News
Assessment error could result in tax refunds for Mohon condo owners
In 2007, 2008 some condo owners paid more than their share
August 3, 2010
Because of an error in the assessments for condominiums in the Mohonasen School District, more than 230 local condo owners may be eligible for a tax refund from the district.
According to Mohonasen’s Assistant Superintendent for Business Denise Swezey, it appears that the assessment error occurred during the town’s revaluation in 2007 and it resulted in all condominiums in the district not receiving the proper exemptions in 2007 and 2008. The problem, she said, was corrected by the town in 2009.
Depending on the actual number of condo owners who apply for the refund, the district could be responsible for as much as $250,000 in reimbursements. This money, Swezey said, would come from the district’s tax certiorari reserve.
Because of this error, Swezey said the overall assessed value of properties in the district dropped by $8.5 million last year. The district’s tax rates are determined by dividing the tax levy (or the total amount of taxes to be collected) by the total assessed value– meaning that when the assessed value of the town goes down, tax rates go up.
“It’s important for people to understand that the district didn’t receive $250,000 more in taxes. What this means is that because of a clerical error in assessment, condo owners in the district were paying more than their share in 2007 and 2008,” Swezey said.
Property assessments in the town are finalized every August, which is when the school district is able to set tax rates for the new school year.
According to the Rotterdam Town Assessor’s office, condo owners have until the end of August to apply for the tax refund. Anyone with questions should call the assessor’s office at 355-7575 ext. 343.
