HB 1393 – AS INTRODUCED
2012 SESSION
10/01
HOUSE BILL 1393
AN ACT relative to the valuation of property for property tax purposes and procedures for imposing sanctions against appraisers who act in bad faith or violate statutory requirements.
COMMITTEE: Municipal and County Government
This bill provides that market value used for determining assessed value shall be determined using the sales comparison approach. The bill also allows for the imposition of fines or sanctions against appraisers who have acted in bad faith or violated statutory requirements in making appraisals on behalf of a municipality for tax assessment purposes.
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
12-2577
10/01
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twelve
AN ACT relative to the valuation of property for property tax purposes and procedures for imposing sanctions against appraisers who act in bad faith or violate statutory requirements.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Appraisal of Taxable Property; Sales Comparison Approach. Amend RSA 75:1 to read as follows:
75:1 How Appraised. The selectmen shall appraise open space land pursuant to RSA 79-A:5, open space land with conservation restrictions pursuant to RSA 79-B:3, land with discretionary easements pursuant to RSA 79-C:7, residences on commercial or industrial zoned land pursuant to RSA 75:11, earth and excavations pursuant to RSA 72-B, land classified as land under qualifying farm structures pursuant to RSA 79-F, residential rental property subject to a housing covenant under the low-income housing tax credit program pursuant to RSA 75:1-a, and all other taxable property at its market value. Market value means the property’s full and true value as the same would be appraised in payment of a just debt due from a solvent debtor determined using the sales comparison approach. The selectmen shall receive and consider all evidence that may be submitted to them relative to the value of property, the value of which cannot be determined by personal examination.
2 New Section; Sales Comparison Approach. Amend RSA 75 by inserting after section 1-a the following new section:
75:1-b Sales Comparison Approach. For purposes of RSA 75:1, the use of the sales comparison approach for appraisals shall include only arm’s length sales of valid comparable properties within the preceding 2 years in the same community as determined by the selectmen or assessors. If there are no such valid comparable sales, sales of similar properties in neighboring communities may be used, provided that no sales outside of the state of New Hampshire shall be used.
3 Property Appraisers; Rulemaking; Sanctions. Amend RSA 21-J:11, III(b) to read as follows:
(b) Methodology for inspection, evaluation, and testing of data for the purpose of appraisal monitoring[.]; and
(c) Procedures and standards for the imposition of fines on or sanctions against appraisers who are found after due hearing to have acted in bad faith or violated statutory requirements in making appraisals on behalf of a municipality for tax assessment purposes.
4 Effective Date. This act shall take effect April 1, 2012.