The new tax rate, however, is determined by Council, Adams said. If a property has increased in value by a rate greater than the tax base at large, that property is likely to see a tax increase, albeit one that has been exacted by marked conditions, not by Council.” “Reassessment can, and does, affect different properties differently. Some properties will rise in value at faster rates than others,” he said. In a reassessment, the tax assessor, under the direction of the South Carolina Department of Revenue, attempts to value properties for tax purposes as close as possible to market value. “Reassessment is something over which Council has no control. In other words, levying with same intensity on a tax base that has increased in assessed value represents a reassessment-adjusted tax rate increase,” Adams said.Īdams also addressed reassessment and the tax rate, which he said are interrelated, but are not the same thing. Instead this would represent a tax increase of 3.3 mills (125.5 minus 122.2). “By the same reasoning, for example, keeping the tax rate constant at 125.5 mills next year would not be a case of ‘holding the line’ on taxes. Given the anticipated increase in the value of the tax base due to reassessment, only 122.2 mills would be required to produce the same revenue as for the prior year. Newberry County will implement a reassessment in the coming fall when the next tax bills are issued.” “By law, South Carolina counties must calculate a rollback millage for any year in which a reassessment is implemented. “This is because the tax base post-reassessment has a higher total assessed value and therefore requires less intensive taxation, meaning a lower number of mills, to generate the same amount of revenue,” Adams said. The rollback millage (122.2 mills) - not the prior year’s millage of 125.5 mills - is the level of taxation to which any increase or decrease in the levy for the new fiscal year must be compared, said County Administrator Wayne Adams. The proposed amendments, which will be discussed at the third reading of the budget and were not approved Monday, represent a 1.6 mill increase over a rollback of 122.2 mills, which equals a 1.3 percent increase on the reassessment adjusted tax rate. NEWBERRY - Newberry County Council met Monday evening to discuss and propose various amendments to the Fiscal Year 2019-2020 budget.
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