If you own an home in Maricopa County, you should have recently received a notice from the Maricopa County Assessor about your property valuation.Buy Understanding your Maricopa County notice of Property Valuation and be kind of tricky.
Here's an explanation of some of the various terms that come up when discussing property valuations:
Full Cash Value - Full Cash Value (FCV) is the amount used to compute secondary taxes, which can consist of bonds, budget overrides, and special districts such as fire and flood control. FCV denotes the real property, which means the land, buildings, and other improvements.
Limited Property Value - Limited Property Value (LPV) is the amount used to compute the primary taxes that allow the maintenanence and operation of school districts, cities, counties, and community college districts. LPV is calculated according to a statutory formula determined by the Arizona State Legislature and cannot exceed Full Cash Value.
Legal Class - Legal Class simply menas what the property is used for. If an individual parcel has more than one use, it is assigned multiple Legal Classes. Legal classes include:
- Class One - Commercial
- Class Two - Vacant land, Agricultural, Nonprofit
- Class Three - Owner-occupied residential
- Class Four - Residential rental, Common areas
- Class Five (there's no class five listed on the Assessor's website)
- Class Six - Historic residential, Foreign trade zone, Enterprise zone
- Class Seven - Historic commercial
- Class Eight - Renovated historic residential
- Class Nine - Improvements on government property
Assessed Values - The Assessed Value of each property class is determined using percentages set by the State Legislature. The following percentages apply to the three most popular classifications:
- Residential - 10%
- Commercial - 22% for Tax year 2009, declining to 20% over 3 years
- Land - 16%
Property Taxes Computations - The Assessed Value divided by 100, times the tax rate (set in August of each year) determines the property tax bill you receive every September. It's the County Treasurer who bills, collects, and distributes the property taxes.
Understanding your Maricopa County notice of Property Valuation
Anna "Banana" Kruchten
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