TAXMAN SHENANIGANS

How is your property tax bill determined? Your tax bill is determined by the Market Value of your home as appraised by the tax assessor, and a proportional tax rate number that is set by the State. In 2007 for example, the State set the rate at 49.5% of your homes Market Value. The “Market Value” of your home is supposed to be a fair and accurate appraisal of what your home is worth, based on the amount of what comparable homes are selling for in your area. If the Taxman under estimates the value of your home, than you will pay a tax bill that is smaller than what you should pay. On the other hand, if the Taxman over estimates the value of your home than you will pay more than your fair share.

We at Cornwall Taxpayers United wanted to see just how accurate our Eagle Eyed Tax Assessor was at determining the accuracy of your property value. We did this by looking at the “Full Market Value” that the assessor said homes were worth at the time that those homes sold and compared that number, to what the house actually sold for. Based on our analysis of properties that we examined, we found that old Eagle Eye Fiorentino has a 100% record of over-inflating the value of the homes that we examined. Why would the Taxman over inflate the value of your home, thereby causing you to pay a higher tax? Here is what one of the employees at the Tax Assessors office proffered in defense of over assessing:

“Well, once the budget is approved the money has to come from somewhere”.

Here are the properties that sold; what they actually sold for; and what the tax assessor said they were worth at the time of their sale: Mind you that the vast majority of our analysis does not pertain to the time when the market was in a downward cycle as it is today, but rather when the housing market was red hot. All data was obtained through public records at the Tax Assessors office:

• 102 Jessica Court sold in October of 2004 for $469,000. According to the Tax Assessor the Full market value at the time of sale was listed as $565,000. This means that the seller was being overtaxed by nearly $100,000 in excess market value that never existed prior to selling.
• 136 Harold Avenue sold in April of 2005 for $449,000. According to the Tax Assessor the Full Market value at the time of sale was listed as $528,700. This poor soul was being overtaxed by nearly $80,000 in extra market value that never existed prior to selling.
• 119 Russell Street sold in December of 2006 for $500,000. According to the Tax Assessor the Full Market Value at the time of sale was listed at $582,700. This means that this seller was being taxed on an extra $82,700 of market value that he never existed.
• 113 Filomina Drive sold in August of 2006 for $550,000; The assessors full market value of this house, $715,700. This poor, over-educated victim really got the shaft. He was overtaxed on more than $165,000 of market value that never existed.
• 127 Russell Street sold in July of 2005 for $465,000. The Assessors full market value of this house at the time of sale was $537,000. $72,000 dollars in over assessment and unjustified over taxation.
• 145 Harold Avenue sold in May of 2006 for $572,500. The Assessors full market value of this house at the time of sale was $653,400. Nearly $80,000 dollars in over assessment of market value that never existed.
• 143 Harold Avenue sold in July of 2005 for $555,000. The Assessors full market value of this house at the time of sale was $627,400. Over $70,000 dollars in over assessment and over taxation.
• 118 Russell Street sold for $557,000 in March of 2007. The assessors full market value of this house at the time of sale, $604,800. $47,800 in over assessment and over taxation based on a market value that never existed.

In fairness to Eagle Eye Fiorentino, we did learn through the Cornwall Local of one case in which the home owner enjoys a preferential tax rate in which his home is substantially undervalued relative to his neighbors on the right and to the left of him, by several hundreds of thousands of dollars. This home belongs to the head of the Board of Education and this gross under taxation was reported at length in the front pages of the Cornwall Local in 2007.

The teachers and the administrators know just how important it is for them, their friends and family members to go out and vote yes on the Budget and you can expect them to be out in full force. You should know however, that your staying at home and not voting on the budget means that you are content with the taxman shenanigans, which directly affect your household income, and you can rest assured that it will be business as usual if you don’t go out and vote.

On May 17, 2011 there will be a budget vote.

YOU MUST GO OUT AND VOTE “NO”
ON THE SCHOOL BUDGET VOTE