BILL NUMBER: AB 2450 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 25, 2016
AMENDED IN ASSEMBLY APRIL 12, 2016
INTRODUCED BY Assembly Member Achadjian
FEBRUARY 19, 2016
An act to amend Sections 480 and Section
5091 of the Revenue and Taxation Code, relating to property
tax.
LEGISLATIVE COUNSEL'S DIGEST
AB 2450, as amended, Achadjian. Property tax.
taxation: property acquired for public use: notice.
Existing property tax law, when there is a change in ownership of
real property, a manufactured home, or a floating home that is
subject to local property taxation, requires the transferee to file a
change in ownership statement, under penalty of perjury, in the
county where the real property, manufactured home, or floating home
is located. Existing property tax law requires the change in
ownership statement to include information relative to the real
property, manufactured home, or floating home acquisition
transaction, including, but not limited to, a description of the
property, the parties to the transaction, the date of acquisition,
the amount of the consideration paid for the property, and the terms
of the transaction.
This bill would additionally require the change in ownership
statement to include information regarding any enforceable
restrictions placed upon the property that the assessor is required
to consider, as specified.
By requiring additional information to be filed under penalty of
perjury, thereby expanding the crime of perjury, this bill would
impose a state-mandated local program.
The California Constitution exempts from property taxation
property that is owned by the state or, with certain exceptions, by
local governments. Existing property tax law establishes a procedure
by which a public entity may cancel property taxes on property that
it acquires. Under existing law, if a public entity proposes to
acquire property for public use that will make the property exempt
from taxation, the public entity is required to give notice to the
county tax collector and to other public entities whose taxes are not
collected by the county tax collector, as provided.
This bill would additionally require the public entity to give
notice to the county assessor.
By adding to the duties of local government officials with regard
to the cancellation of property taxes, this bill would impose a
state-mandated local program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that with regard to certain mandates no
reimbursement is required by this act for a specified reason.
With regard to any other mandates, this bill would provide that,
if the Commission on State Mandates determines that the bill contains
costs so mandated by the state, reimbursement for those costs shall
be made pursuant to the statutory provisions noted above.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 480 of the Revenue and
Taxation Code is amended to read:
480. (a) Whenever there occurs any change in ownership of real
property, a manufactured home, or a floating home that is subject to
local property taxation and is assessed by the county assessor, the
transferee shall file a signed change in ownership statement in the
county where the real property, manufactured home, or floating home
is located, as provided for in subdivision (c). In the case of a
change in ownership where the transferee is not locally assessed, no
change in ownership statement is required.
(b) The personal representative shall file a change in ownership
statement with the county recorder or assessor in each county in
which the decedent owned real property at the time of death that is
subject to probate proceedings. The statement shall be filed prior to
or at the time the inventory and appraisal is filed with the court
clerk. In all other cases in which an interest in real property is
transferred by reason of death, including a transfer through the
medium of a trust, the change in ownership statement or statements
shall be filed by the trustee (if the property was held in trust) or
the transferee with the county recorder or assessor in each county in
which the decedent owned an interest in real property within 150
days after the date of death.
(c) Except as provided in subdivision (d), the change in ownership
statement as required pursuant to subdivision (a) shall be declared
to be true under penalty of perjury and shall give that information
relative to the real property, manufactured home, or floating home
acquisition transaction as the board shall prescribe after
consultation with the California Assessors' Association. The
information shall include, but not be limited to, a description of
the property, the parties to the transaction, the date of
acquisition, the amount, if any, of the consideration paid for the
property, whether paid in money or otherwise, any enforceable
restrictions placed upon the property that the assessor is required
to consider pursuant to Section 402.1, and the terms of the
transaction. The change in ownership statement shall not include any
question that is not germane to the assessment function. The
statement shall contain a notice informing the transferee of the
property tax relief available under Section 69.5. The statement shall
contain a notice that is printed, with the title in at least
12-point boldface type and the body in at least 8-point boldface
type, in the following form:
"Important Notice"
"The law requires any transferee acquiring an interest in real
property, manufactured home, or floating home subject to local
property taxation, and that is assessed by the county assessor, to
file a change in ownership statement with the county recorder or
assessor. The change in ownership statement must be filed at the time
of recording or, if the transfer is not recorded, within 90 days of
the date of the change in ownership, except that where the change in
ownership has occurred by reason of death the statement shall be
filed within 150 days after the date of death or, if the estate is
probated, shall be filed at the time the inventory and appraisal is
filed. The failure to file a change in ownership statement within 90
days from the date a written request is mailed by the assessor
results in a penalty of either: (1) one hundred dollars ($100), or
(2) 10 percent of the taxes applicable to the new base year value
reflecting the change in ownership of the real property, manufactured
home, or floating home, whichever is greater, but not to exceed five
thousand dollars ($5,000) if the property is eligible for the
homeowners' exemption or twenty thousand dollars ($20,000) if the
property is not eligible for the homeowners' exemption if that
failure to file was not willful. This penalty will be added to the
assessment roll and shall be collected like any other delinquent
property taxes, and be subject to the same penalties for nonpayment."
(d) The change in ownership statement may be attached to or
accompany the deed or other document evidencing a change in ownership
filed for recording, in which case the notice, declaration under
penalty of perjury, and any information contained in the deed or
other transfer document otherwise required by subdivision (c) may be
omitted.
(e) If the document evidencing a change in ownership is recorded
in the county recorder's office, then the statement shall be filed
with the recorder at the time of recordation. However, the
recordation of the deed or other document evidencing a change in
ownership shall not be denied or delayed because of the failure to
file a change of ownership statement, or filing of an incomplete
statement, in accordance with this subdivision. If the document
evidencing a change in ownership is not recorded or is recorded
without the concurrent filing of a change in ownership statement,
then the statement shall be filed with the assessor no later than 90
days from the date the change in ownership occurs, except that where
the change in ownership has occurred by reason of death the statement
shall be filed within 150 days after the date of death or, if the
estate is probated, shall be filed at the time the inventory and
appraisal is filed.
(f) Whenever a change in ownership statement is filed with the
county recorder's office, the recorder shall transmit, as soon as
possible, the original statement or a true copy thereof to the
assessor along with a copy of every recorded document as required by
Section 255.7.
(g) (1) The change in ownership statement may be filed with the
assessor through the United States mail, properly addressed with the
postage prepaid.
(2) A change in ownership statement that is filed with the
assessor, as authorized by paragraph (1), shall be deemed filed on
either the date of the postmark affixed by the United States Postal
Service containing the statement or on the date certified by a bona
fide private courier service on the envelope containing the
statement.
(h) In the case of a corporation, the change in ownership
statement shall be signed either by an officer of the corporation or
an employee or agent who has been designated in writing by the board
of directors to sign those statements on behalf of the corporation.
In the case of a partnership, limited liability company, or other
legal entity, the statement shall be signed by an officer, partner,
manager, or an employee or agent who has been designated in writing
by the partnership, limited liability company, or legal entity.
(i) No person or entity acting for or on behalf of the parties to
a transfer of real property shall incur liability for the
consequences of assistance rendered to the transferee in preparation
of any change in ownership statement, and no action may be brought or
maintained against any person or entity as a result of that
assistance.
Nothing in this section shall create a duty, either directly or by
implication, that the assistance be rendered by any person or entity
acting for or on behalf of parties to a transfer of real property.
SEC. 2. SECTION 1. Section 5091 of
the Revenue and Taxation Code is amended to read:
5091. (a) If a public entity proposes to acquire property for a
public use that will make the property exempt from taxation, the
public entity shall give notice to the county assessor, the county
tax collector, and to any public entities whose taxes are not
collected by the county tax collector but who at the time exercise
the right of assessment and taxation.
(b) The notice shall be given within a reasonable time following
the initial budgeting of funds for the proposed acquisition, and
shall state all of the following:
(1) The approximate extent of the proposed project.
(2) The estimated time of completion of all acquisitions necessary
for the proposed project.
(c) This section creates no rights or liabilities and does not
affect the validity of any property acquisitions by negotiated
purchase or eminent domain.
SEC. 3. No reimbursement is required by this
act pursuant to Section 6 of Article XIII B of the California
Constitution for certain costs that may be incurred by a local agency
or school district because, in that regard, this act creates a new
crime or infraction, eliminates a crime or infraction, or changes the
penalty for a crime or infraction, within the meaning of Section
17556 of the Government Code, or changes the definition of a crime
within the meaning of Section 6 of Article XIII B of the California
Constitution.
However, if the Commission on State Mandates determines that this
act contains other costs mandated by the state, reimbursement to
local agencies and school districts for those costs shall be made
pursuant to Part 7 (commencing with Section 17500) of Division 4 of
Title 2 of the Government Code.
SEC. 2. If the Commission on State Mandates
determines that this act contains costs mandated by the state,
reimbursement to local agencies and school districts for those costs
shall be made pursuant to Part 7 (commencing with Section 17500) of
Division 4 of Title 2 of the Government Code.