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S1488......................................................by STATE AFFAIRS
STATE TAX COMMISSION - Amends existing law to provide that the State Tax
Commission shall promulgate rules to establish property tax information
reporting standards that will aid in making sound public policy.
03/30 Senate intro - 1st rdg - to printing
03/31 Rpt prt - to Loc Gov
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-eighth Legislature Second Regular Session - 2006
IN THE SENATE
SENATE BILL NO. 1488
BY STATE AFFAIRS COMMITTEE
1 AN ACT
2 RELATING TO POWERS AND DUTIES OF THE STATE TAX COMMISSION REGARDING PROPERTY
3 TAX; AMENDING SECTION 63-105A, IDAHO CODE, TO PROVIDE THAT THE STATE TAX
4 COMMISSION SHALL PROMULGATE RULES TO ESTABLISH PROPERTY TAX INFORMATION
5 REPORTING STANDARDS THAT WILL AID IN MAKING SOUND PUBLIC POLICY AND TO
6 MAKE A TECHNICAL CORRECTION.
7 Be It Enacted by the Legislature of the State of Idaho:
8 SECTION 1. That Section 63-105A, Idaho Code, be, and the same is hereby
9 amended to read as follows:
10 63-105A. POWERS AND DUTIES -- PROPERTY TAX. The state tax commission
11 shall be the state board of equalization. In addition to other powers and
12 duties vested in it, the state tax commission shall have the power and duty:
13 (1) To supervise and coordinate the work of the several county boards of
14 equalization.
15 (2) To secure, tabulate and keep records of valuations of all classes of
16 property throughout the state, and for that purpose, to have access to all
17 records and files of state offices and departments and county and municipal
18 offices, and to require all public officers and employees whose duties make it
19 possible to ascertain valuations, including valuations of public utilities for
20 rate-making ratemaking purposes, to file reports with the state tax commis-
21 sion, giving such information as to valuation and the source thereof. The
22 nature and kind of the tabulations, records of valuations and requirements
23 from public officers as stated herein, shall be in such form and cover such
24 valuations as the state tax commission may prescribe. The state tax commission
25 shall promulgate rules to establish property tax information reporting stan-
26 dards that will aid in making sound public policy.
27 (3) To coordinate and direct a system of property taxation throughout the
28 state.
29 (4) To require all assessments of property in this state to be made
30 according to law; and for that purpose to correct, when it finds the same to
31 be erroneous, any assessments made in any county, and require correction of
32 the county assessment records accordingly.
33 (5) To prescribe forms and to specify and require information with rela-
34 tion to any duty or power of the state tax commission except as provided in
35 section 63-219, Idaho Code.
36 (6) To instruct, guide, direct and assist the county assessors and county
37 boards of equalization as to the methods best calculated to secure uniformity
38 in the assessment and equalization of property taxes, to the end that all
39 property shall be assessed and taxed as required by law.
40 (7) To reconvene, whenever the state tax commission may deem necessary,
41 any county board of equalization, notwithstanding the limitations of chapter
42 5, title 63, Idaho Code, for equalization purposes and for correction of
43 errors. The county board of equalization, when so reconvened shall have no
2
1 power to transact any business except that for which it is specially recon-
2 vened, or such as may be brought before it by the state tax commission.
3 (8) To require prosecuting attorneys to institute and prosecute actions
4 and proceedings in respect to penalties, forfeitures, removals and punishments
5 for violations of law in connection with the assessment and taxation of prop-
6 erty. It shall be the duty of such officers to comply promptly with the
7 requirements of the state tax commission in that relation.
8 (9) To require individuals, partnerships, companies, associations and
9 corporations to furnish such information as the state tax commission may
10 require concerning their capital, funded or other debt, current assets and
11 liabilities, value of property, earnings, operating and other expenses, taxes
12 and all other facts which may be needed to enable the state tax commission to
13 ascertain the value and the relative tax burden borne by all kinds of property
14 in the state, and to require from all state and local officers such informa-
15 tion as may be necessary to the proper discharge of the duties of the state
16 tax commission.
17 (10) To visit, as a state tax commission or by individual members or
18 agents thereof, whenever the state tax commission shall deem it necessary,
19 each county of the state, for the investigation and direction of the work and
20 methods of assessment and equalization, and to ascertain whether or not the
21 provisions of law requiring the assessment of all property, not exempt from
22 taxation, and just equalization of the same have been or are being properly
23 administered and enforced.
24 (11) To carefully examine all cases where evasion or violation of the laws
25 of assessment and taxation of property is alleged, complained of, or discov-
26 ered, and to ascertain wherein existing laws are defective or are improperly
27 or negligently administered.
28 (12) To correct its own errors in property assessment at any time before
29 the first Monday in November, and report such correction to the county auditor
30 and county tax collector, who shall thereupon enter the correction upon the
31 operating property roll.
32 (13) To apportion annually to the state and the respective counties any
33 moneys received by the state from the United States or any agency thereof, as
34 payments in lieu of property taxes; provided, that said moneys shall be appor-
35 tioned in the same amounts, and to the same governmental divisions as the
36 property taxes, in lieu of which payments are made, would be apportioned, if
37 they were levied. The state treasurer and the state controller shall be bound,
38 in making distribution of moneys so received, by the apportionment ordered by
39 the state tax commission.
40 (14) To make administrative construction of property tax law whenever nec-
41 essary or requested by any officer acting under such laws and until judicially
42 overruled, such administrative construction shall be binding upon the inquir-
43 ing officer and all others acting under such laws.
44 (15) To require the attendance of any assessor in the state at such time
45 and place as may be designated by the commission, and the actual and necessary
46 expenses of any assessor in attending any such meeting shall be a legal claim
47 against his county.
48 (16) To analyze the work of county assessors at any time and to have and
49 possess all rights and powers of such assessors for the examination of persons
50 and property, and for the discovery of property subject to taxation; and if it
51 shall ascertain that any taxable property is omitted from the property rolls
52 or is not assessed or valued according to law, it shall bring the same to the
53 attention of the assessor of the proper county in writing, and if such asses-
54 sor shall neglect or refuse to comply with the request of the state tax com-
55 mission to place such property on the property rolls, or correct such incor-
3
1 rect assessment or valuation, the tax commission shall have the power to pre-
2 pare a supplemental roll, which supplemental roll shall include all property
3 required by the tax commission to be placed on the property roll and all cor-
4 rections to be made. Such supplement shall be filed with the assessor's prop-
5 erty roll, and shall thereafter constitute an integral part thereof to the
6 exclusion of all portions of the original property rolls inconsistent there-
7 with, and shall be submitted therewith to the county board of equalization.
8 (17) To provide a program of education and an annual appraisal school for
9 its employees, for county commissioners and for the assessors of the various
10 counties of this state. Additionally, the state tax commission shall provide
11 for the establishment of a property tax appraiser certification program. Such
12 program shall include, as a minimum, a written examination prepared, adminis-
13 tered and graded under the supervision and control of an examination commit-
14 tee; such committee is to be composed as the state tax commission may provide
15 by rule. The state tax commission's rules shall include, but need not be lim-
16 ited to, the following:
17 (a) The composition of the examination committee, provided however, that
18 the committee shall include a representative of the counties, an agent of
19 the state tax commission and a representative of a professional appraisal
20 association within this state. The representative of the counties together
21 with the representatives of such professional appraisal association shall
22 constitute a majority of the committee.
23 (b) The frequency with which the examination shall be given.
24 (c) A reasonable review procedure by which examinees having complaints
25 may seek review of the examination committee.
26 (d) The establishment of a reasonable period of time within which a
27 county appraiser must meet the certification requirements as a condition
28 to continued employment by the county as a certified property tax
29 appraiser.
30 (18) To report at least quarterly to the revenue and taxation committee of
31 the house of representatives and to the joint senate finance-house appropria-
32 tions committee on its program to assist the counties with the property tax
33 assessments.
34 (19) To transmit to the governor and to the legislature, an annual report,
35 with the state tax commission's recommendations as to such legislation as will
36 correct or eliminate defects in the operations of the property tax laws and
37 will equalize taxation within the state. Said annual report shall include a
38 comprehensive study of the property tax laws and detailed statistical informa-
39 tion concerning the operation of the property tax laws of this state. Said
40 report shall be submitted prior to the meeting of any regular session of the
41 legislature.
42 (20) To maintain a forest land and forest product tax section to perform
43 the functions and duties of the state tax commission under the provisions of
44 chapter 17, title 63, Idaho Code.
STATEMENT OF PURPOSE
RS 16280
This legislation enables the State Tax Commission to
promulgate rules to establish property tax information reporting
standards that will aid in making sound public policy.
The counties have made significant progress in improving
their data processing systems for property classifications and
assessment purposes. However, the information is not adequately
collected in a manner and format suitable for statewide analysis.
In cooperation with county assessors and the legislature,
the Tax Commission will undertake development of rules that will
establish common reporting standards so that clear and consistent
statewide information regarding property tax matters will be
available for the public and policy makers.
Examples of current property tax classifications that could
improve analysis if they were separately classified include the
following:
Non-owner occupied residential:
4-plex and under apartments and rental homes
Previously occupied homes for sale
Platted lots - either bare lots or under construction
Second homes - both out-of-state and in-state owners
Condominiums, and rental units for which the
homeowner's exemption
is not claimed
Commercial and Industrial:
Apartment buildings larger than a 4-plex
Commercial and Industrial properties
FISCAL NOTE
None. This work will be performed by the Tax Commission within
it's existing appropriation. The counties already either have or
are working to have systems that will provide the Tax Commission
more complete and precise information.
Contact
Name: Senator Bunderson
Phone: (208) 332-1319
STATEMENT OF PURPOSE/FISCAL NOTE S 1488