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  #5  
Old 08-28-2005, 09:39 AM
AES
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Default Re: California Property Taxes, Upgrades

"A.G. Kalman" <glendale202-taxes[at]yahoo.com> wrote:
- quote -

> rick++ wrote:

> > I used to see a perverse type of remodelling in San Mateo
> > County which was basically a scrape-off with one room left
> > standing. The square footage was the preserved, but 95%
> > new. I recall these were to avoid reassessment. I havent
> > lived there in a while, so I dont know if they are still
> > allowed.


> Not to avoid reassessment! To avoid the county fee for new
> home construction.


And maybe to try to avoid certain zoning and code
restrictions as well.

The technique is certain still practiced on occasion.

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2005) - All rights reserved. > << ================================================== ===== >
  #4  
Old 08-25-2005, 11:22 AM
A.G. Kalman
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Default Re: California Property Taxes, Upgrades

rick++ wrote:

- quote -

> I used to see a perverse type of remodelling in San Mateo
> County which was basically a scrape-off with one room left
> standing. The square footage was the preserved, but 95%
> new. I recall these were to avoid reassessment. I havent
> lived there in a while, so I dont know if they are still
> allowed.


Not to avoid reassessment! To avoid the county fee for new
home construction.

--
Alan
http://taxtopics.net

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2005) - All rights reserved. > << ================================================== ===== >
  #3  
Old 08-23-2005, 04:52 AM
rick++
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Default Re: California Property Taxes, Upgrades

I used to see a perverse type of remodelling in San Mateo
County which was basically a scrape-off with one room left
standing. The square footage was the preserved, but 95%
new. I recall these were to avoid reassessment. I havent
lived there in a while, so I dont know if they are still
allowed.

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2005) - All rights reserved. > << ================================================== ===== >
  #2  
Old 08-17-2005, 03:31 PM
Robert Daniels
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Default Re: California Property Taxes, Upgrades

"ct kid" <dfc[at]hotmail.com> wrote:

- quote -

> I bought a San Jose CA property in 2004, as an investment.
> It has definitely appreciated since then. I have had prior
> renters occupying the place since my purchase. I intend to
> make significant renovations, prior to taking personal
> occupancy.
> My question: Will my renovations trigger a completely new
> property tax assessment, or a new incremental tax basis
> based just upon the value added by my upgrades.


The latter -- just the value added by the upgrade.
California Revenue & Tax Code Section 71 says: " The
assessor shall determine the new base year value for the
portion of any taxable real property which has been newly
constructed. The base year value of the remainder of the
property assessed, which did not undergo new construction,
shall not be changed." See also Board of Equalization Rule
463: "The taxable value on the total property shall be
determined by adding the full value of new construction to
the taxable value of preexisting property reduced to account
for the taxable value of property removed during
construction. The full value of new construction is only
that value resulting from the new construction and does not
include value increases not associated with the new
construction."

It's enforced thru copying the assessor's office in on newly
issued building permits. (RTC Sec. 72) There are exceptions
for "active" solar energy, fire sprinkler installation,
disabled access improvements, etc.

Bob Daniels ("Legal advice isn't free. Free advice isn't legal.")

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2005) - All rights reserved. > << ================================================== ===== >
  #1  
Old 08-17-2005, 03:31 PM
Hank Murphy
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Default Re: California Property Taxes, Upgrades

I don't know about Santa Clara County, but the rule in Los
Angeles the last time I checked was that you didn't trigger
a re-assessment for an addition less than 50 percent of the
existing unit space.

Are you getting building permits for this work? Or is it
all non-permit, e.g. replacing existing carpet, kitchen and
bathroom appliances and fixtures, new paint? Usually the
permit application is what triggers the re-assessment...or
disgruntled neighbors.

Not enough information in your post to say for sure, and not
enough knowledge on my part to answer definitively anyway.

Hank Murphy
speaking only for myself

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2005) - All rights reserved. > << ================================================== ===== >
 
Old 08-17-2005, 03:12 PM
AES
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Posts: n/a
Default Re: California Property Taxes, Upgrades

dfc[at]hotmail.com (ct kid) wrote:

- quote -

> I bought a San Jose CA property in 2004, as an investment.
> It has definitely appreciated since then. I have had prior
> renters occupying the place since my purchase. I intend to
> make significant renovations, prior to taking personal
> occupancy.
> My question: Will my renovations trigger a completely new
> property tax assessment, or a new incremental tax basis
> based just upon the value added by my upgrades.


My experience with half a dozen remodels and additions to my
Santa Clara County personal residence over the past decade
is that:

(a) There's about a 50/50 chance that taking out a building
permit for improvements will trigger a reassessment some
months after the final inspection on the job (may depend on
how efficient and/or overloaded they are in the Assessors
Office).

(b) The reassessment seems to be based much more on the
increase in square footage than the actual cost of the job.

(c) None of this seems to trigger any change in the Prop 13
status of the property, if that's a concern.

But (i) I'm not an attorney, and (ii) this is for a
continuously occupied personal residence; no idea what might
happen in an business situation or business-to-residence
conversion.

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2005) - All rights reserved. > << ================================================== ===== >
  #-1  
Old 08-17-2005, 12:37 AM
ct kid
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Posts: n/a
Default California Property Taxes, Upgrades

I bought a San Jose CA property in 2004, as an investment.
It has definitely appreciated since then. I have had prior
renters occupying the place since my purchase. I intend to
make significant renovations, prior to taking personal
occupancy.

My question: Will my renovations trigger a completely new
property tax assessment, or a new incremental tax basis
based just upon the value added by my upgrades.

Thanx

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2005) - All rights reserved. > << ================================================== ===== >
 

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california, property, taxes, upgrades
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