Last chance to apply for 2013 homestead exemption

If you are filing for a new homestead exemption in the City of Decatur for 2013, we can accept your application as late as April 1 by law.  However, we encourage all eligible homeowners to apply for any new exemptions no later than tomorrow, Mar. 15, to ensure your exemption appears on your 1st installment tax bill which will be mailed out April 1.

If you previously applied for a homestead exemption with the City of Decatur, you do not need to re-apply with us.  If you filed for an exemption with DeKalb, you must also apply with Decatur.  You must also apply if you qualify for a new exemption based on age or income.

Further information on local homestead exemptions can be found at www.decaturga.com/homestead.

Eligible residents can apply for the basic homestead exemption on our website here.  For exemptions based on age or income, please come to City Hall at 509 North McDonough Street.

Time runs out for tax and fee bill in 2013

Legislators were unable to work out their differences in time for HB 159 to receive a House vote and consideration in the Senate for 2013.  

The Georgia Municipal Association, which opposed the bill, said the legislation would "have stifled the ability of city governments to work on behalf of their citizens," but pledged to continue working with Rep. Harrell, the bill's author.

GMA also noted that "a bi-partisan group of House members expressed concerns that this bill would reduce the efficiency many cities and counties use in billing for ad valorem and property-related fees and assessments."

Technically, the bill is still "alive" and could be reintroduced for a floor vote in 2014 without having to go through committee mark-up.

Tax and fee bill tabled in House of Representatives

House Bill 159, which would require separate bills for local property taxes and and local fees, has been at least temporarily withdrawn, or tabled, in the Georgia House of Representatives.

The clerk's office of the House of Representatives told me that the tabling took place after a lengthy floor debate.  Presumably, disagreements over the bill suggested to the sponsors that there was not enough support for the measure as currently written to pass a floor vote at this time.  Due to the legislative calendar, representatives would have to work out their final differences for a vote today in order for the state senate to consider the measure this year.  If they cannot reach an agreement today, the bill can be taken up again next year.

As I've pointed out before, one of the unintended consequences of this bill would be that Decatur residents would receive five separate tax and fee bills from the city and county annually.  The admininistrative costs of billing would increase and collection rates for stormwater drainage and sanitation services would decline.

Jimmy Orr, a member of the Gwinnett County Stormwater Authority, has laid out a thoughtful critique of HB 159 in a letter to the editor of the Gwinnett Daily Post that's worth a read.

City promotes homestead exemptions

In an effort to help remind homeowners about homestead exemptions based on age or income offered by the City of Decatur, the Revenue Division has sent out this postcard to about 650 residents who we think may be eligible to apply:

If you have previously applied for a homestead exemption, you do not need to re-apply. If you filed for a homestead exemption with DeKalb County, you must also apply with the City of Decatur. You must also apply if you now qualify for an exemption based on age or income for which you did not previously qualify. 

If you reside at the property you own, you may apply for the general homestead exemption online. Applicants for all other exemptions must apply in person at Decatur City Hall, 509 N. McDonough St., Monday-Friday, 8 a.m.-5 p.m.  Please come in as soon as possible.

More information is available at www.decaturga.com/homestead.

5 reasons to file a return of property

DeKalb and Decatur residents will receive assessment notices from DeKalb County in May.  If you disagree with your value, you can begin your appeal at that time.  Or you can get ahead of the game by filing a return of your property with DeKalb County prior to April 1.

Filing an annual return of business personal property is required.  Filing a return of real property such as your home or other real estate property is optional.  Along with the reasons I mentioned the other day, several additional purposes are served by filing a return before April 1:

• To request a review of the appraised value of your real estate property
• To report additions, improvements, or removal buildings or structures on your real property
• To report that your business has closed or that you've begun a new business
• To report new personal property such as business equipment
• To report the depreciation of your property's value

I encourage property owners who fall into these categories to consider filing a return.  It may help reduce lag time in the final determination of your taxable value for 2013.

The bullet points above are adapted from suggestions made by Hall County tax assessors office to their taxpayers.  Return and appeal procedures are basically the same statewide.

Reminder to file business property return

If a business in Georgia has tangible property worth more than $7,500, they are required to pay an annual business personal property tax bill.  Currently this affects about 450 business owners in Decatur, who pay personal property taxes to both the City of Decatur and DeKalb County.

We run into many business owners who either do not know or disagree with the valuation of their personal property.  If you fall into this category, I recommend that you file a return of your business personal property with the DeKalb County tax assessor's office prior to their April 1 deadline to help ensure an accurate value for tax year 2013.

Being familiar with your own taxable property and its value is the best way to prevent surprises later on in the year when you receive your annual bill.  If you or your business purchased property or had any significant changes to your fixed assets or business inventory, please let the county know.

Here are the guidelines from DeKalb County's website:

Georgia statutes and regulations require that all aircraft, boats, and tangible business personal property (furniture, fixtures, equipment, inventory, leaseholds. etc.) be reported annually. Business personal property used or located in DeKalb County should be reported on a "PT50P Business Personal Property Tax Return".

Statutes require that a value be determined even if the owner fails to file a BAR or return of value. Failure to file timely subjects the owner to possible penalties, loss of depreciation, and exemptions, if applicable.

Tax office offers special Saturday hours tomorrow

The property tax office at City Hall, 509 North McDonough Street, will be open Saturday, February 23, from 9:00 a.m. until 2:00 p.m.  These hours offer more opportunities for one-on-one customer service to the community--especially for those who are not able to stop by during the regular workweek.

If you have a property tax, homestead exemption, business license, or any other local tax matter to take care of, please stop by and see us!

New video made about property taxes in Georgia

The Association of County Commissioners of Georgia has produced a video entitled "Facts About Your Property Tax - An Investment in Your Community."

The video describes how local government services in Georgia are funded, the services that are typically provided, how budgets and millage rates are adopted, and how properties are assessed and billed.  The video also draws some comparisons to illustrate how much government services cost per taxpayer; for example, it says that your share for the cost of library services annually works out to about the cost of one hardback book.

The video says that the average county property tax bill statewide is about $1,500.  Taxes in cities tend to be higher than taxes in counties because cities traditionally provide more services than counties.

The video also makes the point that the annual assessment notice you receive in May details your options for appeal if you disagree with your assessed value.  It's suggested that the time to consider an appeal is when you receive the assessment notice, not later in the year when you receive your bill.

It's informative and worth watching.  My favorite scene is when the firefighter carries a dog from a house:

The ACCG has also launched a website called "Facts About Property Tax" with more information for Georgia property taxpayers.

Income tax filing assistance offered at Decatur Library

Need help preparing your income tax return?  The AARP is offering assistance at the Decatur Library on 215 Sycamore Street on Wednesdays and Fridays from 10 a.m. to 2 p.m. between now and April 15.  This news comes from Feb. 14-20 edition of The Champion:

AARP Foundation Tax-Aide provides free tax assistance and preparation

Free tax assistance and preparation for low- and moderate-income taxpayers of all ages, is available from AARP Foundation Tax-Aide through April 15.  Those seeking assistance do not need to be members of AARP or retirees to use this service.

AARP Foundation Tax-Aide volunteers, trained in cooperation with the Internal Revenue Service, offer help with personal income tax returns at various locations around Georgia.

"Tax law can often be confusing.  AARP Foundation Tax-Aide volunteers can make the process of filling out tax returns easier," said Helen Lowenthal, district coordinator for much of DeKalb County...

More information about the AARP's program can be found here.

Budget season is here

Welcome to the time of year officially known as ‘Budget Season’ to those of us in City departments. Similar to other “seasons”, such as the holiday season, hunting season, harvest season, tax season, etc., there is much to do in a short amount of time.

Each year the City invites residents to participate in the budget process through community budget gatherings. The goal of the gatherings is to provide relevant budget and financial information in an informal environment so that participants can better understand the City's budget process, including how revenue and expenditure recommendations are made. Concerns and priorities received from past participants have helped guide budget decision-making and prompted thoughtful budget discussions among City departments. If being a part of such a group interests you, I hope that you will consider joining members of the staff at one or more of three community budget gatherings. The meetings are currently scheduled for March 12th at 7:00 p.m. at City Hall; April 16th at a time and place to be determined; and May 14th at 7:00 p.m. at City Hall.

If you can’t make it to one of the community budget gatherings, fear not, there will be other opportunities to participate. More on that in a later post. For now, check out the Budget page on the City’s website for a schedule of important dates and links to past budgets.

City sends nearly 400 ‘Intents to FiFa’

Decatur is sending notices to about 270 property owners who owe a total of $570,000 real property taxes to the city and the school system for 2012 and any other outstanding balances.  These letters provide notice that we intend to file a lien (also known as fieri facias, a “FiFa”, meaning a writ of execution) unless the taxes are paid within 30 days.

Decatur is also sending notices to over a hundred business personal property owners—mostly businesses with taxable inventory—who owe about $100,000 in taxes to the city and schools.

For comparison, Decatur sent 350 Intents to FiFa for unpaid real property taxes around this time last year.

This is, at a minimum, the third notice that we have sent attempting to collect payment.  The original bills were mailed on October 20, 2012.  Past due notices were sent on Jan. 14, 2013.  Bills are also available our website 24/7.  If the debt is owed on more than one installment, multiple notices have been sent on a regular basis since the account first became delinquent.

If the taxes owed are not paid before the 30-day deadline, a lien will be filed against the property.  A tax lien can lower a property owner’s credit score.

Property owners interested in making payment arrangements with us must apply to do so before the 30-day deadline elapses.  Such requests will be evaluated on a case-by-case basis for residents with valid reasons, a substantial down payment, and a history of timely payments.  Even if approved for extended payment arrangements, a lien will still be set against the property to protect the city’s interests.

Please be aware that if a payment was made within the last few business days, there may have been a delay in applying your payment to your account while our bank processed the payment.  If you receive a notice but have just recently paid, please disregard the notice or call us at 404-370-4100 to confirm that your account is paid current.