same as a single family home.
Additional information regarding the 2013 Property Tax Reform can be found at the Iowa Department of Revenues website. http://www.iowa.gov/tax/locgov/locgov.html