In the last legislative session the General Assembly passed a law giving builders/developers property tax relief staring in the 2009 tax year on the improvement (house) until the new house becomes occupied, or the house reaches its fifth anniversary of receiving its Certificate of Occupancy (CO).

If you received a CO on a house in 2007 or 2008 and the house remains unoccupied, you must move immediately to claim 2009 property tax relief. With the counties staring to prepare 2009 tax bills, builders must have there tax exemption application into their county assessor before the close of business on September 30, 2009!

Failure to act by September 30, will result in no property tax relief in 2009. The property tax relief is significant, particularly in these lean times. You will, however, be able to claim the exemption in future years assuming you notify the assessor by January 31, 2010.

Action Steps Needed:
1. Contact your county assessor’s office immediately to file a property tax exemption form for all unoccupied homes receiving their CO in 2007-2008.
2. The completed form must be notarized and returned to the assessor by September 30, 2009 (an example can be found here.)
3. For houses that received their CO in 2009, builders should complete the property tax exemption form and return them to the county assessor before January 31, 2010!

Your prompt action in complying with this new tax exemption could save builders thousands of dollars on each new unoccupied home they are carrying in inventory!

A primer with details about this new law and eligibility requirements can be found here.