Eureka County Assessor's Office

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Understanding Nevada's Property Tax System

This page has been prepared to help the property taxpayer:

  • Understand Nevada's property tax system.
  • Obtain information about assessments, tax rates and tax bills.
  • Obtain relief if property assessment is too high.

The Nevada Taxpayers Association (NTA) expresses its appreciation to the Assessor's Association of Nevada and the Nevada Department of Taxation Division of Assessment Standards for their suggestions and cooperation in reviewing this publication.



Web Page Index

  •  Understanding The Tax System

  •  The Purpose of Property Tax

  •  Governing Provisions

  •  Determining the Tax Rate

  •  Determining Taxable Value

  •  How Property Taxes are Calculated

  •  Why Property Taxes Change

  •  How Property Taxes are Collected

  •  Exemptions Which are Available

  •  Notification of Assessment

  •  How to Question an Assessment

  •  How to Appeal before the County Board

  •  How to Prepare and Present an Appeal (County)

  •  How to Present Testimony and Evidence (County)

  •  If You Disagree with the Decision

  •  How to Appeal Before the State Board

  •  How to Present Testimony and Evidence (State)

  •  Who to Contact

  • THE BASIC PURPOSE OF PROPERTY TAX

    Property tax, also known as "ad valorum", is based on the value of property, both real and personal.

    It is used to partially fund the expenditures of local governments including school districts and for the State's bond debt redemption.


    THE PROVISIONS GOVERNING PROPERTY TAX

    The State Constitution caps the property tax rate at $5.00 per $100.00 of assessed value. It is further capped by statute at $3.64 per $100.00 of assessed value

    Property is assessed in Nevada at 35% of its taxable value.

    The taxable value of vacant land is determined by considering the use to which it may lawfully be put. The taxable value of improved land is determined by considering the use to which the improvements are being put. The improvements (i.e. buildings) are valued at present replacement cost less depreciation at 1-1/2 percent per year to 50 years. For personal property, depreciation is based on life expectancy.

    By statute, local governments cannot receive more than a six-percent increase plus growth over the previous year in total property tax revenue.

    Local governments are required to obtain voter approval to allow a property tax rate to be established for any long-term debt (general obligation bonds).


    HOW THE TAX RATE IS DETERMINED

    The tax rate is proposed in April of each year based on the budgets prepared by the various local governments: counties, cities, school districts, special districts such as fire protection districts, etc.

    Prior to the budget hearings, the county will publish a newspaper ad, which identifies any property tax rate increases and the times and places for the different budget hearings. These budget hearings present an opportunity for you to question expenditures and the property tax rates that will be set to cover the proposed expenditures.

    The local government's budget must be adopted no later than June 1. In June of each year, the Nevada Tax Commission approves the property tax rates based on the budgets submitted by the local governments.


    HOW THE TAXABLE VALUE PROPERTY IS DETERMINED

    REAL PROPERTY - The assessor estimates the land's full cash value by considering its location, actual use, etc. Land values are estimated from market sales or other recognized appraisal methods. The taxable value of buildings is the estimated replacement cost less depreciation. The land value is added to the improvement's taxable values to arrive at the property's overall taxable value.

    Property in Nevada is required to be physically reappraised (revalued) at least once every five years. Between reappraisal years the values are adjusted each year with factors approved by the Nevada Tax Commission. Additional appraisals may occur when improvements are added, new structures are built or use changes.

    View Reappraisal Groups

    PERSONAL PROPERTY AND MOBILE HOMES - Taxpayers with taxable personal property are required to declare the property to the assessor each year. The affidavit or declaration form used is supplied by the assessor and must be returned to the assessor no later than July 31, each year.

    The taxpayer reports, by item, the acquisition cost of each item and the date of acquisition of each item. The actual location of the property is also requested. Once this information is gathered the assessor uses the Personal Property Manual that is approved by the Nevada Tax Commission each year to determine the replacement cost new less depreciation of the personal property you reported.

    The personal property manual includes a schedule of expected life for numerous types of personal property and individual schedules of short, average and long life items.

    A mobile home is considered to be personal property by definition and as such is assessed as personal property.

    The assessed value of a mobile home is also 35% of its taxable value and is depreciated each year.

    As provided by Nevada statutes, the Personal Property Manual used by the assessor divides mobile homes into two different categories.

      1. Mobile homes sold as new prior to July 1, 1982.

      2. Mobile homes sold as new on or after July 1, 1982.

    To determine the taxable value of a mobile home sold prior to July 1, 1982 the assessor uses the retail selling price when sold to the original owner less depreciation at 5 per cent per year to a maximum depreciated value of 20 per cent of its original cost.

    To determine the taxable value of a mobile home sold on or after July 1, 1982 the assessor uses the retail selling price to the original owner adjusted by cost factors and the depreciation schedule found in the Personal Property Manual.


    HOW PROPERTY TAXES ARE CALCULATED

    To compute the property taxes for a particular parcel of property, simply multiply the tax rate by the assessed valuation as shown in the following example.

    Taxable value * 35% = assessed value * tax rate = property taxes due.

    Taxable Value
    $100,000.00
                * 35%
       =  Assessed Value
    $35,000.00
               *  .01855
    =  Property tax due
    $649.25

    * $1.855 per $100 assessed valuation.   This is the actual tax rate for the town of Eureka for the fiscal year 1999-2000.


    WHY PROPERTY TAXES CHANGE

    The assessed value can change because of a boundary change, new construction, a change in use, a mandatory five year physical reappraisal, factoring in years a physical reappraisal is not done, inflation or any combination of these factors.

    • Boundary changes occur when old parcels are either divided or combined.

    • New construction includes new buildings, additions, remodeling etc.

    • Changes in use ... such as from residential use to office or retail use or from agricultural use to residential use.

    • Reappraisal of property, which is done at least once every five years. Improvements are recalculated to current cost of replacement, less depreciation and land is revalued.

    • Factoring to keep values current with changes in individual properties and local and neighborhood trends. In a non-reappraisal year the prior assessed value of the improvement is multiplied by a factor supplied by the Nevada Tax

    • Commission. Land values are also factored to stay current.

    • Any combination of the above.


    HOW THE PROPERTY TAXES ARE COLLECTED

    PROPERTY LISTED ON THE SECURED ROLL -Property taxes are collected by the county treasurer based on the tax bills sent out in July of each year.

    Each county treasurer mails to each property owner or to the mortgage holder an itemized tax bill. The itemization details the individual tax rate for each level of government that is supported by a property tax rate. Property taxes are due:

    August third Monday - first installment
    October first Monday - second installment
    January first Monday - third installment
    March first Monday - fourth installment


    EXEMPTIONS WHICH ARE AVAILABLE

    Tax exemptions are available to widows and orphans, veterans, disabled veterans and blind persons who meet certain requirements. These exemptions can be applied to real or personal property or the vehicle privilege tax. The dollar exemption will vary depending on the taxing district.

    The "Senior Citizen Tax Assistance/Rental Rebate" program is available to all persons 62 years of age or older whose annual household income is less than $19, 100. This is a tax rebate program based on a combination of age, taxes/or rents and income.

    All exemptions require a six-month residency that must be documented. If you are eligible, an exemption form will be mailed to you each year.

    Special exclusions are provided for pollution control, radioactive fallout shelters, renewable resource heating and cooling systems and residential construction to remove certain barriers for disabled persons.

    The County Assessor's office will provide the specific requirements and necessary forms to apply for an exemption.


    NOTIFICATION OF ASSESSMENT

    Between the middle and end of December, the county assessor will mail each property owner a "Notice of Assessment". In addition, the complete list of real property in the county will be published in a newspaper on or before the first day of January. The assessor may also reopen the assessment roll to specific changes to properties that occur before the upcoming July 1.

    The mortgage holder is required to mail the itemized bill to each property owner. If you receive the tax bill you are required to send it to the mortgage company so they can pay the taxes from your impound account. Property owners who have no mortgage will be mailed the bill and are responsible for seeing the payments are made on time.

    PROPERTY LISTED ON THE UNSECURED (SUPPLEMENTAL) ROLL - The Assessor collects the taxes for property assessed on the unsecured roll. The taxes are calculated in the same manner as are the taxes for property assessed on the secured roll, but they must be paid within 30 days after demand.

    For mobile homes on the unsecured roll, if the tax bill is greater than $100, it may be paid in four installments.


    HOW TO QUESTION AN ASSESSMENT

    Unless the value is contested by January 15 for the secured roll, the "Notice of Assessment" will be the basis upon which your property tax for the next fiscal year is determined.

    If, in your opinion, the assessed value of your property shown on the notice seems excessive, or you have any questions call or go to your county assessor's office immediately and speak with an appraiser. More often than not your question or problem can be taken care of at that level.

    If you are unable to resolve your problem you can appeal to the County Board of Equalization to adjust your property's assessed value.

    Please Note:

    THE ROLE OF THE ASSESSOR CONCERNS PROPERTY VALUATIONS ... NOT PROPERTY TAX RATES. QUESTIONS CONCERNING YOUR TAX RATES OR TAXES SHOULD BE DIRECTED TO YOUR LOCALLY ELECTED OFFICIALS.

    The county assessor will, upon the request of the property owner furnish, within 15 days, a copy of the most recent appraisal of the property. The assessor is allowed to charge a reasonable fee for copying the information.


    HOW TO APPEAL BEFORE THE COUNTY BOARD OF EQUALIZATION

    The Nevada Revised Statutes govern the procedures for filing an appeal before the County and State Boards of Equalization. The time frames for filing and hearing the appeals, the requirements for the information that must be contained in the appeals and the Boards' authority to change valuations are statutory requirements. The Boards of Equalization can only consider issues of valuation (assessments) not tax rates or taxes. Further, the Boards cannot reduce the valuation of your property because of a financial hardship.

    To obtain a copy of the appeal form (petition):

    • Contact your county assessor's office.

    • If there is more than one parcel and they are not contiguous or if they are under different ownership you will need to obtain and file a separate appeal for each parcel.

    Appeals must be filed no later than January 15 with the county assessor's office.

    Hearings before the County Boards of Equalization will be scheduled as necessary but will be concluded on or before February 28.

    You will be notified in writing of your hearing date and time at least ten (10) days prior to the hearing.

    Hearings are conducted in accordance with Nevada's Open Meeting Law and the Nevada Administrative Procedures Act.

    It is not necessary to be represented by an attorney or an accountant before the board.


    HOW TO PREPARE AND PRESENT AN APPEAL TO THE COUNTY BOARD

    Complete all the information on the appeal form including the owner's opinion of market value. Incomplete appeal forms will be returned to the taxpayer.

    If you want to change the taxable value, you must provide evidence that proves the market value of the property is less than the taxable value of the total property, or that the classification or purpose for which the property is used was not considered by the assessor.

    You must document the evidence of overvaluation. The documentation may either be entered on the face of the appeal form or attached.

    The burden of proof is on you to show that the valuation is not at taxable value and that the taxable value exceeds full cash value. It is not sufficient to say the assessor's value is incorrect. You must state the correct value and present evidence to support the value you claim.

    Proof may consist of evidence that:

    1. Recent sales of similar properties in the vicinity are less than the taxable value of your property.

    2. Adverse factors affecting the value have not been considered in determining the taxable value.

    3. The fair economic income expectancy of the property does not justify the valuation.

    4. An error has been made in computing the taxable value.

    5. Any combination of the above.

    NOTE:
    Current costs of construction do not substantiate the taxable value. (Note: If you do your own construction, the cost of construction will be based on industry standards, not your costs.)

    If you have any questions about filling out the appeal contact your county assessor's office for assistance.

    If you present an appraisal to back up your claim, the appraisal must have been conducted by a certified Nevada appraiser.

    If you hire an attorney to represent you the attorney must be licensed to practice before the highest court of any state of the United States (NAC 361.698).

    The County Boards may set time limits for appeals and may limit redundant or irrelevant testimony. Consideration will be given to the fact that complex appeals may require more time to establish a record to permit further appeals.

    If you wish to have a verbatim transcript of the hearing you must provide and pay for a court reporter. A copy of the transcript must be provided to the county clerk.


    HOW TO PRESENT TESTIMONY AND EVIDENCE (COUNTY BOARD)

    1. The deputy district attorney or the county clerk will administer the oath to the witnesses who are to appear.

    2.The assessor will make a brief presentation for the sole purpose of identifying the property in question, the general neighborhood or area in which the property is located and any other information necessary to orient and familiarize members of the County Board with your property.

    3.You or your representative presents the reasons and evidence to establish that the market value of the property is less than the taxable value computed for your property as shown on the "Notice of Value".

    4.The assessor will present evidence supporting the assessor's opinion of the taxable value of the property and rebuttal evidence.

    5.You are allowed to rebut the evidence presented by the assessor.

    At the conclusion of the appeal, the County Board may deliberate and consider the matter immediately or may defer the time for decision until other appeals have been completed.

    If you are not given a decision at the time of hearing you shall be notified in writing of the Board's decision no later than ten (10) days after the decision has been rendered. You will also be notified of the procedure for appealing to the State Board of Equalization.


    IF YOU DISAGREE WITH THE COUNTY BOARD'S DECISION

    If you are not satisfied with the decision reached by the County Board of Equalization you may file a "Petition for Review of Assessed Valuation" with the State Board of Equalization at:

    State Board of Equalization Capitol Complex
    Carson City, NV. 89710

    Please note that the State Board is limited to reviewing the record (facts and evidence) established by the County Board.... unless it can be proven, to the satisfaction of the State Board, that new evidence was discovered, "which by due diligence could not have been discovered and presented to the County Board".

    The "Petition for Review of Assessed Valuation" may be obtained at the county hearing or from your county assessor's office.


    HOW TO APPEAL BEFORE THE STATE BOARD OF EQUALIZATION

    The following is general information about appeals to the State Board of Equalization:

    • You must file your appeal with the State Board of Equalization no later than March 10.

    • If you had a transcript made of your hearing before the County Board you are required to provide a copy of the transcript to the secretary of the State Board upon filing your appeal to the State Board. Remember that you are also required to provide one to the county clerk.

    • If you are presenting new evidence, it must be submitted in writing seven (7) days before your hearing to both the State Board and county assessor.

    • The State Board begins its hearings the fourth (4th) Monday in March for the purpose of hearing the appeals. It will hold as many hearings as necessary to complete its work.

    • You will receive reasonable notice of your hearing date.


    HOW TO PRESENT TESTIMONY AND EVIDENCE (STATE BOARD)

    1. The assessor will identify the property for the Board members.

    2. You or your representative will present the evidence to establish that the market value of your property is less than the taxable value established by the assessor. The evidence must be the same as the record established at the County Board of Equalization.

    3. The assessor will present the evidence to support his/her taxable value. This must be the same evidence as the record established at the County Board of Equalization.

    4. You are allowed to rebut the assessor's evidence.

    5. New evidence will only be considered if the Board determines that it could not be presented during the County Board hearings (due diligence).

    The State board may deliberate and consider the decision of the appeal immediately or may defer the time for the decision. All decisions will be in writing and served in person or by certified mail within 30 days after the date of the decision.

    If your appeal is denied by the State Board of Equalization you may commence a suit in any court of competent jurisdiction in the State of Nevada against the state and county in which the taxes were paid.


    WHO TO CONTACT IF YOU HAVE QUESTIONS

    Questions About:

    Your appraisal, assessment or exemptions -

    COUNTY ASSESSOR'S OFFICE

    The payment of your taxes -

    COUNTY TREASURER'S OFFICE

    Your tax rate -

    COUNTY COMMISSIONERS


    A publication of the

    NEVADA TAXPAYERS ASSOCIATION
    310 North Stewart Street Carson City, Nevada 89701
    (702) 882-2697
    FAX (702) 882-8938

    AND

    2303 East Sahara Avenue, Suite 203 Las Vegas, Nevada 89104 (702) 457-8442
    FAX (702) 457-6361
    FALL 1993


     


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    Site Last Updated 09/2000