(The Center Square) – North Carolinians could get a lot more information about their property taxes with legislation scheduled for a hearing in the General Assembly next week.
The Senate Finance Committee on Monday is slated to review the Taxpayer Transparency Act that would require assessors provide specific information to property owners regarding tax revaluations.
Senate Bill 234 comes as roughly a quarter of counties conduct revaluations in 2023 amid a surge in home values driven by a hot real estate market in recent years. In Mecklenburg County, revaluations are up an average of 51%, while in Macon County the total increase is about 58%. In Catawba County, overall property values surged nearly 69% and in Alamance they’re up nearly 80%.
The increasing tax bills have prompted a flood of calls and appeals to local assessors’ offices, forcing some to consider revenue neutral rates to brunt the impact on taxpayers.
The Taxpayer Transparency Act would provide context for homeowners to help them understand the consequences of revaluations on both their tax bill and revenue for counties, cities and towns.
The legislation would require assessors to notify property owners within 30 days of revaluations with specific information including the newly appraised value, and the appraised value in the immediately preceding revaluation, as well as the percentage increase or decrease.
Property owners would also learn the tax rate and total ad valorem tax due, for both the current revaluation and the one prior. Other information in the notice would include annual property tax revenue for every year of the prior revaluation cycle, and projected revenues with the new values and rates.
Monday’s hearing will be the first since it was introduced in May by Republican Sens. Warren Daniel of Burke County, Jim Perry of Lenoir County, and Amy Galey of Alamance County.
It follows legislation introduced earlier this session to bring property tax relief to seniors, who are often on fixed incomes and struggle to keep up.
House Bill 105, and a substantially similar Senate Bill 563, would defer taxes imposed on increases in appraised value of the permanent residences of owners who “will be at least 65 years of age during a portion of the calendar year.”
Michelle Kenny, legislative assistant to HB105 sponsor Rep. Matthew Winslow, a Granville homebuilder, told The Center Square this spring the legislation spawned from constituent complaints from seniors who can’t afford their property tax bills.
“People are having to move out of their homes because they can’t pay taxes,” she said.
