Survey Topic — Assessment Appeals

Description

Section 16 of article XIII of the California Constitution provides that the county board of supervisors, or one or more assessment appeals boards created by the county board of supervisors, shall constitute the county board of equalization for a county. Revenue and Taxation Code sections 1601 through 1641.5 are the statutory provisions governing the conduct and procedures of assessment appeals boards and the manner of their creation. In addition, the BOE has adopted Rules 301 through 326 to regulate the assessment appeals process.

Section 1601 defines “county board” as a county board of supervisors meeting as a county board of equalization or an assessment appeals board. For simplicity, the term “appeals board” will be used throughout this section when referring to the body charged with the equalization function for the county.

An appeals board is a quasi-judicial body. It has some of the characteristics of a court of law as it adjudicates disputes between taxpayers and the Assessor, and its decisions are legally binding and enforceable. Although rules of evidence and other matters of procedure are less formal than in a court of law, due process, nevertheless, requires that an appeals board give each side a reasonable notice of hearing and an opportunity to present its case, and to question the other side's evidence and witnesses.

The function of an appeals board is to determine the full value of property or to determine other matters of property tax assessment over which the appeals board has jurisdiction. An appeals board's decision is final and may not be reheard by the appeals board, even if requested by the Assessor or taxpayer. However, either party may appeal the appeals board's decision by filing action in superior court. An appeals board has no jurisdiction to: (1) grant or deny exemptions, (2) decide disputes involving tax rates, local governmental budgets, tax bills, or tax policy, and (3) take into consideration a taxpayer's ability to pay when making its determination.

In most counties, the clerk of the board of supervisors (clerk of the board) also acts as the clerk of the assessment appeals board. To file an assessment appeal, taxpayers must file a BOE-305-AH, Assessment Appeal Application, with the clerk of the board. The clerk of the board is responsible for reviewing the application for completeness, timeliness, and use of the proper Board-prescribed form. The clerk of the board provides copies of the accepted applications to the Assessor. In addition, the clerk of the board schedules the assessment appeals hearings, determines which assessment appeals board members will be on the panel, and notifies applicants of the date and time of the hearings.

The Assessor, or an appointed deputy for the Assessor, must attend every assessment appeal hearing. It is the responsibility of the Assessor, or the appointed deputy, to be prepared for the hearing and to be able to answer questions posed by the applicant or the appeals board members during the hearing, and to present evidence to support the Assessor's opinion of value.

Appeal applications must be filed with the clerk of the board (clerk). The regular time period for filing an appeal application, as set forth in section 1603, is July 2 to September 15, however, if the Assessor does not provide notice to all taxpayers of real property on the local secured roll of the assessed value of their real property by August 1, then the last day of the filing period is extended to November 30.

Section 1604 and Rule 309 provide that a hearing must be held, and a final determination made on an application for reduction, within two years of the timely filing of the application, unless the applicant or the applicant's agent and the appeals board mutually agree in writing, or on the record, to an extension of time.

If a hearing is not held and a determination is not made within the two-year time period, the applicant's opinion of value stated on the application must be enrolled unless one of the exceptions written in section 1604 apply.

• For applications involving a base year value appeal, the applicant's opinion of value shall be enrolled for the tax year(s) covered by the pending application until the appeals board makes a final determination on the application. No increased or escaped taxes other than those required by a purchase, change in ownership, or new construction, or resulting from the inflation factor to the applicant’s opinion of value shall be levied for the tax years during which the board failed to act.
• For any applications other than an application requesting a reduction in base year, such as decline in value or personal property assessment appeal, the applicant's opinion of value prevails for the tax year(s) covered by the pending application.

For detailed information regarding assessment appeals, refer to the Assessment Appeals Manual or the Assessment Appeals page on the BOE website.