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General information
In Oregon, property taxes are assessed against real property, machinery and equipment, manufactured structures, business personal property, and floating property. Oregon has an ad valorem property tax system, which means the property taxes you pay are based on the value the county assessor establishes for your property.
The assessor estimates the value of most taxable property on January 1, prior to the beginning of the tax year. The tax year runs from July 1 through June 30. January 1 is called the "assessment date." The assessor´s estimate of value will appear on the tax statement mailed to you in October.
The following terms and definitions are provided to help you understand how your property is valued and assessed.
- Real Market Value (RMV) is the value the assessor has estimated your property would sell for on the open market as of the assessment date. RMV appears on most property tax statements.
- Maximum Assessed Value (MAV) is the greater of 103 percent of the prior year´s assessed value or 100 percent of the prior year´s MAV. MAV is not limited to an increase of 3 percent if certain changes are made to your property. These changes are called exceptions. MAV does not appear on most tax statements.
- Assessed Value (AV) is the value used to calculate your tax. It is the lesser of RMV or MAV. Assessed value appears on your tax statement.
- Exception means a change to property, not including general ongoing maintenance and repair, that increases your property´s value by more than $10,000 in one year or by more than $25,000 over five assessment years. Changes that could affect MAV include new construction or additions, major remodeling or reconstruction, rezoning combined with a change of use, a subdivision, or a disqualification from special assessment or exemption. Exception value does not appear on tax statements.
- Specially Assessed Value (SAV) is a value established by statute. The Legislature has created several programs that set lower assessed value levels for certain types of property. Each program has specific applications and use requirements. Examples of property that may qualify for special assessment are farmland, forestland, historic property, government-restricted low-income multi-unit housing, and property that qualifies as "open space." SAV appears on most tax statements for property that is specially assessed.
Appealing to your county board of property tax appeals (BOPTA)
Appealing to the county board of property tax appeals is generally the first step in the appeal process. Most appeals start at this level.
You may appeal the current year real market, maximum assessed, specially assessed, or assessed value of your property.
The majority of appeals will be based on a difference of opinion between you and the assessor about RMV. In such cases, you will need to present evidence about the market value of your property as it existed on the assessment date. Evidence might include an appraisal report of your property done by an independent appraiser or a comparison of your property with similar properties that have recently sold in your area.
Comparing the value on the tax roll of your house to the value on the tax roll of your neighbor´s house, or comparing the taxes you pay to the taxes your neighbor pays is generally not considered satisfactory evidence of an error on the roll.
The following are examples in which an appeal of RMV may result in a tax benefit:
- The board reduces the RMV below the assessed value currently on the roll.
- Your property has recently been improved and the board reduces the value of the new construction.
If you wish to appeal the value of principal or secondary industrial property appraised by the Department of Revenue, you may file your appeal with either the Magistrate Division of the Tax Court or BOPTA. Both have the same filing deadlines.
The value of centrally assessed utility property must be appealed to the Oregon Department of Revenue by the second Monday in June prior to the July 1 beginning of the tax year.
Penalties charged for late filing of a current year´s real or personal property return may also be appealed to the board of property tax appeals. The board may waive all or a portion of a penalty imposed for the late filing of a return reporting only personal property if:
- You can prove there was good and sufficient cause for the late filing, or
- The year for which the return was filed was both the first year that a return was required to be filed and the first year you filed a return.
The board may waive all or a portion of a penalty imposed for the late filing of an industrial return filed with a county assessor, or for a combined real and personal property return filed with the Department of Revenue if:
- You can prove there was good and sufficient cause for the late filing.
How to file your petition
You must file appeals between the date the tax statements are mailed and December 31. If December 31 falls on a Saturday, Sunday, or legal holiday, the filing deadline moves to the next business day. For the 2008-2009 tax year, the time period during which petitions may be filed will be from October 25, 2008 through December 31, 2008. The deadline for filing petitions for the 2008-2009 tax year is December 31, 2008. Forms for filing 2008-2009 appeals will be posted on this site in October of 2008. File your petition with the county clerk´s office in the county where the property is located.
If you are not the owner of the property, carefully read the petition instructions to learn if you are qualified to file the appeal.
The board will consider your appeal between the first Monday in February and April 15. If you choose to appear at the hearing, BOPTA will send you written notice of the time and location. If you choose not to appear, the board will make a decision based on the evidence you submit with the petition.
The board will notify you in writing of its decision. If you are not satisfied with the decision, you have the right to appeal as outlined below.
Appealing county board decisions
You may appeal a decision of BOPTA to the Magistrate Division of the Oregon Tax Court by filing a written complaint. The assessor may also appeal the board´s decision.
Standard cases require a $25 filing fee and are not limited by value.
You may represent yourself or be represented by an Oregon-licensed attorney, appraiser, real estate broker, or by a person duly qualified to practice public accountancy in Oregon. If you have an employee who regularly does your tax work, he or she may also represent you.
Complaints must be filed with the Magistrate Division within 30 days (not one month), after the board´s order is mailed to you. Appeal forms can be downloaded from www.oregon.gov/OJD, or write to: Clerk, Oregon Tax Court, Magistrate Division, 1163 State Street, Salem OR 97301. You can also order forms by calling 503-986-5650 or by calling your county assessor.
Appealing magistrate decisions
Decisions for standard Magistrate Division cases may be appealed to the Oregon Tax Court, Regular Division. To appeal, file your complaint with the court clerk within 60 days (not two months) after the date of the magistrate´s decision. The Tax Court clerk will notify you of the trial date and time.
A trial in the Regular Division of the Oregon Tax Court is a formal proceeding. Although you may represent yourself, most people prefer to be represented by a lawyer. If you are not satisfied with the Tax Court decision, you can appeal to the Oregon Supreme Court.
Questions?
For general tax information: www.oregon.gov/DOR
Telephone:
Property Tax Division 503-945-8293
Toll-free within Oregon 1-800-356-4222
TTY (hearing or speech impaired; machine only): 503-945-8617 (Salem) or 1-800-886-7204 (toll-free within Oregon).
Americans with Disabilities Act (ADA): This information is available in alternative formats. Call 503-378-4988 (Salem) or 1-800-356-4222 (toll-free within Oregon).
Asistencia en español. Llame al 503-945-8618 en Salemo llame gratis al 1-800-356-4222 en Oregon.
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