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The Oregon Administrative Rules contain OARs filed through June 15, 2014
 
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DEPARTMENT OF REVENUE

 

DIVISION 311

COLLECTION OF PROPERTY TAXES

150-311.105(1)(b)

Applying Offsets to Ad Valorem Tax Levies

Offsets due to a district shall be deducted from the total of all ad valorem levies within each category certified by the district on the basis of the ratio that each category of levy bears to the total amount of all levies of the district.

Example: A county levies for general government, school operations (county school fund), and exempt debt service. This illustrates allocation of an offset of taxes paid under ORS 311.160 (1/4 of 1% offset).

Offset allocation formula: [Formula not included. See ED. NOTE.]

[ED. NOTE: Formulas referenced in this rule are available from the agency.]

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.105
Hist.: RD 8-1991, f. 12-30-91, cert. ef. 12-31-91

150-311.150

Form of Roll Changes and Notations

(1) The following procedures may be used to implement the alternate method for making roll notations and changes.

(2) Where the law speaks to corrections, additions, changes to or notations on the roll, whether made by written, electronic or other means, the county may enter these roll changes by using alpha-numeric identifiers that are supported by a voucher for each roll entry. The alpha-numeric identifier shall reference the supporting voucher.

(3) The voucher shall be numbered, dated, state what roll change is to be made, provide sufficient evidence indicating the propriety of or the law substantiating the roll change, and identify the tax account or accounts affected. The voucher shall be approved by the officer in charge of the roll or an authorized deputy.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.150
Hist.: RD 9-1984, f. 12-5-84, cert. ef. 12-31-84

150-311.160(2)

Interest Calculation for Large Value Appeals Under ORS 308.020

(1) For purposes of computing the amount due when a final order is entered in a 1/4 of 1 percent appeal (ORS 308.020(1)), or a 1/10 of 1 percent appeal ( 308.020(2)), the additional tax shall be considered a separate tax.

(a) The additional tax shall be considered to have become due on November 15 of the year in question and February 15 and May 15 of the following year, as normal trimester amounts would have become due.

(b) Interest shall begin to accrue on the additional tax as of the above due dates.

(c) There shall be no discount allowed on the additional tax.

(d) The total of the additional tax plus the interest thereon shall be billed to the taxpayer. The billing shall note that this is an additional tax to reflect an order under ORS 311.160.

(2) If the final order results in a value which is greater than the value asserted by the Department of Revenue, the additional value found by the court shall be considered to be a new assessment. Since neither the Department of Revenue nor the taxpayer had advance knowledge of this value or the resulting tax obligation, there was no opportunity for the taxpayer to pay the tax and stop interest from accruing.

(a) The roll shall be corrected under ORS 311.205(1)(c).

(b) Interest shall be computed per ORS 311.206.

(c) There shall be no discount allowed on the additional tax.

(d) The taxpayer shall be notified per ORS 311.205(3).

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.160
Hist.: RD 16-1987, f. 12-10-87, cert. ef. 12-31-87; RD 8-1991, f. 12-30-91, cert. ef. 12-31-91; RD 1-1995, f. 12-29-95, cert. ef. 12-31-95; RD 2-1997(Temp), f. & cert. ef. 9-15-97 thru 3-9-98; RD 9-1997, f. & cert. ef. 12-31-97

150-311.160(4)

Method for Applying Estimated Payment

Estimated tax payments by an owner of property who is appealing under the 1/4 of 1 percent provisions of ORS 308.020(1) or the 1//10 of 1 percent provisions of 308.020(2) and being collected under 311.160(3) shall be handled as follows:

(1) The estimated payment is deposited in a special account; interest earned on the amount in the special account (set up by the treasurer under ORS 311.160(3)) is credited to the special account.

(2) Upon settlement of the appeal, the adjudicated value is added to the roll and tax calculated.

(3) Interest is charged on this additional tax from the date the tax originally would have been due through date of estimated payment.

(4) The estimated payment including accrued interest is applied first to the first trimester and its accrued interest from the due date to the date of the estimated payment.

(5) Balance of the estimated payment account is applied to the second trimester amount due and accrued interest, then to the third installment.

(6) Should the estimated payment account including interest accrued on that amount not be enough to clear the new tax due, interest accrues on any trimester balance due according to statute.

(7) Should the estimated payment account including interest accrued be more than the amount of the additional tax, the excess plus the applicable accrued interest shall be refunded to the payor with no additional accrued interest that would otherwise be due under ORS 311.812.

(8) An estimated payment does stop further interest accrual on that portion of the additional tax covered by the payment.

Example: Major utility company says the value of its property in county X for tax year 1988-89 is $1 million and the Department of Revenue says it is $5 million. The $4 million value difference triggers the one-quarter of one percent statute. Tax on the $4 million is $100,000.

NOTE: Taxpayer pays the tax due on the undisputed value timely.

Taxpayer decides to make an estimated payment of $50,000 on November 10, 1989. The settlement is finalized in May, 1990; the total value is determined to be $4,000,000. Since the tax of $25,000 on the undisputed value of $1 million was paid timely, tax is computed on the value difference of $3 million and is determined to be $75,000.

The first installment of the additional tax, $25,000, would have been due November 15, 1988; the second installment, $25,000, February 15, 1989, and the third installment of $25,000, May 15, 1989.

The estimated payment of $50,000 plus interest earned then would be applied to the first installment of $25,000 plus accrued interest from November 15, 1988, to November 10, 1989, THE DATE THE ESTIMATED PAYMENT WAS MADE. The balance of the estimated payment would be applied to the second installment plus accrued interest. Any tax remaining on the second trimester tax due as well as the third trimester balance would accrue interest from the trimester due date to the date of payment.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.160
Hist.: RD 8-1991, f. 12-30-91, cert. ef. 12-31-91; RD 1-1995, f. 12-29-95, cert. ef. 12-31-95

150-311.205(1)(a)

What Is a Clerical Error

(1) Clerical errors are those procedural or recording errors which do not require the use of judgment or subjective decision making for their correction. A clerical error is an arithmetic or copying error or an omission on the roll or misstatement of property value that is apparent from assessor office records without speculation or conjecture, assumption or presumption, and that is correctable without the use of appraisal judgment or the necessity to view the property.

(2) Clerical errors are those which, had they been discovered by the assessor prior to the certification of the assessment and tax roll of the year of assessment, would have been corrected as a matter of course.

(3) An error is a clerical error or omission on the roll if all the facts necessary to correct the error or omission on the roll are contained in the records and could be readily determined by an impartial person examining these records.

(a) Records include, but are not limited to, field notes, the assessment roll, tax cards, deeds, vouchers and appraisal cards and jackets, which are regularly maintained by the assessor's office and used to determine value.

Example 1: "A" owns a parcel of land with a house on it. "A" divides the land and sells part to "B," but retains that part of the land with the house. The assessor places the value of the house on "B's" land. The value of the house was placed upon the wrong tax lot. It was not, in the words of 311.207 "from any cause been omitted, in whole or in part, from assessment and taxation on the current assessment and tax rolls &" It's on the roll but on the wrong account. Thus, the property was never actually omitted from the roll but clerically placed on the wrong parcel of land.

This comes within the definition of clerical error because it can be corrected solely from the records of the assessor as these records reflect the correct situation which, if discovered by the assessor before certification of the assessment and tax roll, would have been corrected as a matter or course and is correctable without the use of appraisal judgment or the necessity to view the property.

Example 2: A tract of land was zoned agricultural prior to April. Late in April of the same year, this property was rezoned to residential, appraised, and billed accordingly. In July of the same year, the Planning Commission again caused the property to be rezoned to agricultural. When it was reappraised in a later year, the appraiser overlooked the rezoning and appraised the tract on the basis of a residential zone, thus giving it a higher valuation.

Evidence shows that at the last appraisal the appraisal jacket of the taxpayer's property had the residential zone still on the outside but that there was a note inside of the appraisal jacket indicating the agricultural zoning. Had the appraiser looked inside of the jacket, the appraiser would have seen the latest rezoning note and would not have relied on the residential zone on the outside of the jacket.

This comes within the definition of clerical error because it can be corrected solely from the records of the assessor as these records reflect the correct situation which, if discovered before certification of the assessment and tax roll, would have been corrected as a matter of course. The correction can be made without the use of appraisal judgment or the necessity to view the property because the correct value (i.e., value based on an agricultural zone) appears in the records of the assessor.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.205
Hist.: RD 11-1990, f. 12-20-90, cert. ef. 12-31-90; RD 8-1991, f. 12-30-91, cert. ef. 12-31-91

150-311.205(1)(b)-(A)

Error Corrections and Valuation Judgment Under 311.205

(1) Except as provided in ORS 311.205(1)(b), and section (3) of this rule, the officer may not correct an error or omission on the roll of value of land; improvement; personal or other property; or of any part, parcel or portion of land, improvement, personal or other property, if the correction requires that the officer exercise judgment to determine the value, formulate an opinion as to value, or inquire into the state of mind of the appraiser. Mistakes of this nature may be:

(a) Thinking that a house has a basement when it does not;

(b) Making a mathematical error when computing the square footage, the acreage, or some other factor; or

(c) Errors made in calculating a real market value. For example, in appraising bare land, the appraiser may simply multiply the number of acres by the per acre value for that class of land. The appraiser may also then make adjustments to that result for size, shape, configuration, or other factors which affect the value of bare land. If the appraiser makes a mistake in any of these computations or assumptions of fact, these are mistakes that have entered into the appraiser's determination of judgment and are not subject to correction.

Example 1: Taxpayer owned some 33.07 acres of land. The assessor mistakenly carried the property on the roll as 37.63 acres. The assessor arrived at a value per acre for each classification and then multiplied the per acre value times the number of acres in the tract. Although the assessor used unit values in arriving at a total assessment, the assessor may also have made some adjustments in the final figure for special features or qualities peculiar to the property. The figures may be wrong but the assessor's judgment of the parcel's value may be right. Because it is the total assessment that is subject to question, and because more elements than simply the matter of acreage can be used to arrive at a total assessment, this is a case of value judgment and is not correctable.

Example 2: A taxpayer sold two acres of his 8.33 acre parcel. Upon notice of that sale, the assessor's office started the administrative process of setting up a new account and revising the value of the old account. The new account cards for the two-acre parcel were set up and the value put on the roll. However, in the administrative process, no change in the acreage and value was made on the old appraisal envelopes and cards for the remaining 6.33 acres. Consequently, the remaining 6.33 acres were placed upon the roll at the same values used prior to the sale. There are two errors to consider here. One is the fact that the assessor placed the original 8.33 acreage on the roll at the same value used prior to the sale.

This is an error in valuation judgment, not a clerical error. Although this may appear to be a mathematical error due to the failure of one of the clerks, it could just as well be the assessor mistaken in fact and judgment. The situation is similar to that of an assessor mistaken as to the number of acres or the number of square feet in a given property. The figures may be wrong but the assessor's judgment of the parcel’s value may be right. Simply "subtracting" the prorated value of the two-acre parcel from the value of the 8.33 acre parcel does not necessarily result in the real market value for the 6.33 acre parcel. The appraiser must also look to the highest and best use, lay of the land, and other considerations that would affect value. In these circumstances, the statutory scheme requires that the taxpayer be sufficiently cognizant of his property values to object and appeal if necessary. Since both the appraisal cards and the assessment roll were not changed, it must be presumed that the assessor intended those values to be used, subject to appeal. The second error is the failure of the assessor to reduce the acreage on the original parcel from 8.33 to 6.33 acres. This is a clerical error because the correct facts are evident from the assessor records and there is no speculation or conjecture as to value.

Example 3: A parcel of land has been carried on the roll for several years as five acres. The parcel sells and the buyer requires a survey. The surveyor arrives at a measurement of 4.72 acres. This is an error in valuation judgment and is not correctable under ORS 311.205(1)(a) as a clerical error or under 311.205(1)(c) as an error or omission on the roll of any kind. Because it is the total assessment that is subject to question, and because more elements than simply the matter of acreage can be used to arrive at a total assessment, this is a case of value judgment and is not correctable. The assessor may correct the acreage on the next assessment and tax roll and reappraise the parcel for value, if necessary.

(2) If it is unclear whether an error or an omission on the roll is a clerical error or an error in valuation judgment, the error or omission on the roll shall be considered an error or omission in valuation judgment. For example, an error in acreage or square footage in the appraiser field notes or a failure to value or list a component upon physical reappraisal may not be corrected because the error may not necessarily have resulted in an error of real market value as finally determined and carried to the assessment and tax roll.

(3) As provided in ORS 311.205(1)(b), the officer in charge of the roll may correct an error in valuation judgment when a timely appeal has been filed in the Magistrate Division or Regular Division of the Oregon Tax Court alleging that the value on the roll is incorrect, if the correction results in a reduction of the tax owed on the account. The officer may not correct an error in valuation judgment under 311.205(1)(b) in response to an untimely appeal or an appeal that is otherwise not within the jurisdiction of the tax court.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.205
Hist.: RD 11-1990, f. 12-20-90, cert. ef. 12-31-90; RD 8-1991, f. 12-30-91, cert. ef. 12-31-91; Renumbered from 150-311.205(1)(b), REV 6-2003, f. & cert. ef. 12-31-03; REV 7-2008, f. 8-29-08, cert. ef. 8-31-08

150-311.205(1)(b)-(B)

Roll Correction for Nonexistent Property

Property or improvements, which did not exist, but were included on the assessment roll at the time of the last appraisal shall be corrected, when discovered, under ORS 311.205(1)(b) and 311.206.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.205
Hist.: RD 9-1989, f. 12-18-89, cert. ef. 12-31-89; RD 11-1990, f. 12-20-90, cert. ef. 12-31-90, Renumbered from 150-311.205(1)(c); REV 6-2003, f. & cert. ef. 12-31-03, Renumbered from 150-311.205(1)(c)-(A)

150-311.205(1)(b)-(C)

What is an "Error or Omission on the Roll of Any Kind"

(1) The officer may correct an error or omission on the roll of any kind if the correction does not require the exercise of valuation judgment. "Valuation judgment" includes but is not limited to selection of appraisal methodology or the estimation of functional and economic obsolescence adjustments. Errors or omissions that may be corrected under this subsection include, but are not limited to:

(a) The elimination of an assessment to one taxpayer of property belonging to another on the assessment date.

Example 1: If a deed of a sale is never recorded, the assessor records would not reflect the new ownership. Because the records do not reflect the correct information, it is not correctable as a clerical error but is correctable as an error or omission on the roll of any kind.

(b) The assessment of property more than once for the same year or assessment of nonexistent property.

(c) The placement of property on the assessment and tax roll of the wrong county or assessment on behalf of the wrong jurisdiction.

Example 2: A utility company reported certain wire and pipe mileage as being in one code area when it was in fact located in another area.

(d) The elimination or partial elimination of an assessment of property that is entitled to exemption from taxation or special assessment or entitled to partial exemption from taxation.

(e) The elimination or partial elimination of an assessment of personal property resulting from an error made by the taxpayer on a personal property return if the personal property is entitled to exemption or is otherwise not taxable.

(f) The correction of a value changed on appeal.

(g) The application of an incorrect trending or indexing factor.

Example 3: The trending factor developed for the property class in the area is 115. Through a transposition, a factor of 151 is incorrectly applied. This is a correctable error.

(h) The use of the wrong property classification.

Example 4: The property is an improved single family residential property that is classified 1-0-1. The property was incorrectly classed as a 2-0-1 and therefore received the wrong trend factor. Both the property classification and the trend factor may be corrected.

Example 5: The assessor has assessed farm property at market value on the belief that the zoning was not Exclusive Farm Use. Later the assessor discovers the land was in an Exclusive Farm Use Zone and should have been assessed at its farm use value. Because the records of the assessor failed to reflect the proper status of the property , this is not correctable as a clerical error. Because a correction can be made without the use of appraisal judgment, this is not a case of valuation judgment under ORS 311.205(1)(b) and is correctable as an error or omission on the roll of another kind.

(i) The correction of an error or omission in the computation or application of the tax rate.

Example 6: A tax rate error is correctable. A water district shares boundaries with a city. The city annexes property from the water district. The boundary change information was not filed timely with the assessor and the Department of Revenue and should not have been considered in the calculation of the taxes. The county should make the correction to the tax calculation and refund or assess the properties in the districts as appropriate so they have been assessed the correct amount of tax

(j) The correction of an error or omission on the roll that arises from inaccurate reporting of assets, or of facts about assets by a taxpayer on a return filed under ORS 308.290.

Example 7: A taxpayer reports a machinery asset on both its real and personal property accounts. The cost is double-reported for valuation purposes.

Example 8: A taxpayer reports assets transferred to the site at their net book value rather than original cost. The cost is inaccurately reported for valuation purposes.

This error or omission may be corrected only if the incorrect calculation of value was a result of a simple mathematical extension and does not require a new valuation judgment.

(A) The error or omission may be corrected if the taxpayer subsequently provides accurate asset information, and if no additional or different valuation judgment is required to make the correction.

(B) When a correction of inaccurate reporting of assets or of facts about assets by a taxpayer results in a reduction of tax and a refund under ORS 311.806, no interest is paid under 311.812.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.205
Hist.: RD 11-1990, f. 12-20-90, cert. ef. 12-31-90; RD 6-1994, f. 12-15-94, cert. ef. 12-30-94; Renumbered from 150.311.205(1)(c)-(B) by REV 6-2003, f. & cert. ef. 12-31-03

150-311.205(3)

Corrections to County Assessment and Tax Rolls Made Under ORS 311.206

When a county makes a change to the roll under ORS 311.205(1)(c) in response to direction from the Department of Revenue the change must be considered as being done by order of the department for purposes of 311.206. No additional notices to the taxpayer are required.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.205
Hist.: REV 8-2000, f. & cert. ef. 8-3-00

150-311.206-(A)

Taxes Added to the Tax Roll as a Result of Error Correction; Including a Special Rule for Computing Interest

(1) When taxes other than levies under ORS 310.065 are added to the tax roll under 311.205 or the taxes already on the tax roll are increased under 311.205, the amount due for each installment shall be computed as follows:

(a) For tax years prior to 1991, the added or increased taxes shall be combined with the tax originally extended on the roll for the year(s) in question.

(b) For tax years 1991-92 and later, the limitation(s) imposed by section 11b, Article XI of the Oregon Constitution must be determined for the year(s) to which the tax will be added.

(A) If there is no change in value and the amount originally billed equals or exceeds the calculated limitation, new billing is not required.

(B) If the value is increased and the amount originally billed is less than the new calculated limitation, a new billing is required reflecting the correction.

(C) The additional taxes due shall be calculated based on the total taxes as corrected for the year being corrected and shall be the net amount due after the limitation is imposed.

(c) All payments received apply to the combined tax.

(2) For the purpose of determining the extent each installment has been paid, the additional or increased tax shall be added to the tax, if any, already extended to the same account.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.206
Hist.: 12-19-75; 12-31-77; RD 9-1983, f. 12-20-83, cert. ef. 12-31-83; RD 8-1991, f. 12-30-91, cert. ef. 12-31-91 REV 11-2000, f. 12-29-00, cert. ef. 12-31-00, Renumbered from 150-311.206

150-311.206-(B)

Definition of "Distribute in the Same Manner as Other ad Valorem Property Taxes Imposed on the Property" for Error Corrections

"Distributed in the same manner as other ad valorem property taxes imposed on the property" means to be deposited into the unsegregated tax collections account under ORS 311.385 for the year of billing. The amount of additional ad valorem taxes or penalties attributable to each district must be determined based on the percentage that the total ad valorem property billing tax rate of the district bears to the total billing tax rates for the code area in the year in which the additional taxes are billed. Any non ad valorem taxes, including penalties, must be attributed to the district for which the tax was imposed. In preparing the percentage distribution schedule under 311.390 the tax collector must include any additional taxes resulting from an error correction under 311.205 in the calculation.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.206
Hist.: REV 11-2000, f. 12-29-00, cert. ef. 12-31-00

150-311.216

Property Subject to Assessment as Omitted Property

(1) Omitted property includes any real or personal property, or part thereof, that has been omitted from the certified assessment and tax roll for any reason. Omitted property may include, but is not limited to, a separate freestanding structure or improvement, an addition that increases the square footage of a structure or improvement, a remodel which increases a structure's real market value, or real or personal property machinery and equipment.

(2) Property may be added to the roll under ORS 311.216 if:

(a) Omitted due to the assessor's lack of knowledge of its existence,

(b) Improvements are added to or made a part of a property after that property has been physically appraised, and are later discovered by the assessor,

(c) Improvements have been included in error on another account,

(d) Omitted from a return filed pursuant to ORS 308.290, including understatement of costs for new property or improvements to property, or

(e) Omitted for any other reason.

(3) Improvements which are in existence and are an integral part of property which is physically appraised may not later be revalued and added as omitted property under ORS 311.216. Undervaluation of a property due to the assessor’s failure to consider a portion of the property is not omitted property correctable under 311.216.

(4) When omitted property is discovered and its contribution to an account’s value is added under ORS 311.216, the value of the previously existing portion of the account cannot be adjusted.

Example 1: Two years after a reappraisal, a homesite is developed, and a new single family residence is constructed. The new construction and the site development are discovered on the next physical appraisal. The assessor adds the value of the single family residence and the site development as omitted property under ORS 311.216.

Example 2: “A” owns a parcel of land with a cabin on it. “A” divides the parcel and sells part to “B”, but retains the part with the cabin. The assessor incorrectly places the value of the cabin on “B’s” account. When the error is discovered, “B’s” value can be corrected under ORS 311.205, and “A’s” account must be corrected under ORS 311.216 as omitted property.

Example 3: During a physical appraisal the assessor adds no value contribution for a reinforced concrete floor, and a manger with steel stanchions in a loft barn. The assessor later realizes that the loft barn is undervalued. The reinforced concrete floor and manger with steel stanchions may not be added as omitted property under ORS 311.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.216
Hist.: RD 6-1986, f. & cert. ef. 12-31-86; RD 8-1991, f. 12-30-91, cert. ef. 12-31-91; RD 6-1994, f. 12-15-94, cert. ef. 12-30-94; REV 8-1998, f. 11-13-98, cert. ef. 12-31-98, Renumbered from 150-311.207; REV 4-2011, f. 12-30-11, cert. ef. 1-1-12

150-311.223(4)

Date Roll Corrected

For purposes of ORS 311.223(4) and 311.229 the "roll is corrected" on the date the assessor sends the notice to the taxpayer's last known address by first class mail as required in 311.223(2).

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.223
Hist.: REV 3-2001, f. 7-31-01, cert. ef. 8-1-01; REV 9-2013, f. 12-26-13, cert. ef. 1-1-14

150-311.229

Definitions

(1) "Distributed in the same manner as other ad valorem property taxes imposed on the property" means to be deposited into the unsegregated tax collections account under ORS 311.385 for the year of billing. The amount of additional ad valorem taxes or penalties attributable to each district must be determined based on the percentage that the total ad valorem property billing tax rate of the district bears to the total billing tax rates for the code area in the year in which the additional taxes are billed. Any non ad valorem taxes, including penalties, must be attributed to the district for which the tax was imposed. In preparing the percentage distribution schedule under 311.390 the tax collector must include any additional taxes resulting from adding omitted property in the calculation.

(2) "Prior to completion of the next general property tax roll" for the purposes of accepting prepayments pursuant to ORS 311.370 means prior to the date on which the roll is next delivered by the assessor to the tax collector as provided in 311.115.

Stat. Auth: ORS 305.100
Stats. Implemented: ORS 311.229
Hist.: REV 11-2000, f. 12-29-00, cert. ef. 12-31-00; REV 2-2002, f. 6-26-02, cert. ef. 6-30-02

150-311.234

Procedure to Correct MAV When Square Footage Error Exists

(1) For Purposes of OAR 150-311.234, "Current RMV", as used in subsection (4)(b), is defined as the RMV for the tax year of the petition. For example, a petition submitted in August 2002 will use the roll values for the 2002-2003 tax year to calculate the adjustment.

(2) The assessor may correct the maximum assessed value of the property as provided under ORS 311.234(2). To correct the maximum assessed value (MAV) of a property for an error in square footage, the assessor must receive a petition from either the current owner of the property or other person obligated to pay taxes imposed on the property. The petition must be filed with the county assessor on or before December 31 of the current tax year on a form prescribed by the department.

(3) The correction to MAV by the assessor must be in proportion to the error in square footage.

(4) The proportion of error and resulting MAV are calculated as follows by the assessor:

(a) For properties described by a single component (for example, land only), use the following procedure to adjust MAV.

NOTE: An example is incorporated into the steps with the following assumptions:

The assessor's records show that a parcel has 435,600 sq. ft. (10 acres), when, in fact, it only has 392,040 sq. ft. (9 acres).

The existing MAV is $50,000.

Step 1: Divide the correct square footage by the square footage as currently shown in the assessment records to determine the proportional square footage error.

Example: 392,040 sq. ft. / 435,600 sq. ft. = 0.90.

Step 2: Multiply the proportional square footage error (Step 1) by the existing MAV for the property to determine the corrected MAV for the property.

Example: 0.90 X $50,000 = $45,000, which is the corrected MAV for the property.

(b) For properties described by multiple components (for example, land and buildings, or more than one building or structure, or buildings and machinery), use the following procedure to adjust MAV.

NOTE: An example is incorporated into the steps with the following assumptions:

A property consists of a 3-acre land parcel and two buildings.

Building 1 was incorrectly valued as having 2,000 square feet, when in fact it has only 1,500 square feet.

Current Real Market Value (RMV) of the building with the error is $80,000.

The square footage on the land and other building is correct.

The property's total RMV is $400,000.

The property's total MAV is $300,000.

Step 1: Determine which component has the square footage error.

Example: Building 1 is the component with the error in square footage.

Step 2: Determine the portion of the property's total RMV that is contributed by the component with the square footage error.

Example: Building 1 RMV is given as $80,000.

Step 3: Calculate the ratio of the RMV of the component with the error to the RMV of the entire property.

Example: Building 1 RMV ($80,000) divided by Total RMV ($400,000) = 0.20.

Step 4: Multiply the property's total MAV by the ratio obtained from Step 3 to determine the MAV attributable to the component with the error in square footage.

Example: $300,000 x .20 = $60,000.

Step 5: Subtract the MAV attributable to the component with the error in square footage (Step 4) from the property's total MAV to determine the base MAV.

Example: $300,000 - $60,000 = $240,000.

Step 6: Divide the correct square footage of the component by the square footage of the component as currently shown in the assessment records to determine the proportional square footage error ratio.

Example: 1,500 sq. ft. / 2,000 sq. ft. = 0.75.

Step 7: Multiply the proportional square footage error ratio (Step 6) by the MAV attributable to the component with the square footage error (Step 4) to determine the corrected MAV attributable to the component.

Example: 0.75 x $60,000 = $45,000, which is the corrected MAV attributable to the component.

Step 8: Add the corrected MAV attributable to the component (Step 7) to the base MAV (Step 5) to determine the corrected MAV for the entire property.

Example: $45,000 + $240,000 = $285,000, which is the corrected MAV for the property.

(5) For a building that is valued by summing the individual value contributions from distinct portions of that building, the particular building portion affected by the square footage error may be considered as a separate component such as in (4)(b) above when making the correction to MAV. Examples of this type of building include but are not limited to a warehouse with attached offices or a house with an attached garage.

(6) Notwithstanding that a property's MAV has been corrected due to a square footage error, the corrected MAV remains subject to adjustments required by ORS 308.146 to 308.166.

(7) Roll corrections pursuant to ORS 311.234 are to be made using the procedures in 311.205.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.234
Hist.: REV 2-2002, f. 6-26-02, cert. ef. 6-30-02

150-311.250

Contents of Property Tax Statements

The tax statement shall contain:

(1) The name of the county;

(2) The fiscal year being billed;

(3) The property type;

(4) The account number;

(5) For real property, an identifier which meets one of the requirements of ORS 308.240(1);

(6) For real property:

(a) The real market value of land, the real market value of improvements, and the total real market value of the account for the prior year and for the current year; or

(b) If the property is subject to special assessment, the specially assessed value of the account for the prior year and for the current year.

(7) For real property the total assessed value of the account for the prior year and for the current year;

(8) For personal property, the total real market value and the total assessed value for the current year;

(9) If the property is subject to additional taxes or a penalty upon disqualification from special assessment or exemption, notice to that effect;

(10) The amount of delinquent taxes including interest to the due date of the tax statement;

(11) The name of each entity and the total amount of taxes expressed in dollars and cents imposed on the property by the entity for general governmental purposes, for education purposes and for purposes not subject to the limits of section 11b, Article XI of the Oregon Constitution;

(12) The amount of late filing penalties;

(13) The total amount of current taxes and other charges due on the described property by category;

(14) The net amount of taxes for full payment, two thirds payment or one third payment by the due date;

(15) The place where payments of taxes are to be made;

(16) A warning that foreclosure proceedings will be commenced against real property accounts with an unpaid balance for specified tax years; and

(17) A notice that value may be appealed.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.250
Hist.: REV 8-1998, f. 11-13-98, cert. ef. 12-31-98

150-311.250(4)

Prepayment of Property Taxes

Unless authorized by law, no prepayments of property taxes which have not been certified by a taxing district, shall be collected or accepted.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.250
Hist.: RD 9-1989, f. 12-18-89, cert. ef. 12-31-89; REV 8-1998, f. 11-13-98, cert. ef. 12-31-98, Renumbered from 150-311.250(5)

150-311.356(3)(c)

Written Direction Required for Payment Application from Agents Who Pay Taxes on Behalf of Taxpayer

An agent who pays taxes on behalf of any taxpayer may provide written instructions with any payment as to how the payment is to be applied. An agent includes but is not limited to a mortgagee, beneficiary under a deed of trust, or vendor under a land sale contract. If no written directions accompany the payment the tax collector shall apply the payment as specified in ORS 311.356.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.356
Hist.: RD 11-1990, f. 12-20-90, cert. ef. 12-31-90

150-311.395(1)(d)

Monthly Tax Distributions to Districts

(1) The tax collector shall make a monthly statement of property tax moneys collected during those periods requiring quarterly statements if:

(a) The unsegregated tax collections account balance is more than $10,000 for any tax year; or

(b) A taxing district requests monthly distributions of taxes.

(2) Distribution shall be made to all governmental units by preparing the statement described in subsection (1) of this rule. The appropriate percentage distribution schedule shall be used for each tax year for which tax moneys are being distributed.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.395
Hist.: RD 8-1992, f. 12-29-92, cert. ef. 12-31-92

150-311.507(1)(d)

Discount on Taxes as a Result of Addition of Current Year Value under ORS 311.208

(1) When value is added to the roll under ORS 311.208 any additional taxes due are eligible for the discount allowed under 311.507 if paid on or before the 15th of the month next following the month billed.

(2) Discount must be allowed on the payment of taxes resulting from additional value added to the current assessment and tax roll if the payment is sufficient to pay all outstanding taxes on the account plus the tax resulting from the additional value.

(a) A 3 percent discount is allowed on the entire additional property tax amount if it is paid on or before the 15th of the month following the month of the correction.

(b) A 2 percent discount is allowed on two-thirds of the additional property tax amount if it is paid on or before the 15th of the month following the month of the correction. The remaining one-third amount is due on or before the May trimester due date; otherwise interest will accrue on the balance due as specified in ORS 311.208.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.507
Hist.: RD 6-1994, f. 12-15-94, cert. ef. 12-30-94; Renumbered from 150-311.507, REV 7-2005, f. 12-30-05, cert. ef. 1-1-06

150-311.508(1)

Twenty Five Percent of One-Fourth of One Percent Payments

When the tax collector receives payment of any amount collected due to a final order on an appeal described in ORS 308.020, 25 percent of the interest charged and collected for periods beginning on or after July 1, 1989 shall be deposited and credited to the County Assessment and Taxation Fund created under Section 7, Chapter 796, Oregon Laws 1989. The remaining balance of the payment shall be deposited as described in OAR 150-311.160.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.508
Hist.: RD 11-1990, f. 12-20-90, cert. ef. 12-31-90

150-311.520

Date Property Becomes Exempt when Foreclosed by City for Delinquent Assessment Liens

For purposes of determining the tax exemption of the property under ORS 307.090 and the exemption of interest and penalty under 311.520, a city acquires title to the property immediately following the sale of the property to the city as a result of foreclosure for delinquent assessment liens.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.520
Hist.: RD 5-1989, f. 12-18-89, cert. ef. 12-31-89

150-311.520-(A)

Interest on City Foreclosed Property

(1) When a city sells real property for which there are unpaid principal amounts of taxes owing under ORS 311.520(1), interest begins to accrue on the principal amount beginning on the 16th of the month following the sale. Interest would accrue as provided in 311.505(2). For example:

(a) City sells property with 1990 taxes owing on the property on July 1, 1993. Interest would begin on those taxes on July 16, 1993.

(b) City sells property with 1990 taxes owing on the property on July 17, 1993. Interest would begin on those taxes on August 16, 1993.

(2) When a city sells real property for which there are unpaid principal amounts of taxes owing under ORS 311.520(1), the property may be included in the first foreclosure list prepared after the transfer of the property to the taxable owner if three or more years have elapsed from the original date of delinquency of the taxes.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.520
Hist.:

150-311.525

"Certificate of Delinquency" Defined

"Certificate of Delinquency" means certificates sold for the amount of delinquent property taxes, penalties and accrued interest. Counties no longer issue certificates of delinquency. The notice of delinquent taxes served by the tax collector under ORS 311.545 is not a certificate of delinquency.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.525
Hist.: RD 10-1985, f. 12-26-85, cert. ef. 12-31-85

150-311.525-(A)

Interest on State of Oregon Foreclosed Property

(1) When the State of Oregon sells real property for which there are unpaid principal amounts of taxes owing under ORS 311.525, interest begins to accrue on the principal amount beginning on the 16th of the month following the sale. For example:

(a) The State of Oregon sells property with 1990 taxes owing on the property on July 1, 1993. Interest would begin on those taxes on July 16, 1993.

(b) The State of Oregon sells property with 1990 taxes owing on the property on July 17, 1993. Interest would begin on those taxes on August 16, 1993.

(2) When the State of Oregon sells real property for which there are unpaid principal amounts of taxes owing under ORS 311.525, the property may be included in the first foreclosure list prepared after the transfer of the property to the taxable owner if three or more years have elapsed from the original date of delinquency of the taxes.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.525
Hist.:

150-311.633

Fee for Service of Warrant Under ORS 311.605 to ORS 311.635

The fee for service of a warrant is not property tax money. When money is collected for service of a warrant it shall be deposited to the County General Fund.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.633
Hist.: RD 16-1987, f. 12-10-87, cert. ef. 12-31-87

150-311.635

Charges on the Personal Property Warrant

Interest shall not be charged on nor added to the fee for service of a warrant allowed under ORS 311.633.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.635
Hist.: RD 9-1989, f. 12-18-89, cert. ef. 12-31-89

150-311.670(1)

Homestead Requirements

(1) For property to qualify for tax deferral under ORS 311.666 to 311.701, the property must be the homestead of the applicant while the property taxes are being deferred. This means all individual or joint applicants must live on the property.

(2) The only exception to section (1) is for situations in which the applicant is required to live away from the homestead by reason of the applicant’s health. “By reason of health” means that the applicant needs to be away from the property in order to facilitate or obtain medical care or to provide the applicant’s basic life needs. Basic life needs include but are not limited to preparation of meals, personal hygiene, or daily care of oneself.

(3) If the applicant in the deferral program is not living at the homestead for reasons of health, the applicant must provide a letter from a medical provider stating the applicant is unable to provide medical care or basic life needs for himself or herself.

(4) Neither the applicant nor the medical provider is required to give a specific date by which the applicant will return to the homestead.

(5) If the applicant is absent from the homestead by reason of the health of the applicant, the Oregon Department of Revenue will continue paying the property taxes as long as the property remains otherwise eligible or until one of the events under ORS 311.684 occurs.

Example 1: Jack and Jane are co-applicants and have been participants in the Senior Deferral program for five years. During a snowstorm in February, Jack fell and broke a hip. Jack has been sent to a nursing home for physical therapy and rehabilitation. Jane notified the department of the situation through a letter from Jack’s doctor. Because Jack and Jane both meet the homestead requirement, the Oregon Department of Revenue will continue to pay the property taxes to the county through the deferral program.

Example 2: Same basic scenario as in Example 1. Jane, Jack’s co-applicant, moves closer to the nursing home so she doesn’t have so far to travel to visit him. All applicants must either live on the property or meet “by reason of health” requirements. Because Jane does not meet the “by reason of health” exception and does not live on the property, the property will not qualify for the deferral program. Both co-applicants must meet the homestead requirements.

(6) An applicant who is away from the homestead by reason of health may rent or lease part of the homestead to another individual. This activity will not affect the payment of the property taxes by the department unless it causes the household income to exceed the maximum income allowed for the year in question.

[Publications: Publications referenced are available from the agency.]

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.670
Hist.: REV 17-2008, f. 12-26-08, cert. ef. 1-1-09; REV 8-2012, f. 12-18-12, cert. ef. 1-1-13; REV 1-2013, f. & cert. ef. 3-28-13

150-311.672(1)(a)

Data Requirements for Property Description on Tax Deferral Application

(1) The county assessor’s office must complete the property description portion of the deferral application to include:

(a) The document or instrument number;

(b) Year recorded;

(c) Book and page number, if applicable;

(d) Assessor’s account number;

(e) Code area and

(f) A description of the property as follows:

(A) For a property that is platted, the lot and block number and the addition name if the property is in a recorded subdivision;

(B) For a property that is unplatted a description that includes township, range, section and acres;

(C) For a manufactured structure, the model year, make, and home number assigned by the Building Codes Division of the Department of Consumer and Business Services.

(2) The county assessor must send the department a copy of the recorded deed if requested by the department.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.672
Hist.: f. 10-14-92, ef. 12-31-92; REV 2-2002, f. 6-26-02, cert. ef. 6-30-02; REV 6-2003, f. & cert. ef. 12-31-03; REV 9-2006, f. 12-27-06, cert. ef. 1-1-07

150-311.676

Deferred Taxes Paid by the Department

(1) When the department makes a deferral account payment to the county, the department will pay 97% of the amount of the tax assessed, and the county must credit that amount as full payment of such taxes, regardless of whether the department's payment is before, on or after the payment deadline.

(2) The county may not charge the department interest on any deferral account payment.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.676
Hist.: RD 10-1985, f. 12-26-85, cert. ef. 12-31-85; REV 2-2002, f. 6-26-02, cert. ef. 6-30-02; REV 1-2003, f. & cert. ef. 7-31-03; REV 12-2007, f. 12-28-07, cert. ef. 1-1-08

150-311.679-(A)

Senior Citizen's Deferred Tax Lien Estimate

(1) For all Senior Citizen Deferral accounts established under ORS 311.666 through 311.696, the department must record a lien estimate in the mortgage records of the appropriate county. The lien estimate is made from the following:

(a) Future deferred taxes based on the taxpayer-applicant's life expectancy, as determined by actuarial tables, with an inflation factor added for the tax amount,

(b) Interest to be charged, and

(c) Fees paid for lien recording, release, or satisfaction.

(2) The amount owing on an account, at any one time, equals the actual deferred tax, interest on the account, and any lien recording, release or satisfaction fees.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.679
Hist.: 12-31-92; REV 2-2002, f. 6-26-02, cert. ef. 6-30-02, Renumbered from 150-311.679

150-311.684

Timing and Repayment of Disqualified, Cancelled or Inactivated Accounts Under the Property Tax Deferral Program

(1) The Department of Revenue will pay property taxes to the county on behalf of each applicant that has been approved for the property tax deferral programs under ORS 311.666 to 311.701. Once the application is approved, the department will pay the taxes each year for as long as the property and applicant remain eligible. A lien will be placed on the property. The department account will include the deferred taxes, lien fees, and interest on the deferred taxes..

(2) "Disqualification" means an account is no longer subject to deferral and the department will no longer pay taxes on behalf of the applicant. The department will send notice of disqualification to the applicant which includes a statement that repayment is required by August 15 of the year following the calendar year in which any one of the following events occurs:

(a) The applicant(s) dies;

(b) The property is sold or transferred and a person other than the applicant(s) has become the owner of the property;

(c) The property is no longer the homestead of the taxpayer, except in the case the applicant(s) is required to be absent from the home due to medical reasons; or

(d) The property is a manufactured structure or floating home that is moved out of the state.

(3) "Cancellation" means that an account has been removed from the deferral program at the written request of the applicant, and not for reason of any of the events listed in subsection (2) of this rule.

(a) If an account is cancelled prior to September 1, the department will not pay the current year taxes to the county on behalf of the applicant.

(b) The department will pay the current year taxes to the county on behalf of the applicant if an account is cancelled on or after September 1.

(c) A cancelled account may be paid in full at any time after cancellation but no later than as required by ORS 311.686.

(4) “Inactivated” means the department has determined that the applicant or property has become ineligible for deferral of future property taxes due to failure to meet eligibility requirements. If an account is inactivated, the department will send the applicant a notice of inactivation and not pay current or future year taxes to the county on behalf of the applicant. (4) The department will release its lien on the property only after all taxes, interest and fees that were deferred have been paid.

(a) Repayment of a disqualified account is due and payable to the department August 15 of the year following the calendar year in which a disqualifying circumstance occurred.

(b) By itself, cancellation or inactivation of an account is not an event requiring repayment of all deferred taxes, interest and fees.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.666 & 311.684
Hist.: TC 10-1978, f. 12-5-78, cert. ef. 12-31-78; TC 2-1979, f. & cert. ef. 3-5-79; REV 1-2003, f. & cert. ef. 7-31-03; REV 12-2007, f. 12-28-07, cert. ef. 1-1-08; REV 8-2012, f. 12-18-12, cert. ef. 1-1-13; REV 1-2013, f. & cert. ef. 3-28-13

150-311.686(2)

Payment Accountability Following Either Disqualification or Cancellation from Deferred Status

(1) Payment of deferred taxes, interest, and lien recording and release fees.

(a) When a disqualifying event as described in ORS 311.684 occurs, the taxpayer must pay all deferred taxes, interest, and lien recording and release fees due to the department by August 15 of the following calendar year.

(b) The department must receive all deferred taxes, interest, and lien recording and release fees before it releases the lien.

(2) Payment of property taxes.

(a) If the account is cancelled on or before September 1, the taxpayer must pay the county the current year property taxes due on November 15.

(b) If the account is cancelled after September 1 and on or before November 15, the department will pay the current year property taxes to the county on November 15.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.686
Hist.: TC 10-1978, f. 12-5-78, cert. ef. 12-31-78; REV 2-2002, f. 6-26-02, cert. ef. 6-30-02; REV 1-2003, f. & cert. ef. 7-31-03

150-311.688

Election by Spouse to Continue Tax Deferral

(1) “Surviving spouse” means:

(a) A man or woman who is legally married to an applicant at the time of the applicant’s death; or

(b) A man or woman who is joined in a registered domestic partnership with an applicant at the time of the applicant’s death. “Registered domestic partnership” has the meaning given that term in ORS 106.310(1).

(2) When any one of the circumstances listed in ORS 311.684(1) to (3) occurs, a surviving spouse may continue the property in deferred tax status as active or inactive.

(a) When an account continues as active, the department continues to pay the yearly property taxes to the county. The account balance continues in deferral, and interest continues to accrue on all taxes paid.

(b) When an account continues in an inactive status, the department does not continue to pay property taxes to the county. The deferral account balance of past-deferred taxes, accrued interest, and recording fees remains deferred and interest continues to accrue on the past-deferred taxes.

(3) If a surviving spouse did not apply jointly with the taxpayer for the original Senior or Disabled deferral or was not eligible for deferral, the spouse must file a new deferral application in order to continue the account as active or inactive.

(a) For the deferral account to remain active, in addition to the filing of a new deferral application all the following is required:

(A) The spouse is at least 59-1/2 years of age or is disabled as defined in ORS 311.666(5) the day a circumstance in 311.684(1) to (3) occurs,

(B) The property is the homestead of the surviving spouse,

(C) The total household income continues to be less than the allowable yearly limitation, and

(D) The property ownership meets the requirement in ORS 311.670(1).

(b) When a surviving spouse meets all of the requirements of section (3)(a) of this rule except the age requirement of 59-1/2, or a disability as defined in ORS 311.666(5), the surviving spouse may only continue the deferral account in an inactive status. The surviving spouse is responsible to pay all future property taxes to the county. The surviving spouse may file a new application to change the deferral account status from inactive to active when the surviving spouse turns 62 years of age before April 15 of any year, or if the surviving spouse becomes disabled and begins to receive or becomes eligible to receive federal Social Security disability benefits..

(4) In the case of a divorce or termination of a registered domestic partnership, if the circumstances in ORS 311.684(3) occur before the divorce, then the surviving spouse remaining in the homestead may file an application to continue the deferral. The requirements of section (2) of this rule determine if the account remains active or becomes inactive.

(5) All applications to continue deferral must be filed in the time and manner as provided in ORS 311.668. The department may determine that good and sufficient cause exists to accept a late filed application. The application may be filed within 180 days after the department mails or delivers to the applicant the deferred tax due and payable notice.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.688
Hist: REV 12-2004, f. 12-29-04, cert. ef. 12-31-04; REV 11-2009, f. 12-21-09, cert. ef. 1-1-10

150-311.690(4)

Voluntary Payments on Property Tax Deferral Accounts

(1) When the department receives voluntary payments, it will apply the payments in the following order:

(a) Against all accrued interest first;

(b) Then to the deferral tax balance until fully paid; and

(c) Lastly to the lien recording and release fees.

(2) Subject to ORS 311.684 and 311.686(2), when the department receives full payment on the account and a written statement from the taxpayer asking for removal of the property from the deferral, the department will release the lien against the property. When the department receives full payment on a disqualified account, the department will release the lien against the property.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.690 \
Hist.: 10-14-92, REV 2-2002, f. 6-26-02, cert. ef. 6-30-02; REV 6-2003, f. & cert. ef. 12-31-03; REV 12-2004, f. 12-29-04, cert. ef. 12-31-04

150-311.691

Taxes Unpaid Before Approval of Senior Deferral Application

(1) For the purposes of this rule, “registered domestic partnership” has the meaning given that term in section 3, chapter 99, Oregon Laws 2007, as amended by section 1, Oregon Laws 2009, chapter 561, and the partnership must meet the provisions of section 1 to 9 of the same 2007 Act, as amended.

(2) Delay of foreclosure is only available for real property. It is not available on personal property.

(3) When an application for property tax deferral has been submitted and approved by the department, the taxpayer is notified of that approval. If taxes on the property subject to deferral remain unpaid on the date of approval, the applicant may apply for a delay of foreclosure by completing the appropriate application for all years in which unpaid taxes exist.

(a) Total household income, both taxable and nontaxable (ORS 310.630), must be less than the allowed amount for new applications for the calendar year prior to the original deferral application.

(b) Applications can be accepted for delay of foreclosure only for delinquent taxes accumulated prior to the original deferral application approval. Delay of foreclosure is not available for tax years coming due after the original application was filed.

(4) Interest will continue to accrue at the current county interest rate on the remaining unpaid delinquent taxes.

(5) When the property is disqualified for deferral, the deferred tax plus interest and the delinquent tax become due by August 15 of the year following the year disqualified.

Example: The taxpayer had received a delay of foreclosure when applying for the Senior Citizen Deferral program. The account was disqualified on July 15, 2008. The taxpayer has until August 15, 2009 to pay the county the amount due as a result of the delay of foreclosure.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.691
Hist.: RD 1-1995, f. 12-29-95, cert. ef. 12-31-95; REV 8-2000, f. & cert. ef. 8-3-00; REV 11-2009, f. 12-21-09, cert. ef. 1-1-10

150-311.708

Data Requirements for Property Description on Special Assessments Application

(1) The bonding district's officer must complete the property description portion of the application to include:

(a) The document or instrument number;

(b) Year recorded;

(c) Book and page number, if applicable;

(d) Assessor's account number;

(e) Code area; and

(f) A description of the property as follows:

(A) For a property that is platted, the lot and block number and the addition name if the property is in a recorded subdivision;

(B) For a property that is unplatted, a description that includes township, range, section, and acres.

(C) For a manufactured structure, model year, make, and home number assigned by the Building Codes Division of the Department of Consumer and Business Services.

(2) The county assessor must send the department a copy of the recorded deed, if requested by the department.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 308.708
Hist.: 10-14-92; REV 2-2002, f. 6-26-02, cert. ef. 6-30-02; REV 6-2003, f. & cert. ef. 12-31-03; REV 9-2006, f. 12-27-06, cert. ef. 1-1-07

150-311.711

Recording Special Assessment Deferral Liens in County; Lien Constitutes Notice of State Lien

In each county in which there is deferred property for the payment of any deferred special assessment for local improvement, the department shall cause to be recorded in the mortgage book of records of the county, a list of the deferred special assessment properties. The list shall contain a description of the property as listed on the bond lien docket together with the name of the owner listed thereon.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.711
Hist.: RD 16-1987, f. 12-10-87, cert. ef. 12-31-87

150-311.725

Assessment District's Responsibility to Collect Payments

(1) The Department of Revenue, upon being notified of the disqualification of a special assessment deferral account, will confirm the deferral account balance with the assessment district.

(2) The assessment district is responsible for collecting the deferred special assessment installments, along with any accrued interest, lien recording and releasee fees, and forwarding those amounts to the Department of Revenue. The district must remit any payment it collects in full to the department no later than August 15 of the year following the year of the disqualifying event or promptly after receipt.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.725
Hist.: 10-14-92; REV 2-2002, f. 6-26-02, cert. ef. 6-30-02

150-311.806-(A)

Process for Determining Recipient of Property Tax Refund

(1) Definitions: For the purpose of this rule:

(a) "Owner of record on the tax roll" means the owner or an owner of the property or each person in whose name the property is assessed on the last certified tax roll.

(b) "At the time of the refund" means the time at which the tax collector calculates the refund and any applicable interest.

(2) The tax collector must determine the recipients of a refund as follows:

(a) Whenever a refund is the result of an appeal, the refund for each year included in the petition must be made payable to, and be mailed or delivered to, the petitioner as shown on the petition.

(b) If an appeal results in a lowering of value under ORS 309.115 for a subsequent year that was not included in the petition and a refund results, the refund for each subsequent year must be made payable to, and be mailed or delivered to, the petitioner for each year in which that person was the owner, an owner, or the person in whose name the property was assessed; and to the current owner of record on the tax roll at the time of the refund for each year thereafter.

(c) Whenever taxes are collected against property not within the jurisdiction of the levying body, the refund must be made payable to, and be mailed or delivered to the owner of record on the tax roll at the time of the refund.

(d) Whenever taxes are paid on property in excess of the amount actually due the refund must be made payable to, and be mailed or delivered to, the owner of record on the tax roll at the time of the refund.

(e) Whenever taxes are paid on the property of another by mistake of any kind:

(A) The refund must be made payable to, and be mailed or delivered to, the payer of the tax.

(B) If the Department of Revenue pays the taxes on a deferral account under ORS 311.676, and the owner, or another party acting on behalf of the owner, also pays the tax for the same property, the department will determine the refund recipient for the overpayment based on information it deems appropriate, The department may contact the deferral applicant and the “other party” to make the determination.

(f) Pursuant to OAR 150-309.110(1)-(D), a refund resulting from a petition to a Board of Property Tax Appeals, the Department of Revenue, or the tax court by one or more owners of property assessed as an undivided interest must be apportioned to all of the owners of the property according to the percentage of interest owned.

(3) Notwithstanding section (2) of this rule, the refund will not be mailed or delivered to the petitioner, owner of record on the tax roll, or payer of the tax if:

(a) The refund is the result of an appeal as described in section (2)(a) or (2)(b) of this rule and the petitioner is represented by an attorney. The refund to which the petitioner is entitled must be made payable to the petitioner, or to someone else if so directed by the petitioner in writing, but must be mailed or delivered to the representing attorney.

(b) The refund is the result of an appeal as described in section (2)(f) of this rule and the petitioner who filed the appeal is represented by an attorney. The refund apportioned to the petitioner must be made payable to the petitioner, or to someone else if so directed by the petitioner in writing, but must be mailed or delivered to the representing attorney. The refund or refunds due to the other owners who did not file petitions must be made payable to, and be mailed or delivered to those individual owners.

(c) The petitioner, owner of record, or payer of the tax named in section (2) of this rule is not represented by an attorney and instructs the tax collector, in writing, to make the refund payable to or to mail or deliver it to someone else. The tax collector must follow such instructions.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.806
Hist.: 10-5-84, 12-31-84, Renumbered from 150-311.806 to 150-311.806-(A); 12-31-87; 12-31-92; REV 6-2001, f. & cert. ef. 12-31-01; REV 6-2003, f. & cert. ef. 12-31-03; REV 6-2003, f. & cert. ef. 12-31-03; REV 12-2004, f. 12-29-04, cert. ef. 12-31-04; REV 12-2007, f. 12-28-07, cert. ef. 1-1-08; REV 8-2012, f. 12-18-12, cert. ef. 1-1-13; REV 1-2013, f. & cert. ef. 3-28-13

150-311.806-(B)

Refunds Paid from the Unsegregated Tax Account

Refunds paid out of the unsegregated tax account provided in ORS 311.385 shall be drawn from the unsegregated tax account collections on hand for the current tax year, regardless of the tax year for which the refund was issued.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.806
Hist.: RD 16-1987, f. 12-10-87, cert. ef. 12-31-87

150-311.806-(C)

Credit Balance Adjustment

(1) Credit balances of $10 or less not required to be refunded shall be adjusted through creation of a category called "credit balance adjustment" per ORS 311.806(5).

(2) This category shall be used to adjust those accounts on which the amount collected exceeds the amount owed by not more than $10.

(3) This category shall not impact the certified tax balance nor the collection records; it is used only to eliminate the overpayment on the account.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.806
Hist.:

150-311.807

Refund Reserve Account

For tax years beginning on or after July 1, 1992, the anticipated annual refunds shall be the total dollar amount of refunds issued for the prior fiscal year. This amount may be increased or decreased for anticipated changes in appeals.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.807
Hist.: RD 9-1984, f. 12-5-84, cert. ef. 12-31-84; RD 8-1991, f. 12-30-91, cert. ef. 12-31-91; RD 8-1992, f. 12-29-92, cert. ef. 12-31-92, Renumbered from 150-311.806; RD 6-1994, f. 12-15-94, cert. ef. 12-30-94

150-311.812(3)

Calculation of Interest on Refund

(1) Interest on refunds is based on the method the taxpayer used to pay taxes. Interest is calculated from the first trimester due date if full payment, or two-thirds payment, was made with a discount on or before November 15. If payments were made on the installment basis, interest is calculated on the amount overpaid as of each trimester due date or date of payment, whichever is later. Refund interest accrues at the rate specified in ORS 311.812(3) until paid.

(2) When the taxpayer pays in full, with discount, on or before the first trimester due date, interest is calculated on the amount overpaid from that date.

Example: The 2000-01 tax statement for $4,000 was corrected to $400 resulting in an overpayment of tax. The original tax less discount was paid in full October 17, 2000. The refund on the corrected tax is issued February 19, 2001 and includes interest calculated from the due date, November 15, 2000, to the date of refund, February 19, 2001. [Table not included. See ED. NOTE.]

(3) When the taxpayer chooses to pay in trimesters, interest is calculated on the amount overpaid on each trimester due date when there is no balance on the account. When there is a balance on the account in the year for which overpayment occurred, the overpayment is credited to the trimester(s) still outstanding. No refund interest is paid until the overpayment exceeds the total amount of corrected tax.

(a) When trimester payments are made timely, the overpayment is credited as follows:

Example: The 2000-01 tax statement for $3,000 was corrected to $2,400. Two trimester payments were made timely. The correction is made March 15, 2001. [Table not included. See ED. NOTE.]

(b) When two trimester payments are made after the due date and accrued interest has been calculated, the overpayment is credited as follows:

Example: The 2000-01 tax statement for $3,000 was corrected to $2,400. The first trimester payment was made November 20, 2000; the second trimester payment was made February 20, 2001; the account is corrected March 20, 2001. [Table not included. See ED. NOTE.]

(4) When timely payment for the first trimester is sufficient to pay two-thirds or more of the corrected tax, then the corresponding discount must be credited.

(a) When all three trimester payments have been made timely, the overpayment is credited as follows:

Example:The 2000-01 tax statement for $3,000 was corrected to $400. All trimester payments were made on or before the due dates. The correction is made June 15, 2001. The original payment for the first trimester covers the full corrected tax so the three percent discount is granted. [Table not included. See ED. NOTE.]

(b) When two trimester payments have been made timely, the overpayment is credited as follows:

Example: The 2000-01 tax statement for $3,000 was corrected to $300. Two trimester payments were made timely. The correction was made and the refund was issued on March 15, 2001. The original payment for the first trimester covered the full corrected tax so the three percent discount was granted. [Table not included. See ED. NOTE.]

(c) When the first trimester payment is made timely, the overpayment is credited as follows:

Example: The 2000-01 tax statement for $2,400 was corrected to $1,200. The first trimester payment was made timely. The correction was made on January 15, 2001. Since the original payment for the first trimester payment covers the corrected first and second trimester payments, a 2% discount is calculated on the full original trimester payment. [Table not included. See ED. NOTE.]

(5) Refund interest is not paid on an overpayment of delinquent interest. Refund interest accrues only on the tax principal overpaid. Any difference between the original late payment interest and the correct late payment interest is also included in the amount to be refunded.

Example: The 2000-01 tax statement for $4,000 was corrected to $400. Full payment was made November 20, 2000. The refund was made March 19, 2001. [Table not included. See ED. NOTE.]

[ED. NOTE: Tables referenced in this rule are available from the agency.]

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.812
Hist.: RD 9-1989, f. 12-18-89, cert. ef. 12-31-89; REV 3-2001, f. 7-31-01, cert. ef. 8-1-01

150-311.814

Value Used to Activate Refund Reserve Account

ORS 311.814 authorizes the county governing body to establish a reserve account when the dollar difference between the assessed value asserted by the taxpayer and the assessed value asserted by the opposing party exceeds one-fourth of one percent (.0025) of the total assessed value in the county. The total assessed value used in the calculation shall be the total assessed value in the county as contained in the annual report of the assessment roll to the department for the previous tax year as required by ORS 309.330.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.814
Hist.: REV 4-1999, f. 12-1-99, cert. ef. 12-31-99

150-311.860

Prepayment of Ad Valorem Taxes, Computation of Accrued Interest, Allocation of Pay

(1) Interest Computation. The interest computed under ORS 311.860(1)(c) by the assessor on the payments made under the agreements to the taxing units shall be ordinary interest and not compounded. For the first year the facility is allowed a reduction in real market value for the purpose of computing the rate of levy, the interest shall be computed from the date of each payment to the November 15th due date for the tax roll for which the first value reduction is allowed.

For each succeeding year, the interest shall be computed from November 16th to the following November 15th and shall be computed on that portion of the payments made by the facility which has not been used to fund a real market value reduction.

(2) Allocation of Payment to Real Market Value Reduction. Each year in which a reduction of real market value is allowed, the payments made by the facility and the interest accrued thereon shall each be charged to fund the reduction in the proportion that each is to the combined sum existing as of November 15th. The amount charged against the payment and interest shall be the gross amount of the ad valorem tax which would have been extended against the value reduction.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.860
Hist.: RD 9-1983, f. 12-20-83, cert. ef. 12-31-83; RD 8-1991, f. 12-30-91, cert. ef. 12-31-91

150-311.865

Determination of the Real Market Value Reduction Amount

Each year in which a percentage value reduction is to be allowed, the assessor shall determine if sufficient unused moneys remain from the payments made by the facility to cover the amount of the reduction. This is to be done on the basis of multiplying the amount of assessed value represented by the real market value reduction by the rate percent of levy as extended on the most recent tax roll for each district which entered into the agreement. If sufficient moneys are not available to cover the agreed upon percentage reduction, the assessor shall reduce the percentage reduction to correspond with the available moneys.

Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 311.205
Hist.: RD 9-1983, f. 12-20-83, cert. ef. 12-31-83; RD 8-1991, f. 12-30-91, cert. ef. 12-31-91

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