Evaluation of Property Tax Appeal Findings

Originally posted 2008-12-30 09:47:38. Republished by Blog Post Promoter

The objective of the series of videos that follows in the next couple of days is an evaluation of the the findings of property tax appellate court.  This evaluation is not a guarantee that you will be successful with your appeal for an assessment in your property taxes, but it does arm you with the tools needed to possibly becoming successful in your quest to get your property taxes adjusted in your favor.

For your convenience, below you will find the links to the property tax reviews that we will be evaluating:

• Appeal Review 1

http://www.ingov/ibtr/files/JackRipley.pdf

• Appeal Review 2

http://www.in.gov/ibtr/files/DavidandPatriciaSullivan.pdf

The Appeal Process has time ranges and time limits which also will be part of the video series of discuss.  Please find the link to that information below:

http://www.in.gov/ibtr/files/AppealsProcess

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Protecting Your Investments – This article discusses the business entities that are available that are available for investors to protect their personal assets when buying and holding properties.

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Indiana Property Tax Appeal (Part 2) -Filing a property tax appeal can be difficult.  This article gives links to the forms needed to file the appeal and a video tutorial on filling the forms out.

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Tax Woes for Gary Indiana

Originally posted 2008-12-10 08:05:05. Republished by Blog Post Promoter

Gary, Hammond, East Chicago, and Whiting Indiana are cities that will have to make adjustments to business as usually, but these same cities especially, Gary want the state officials to believe it will take four years for the city to cope with 30 million in tax caps.

I find it curious that according to the petition to advisory board Gary is quoted as stating that “Gary faces fiscal devastation that will affect not only its residents but surrounding communities and the state as well.”

Wow, Gary is concerned about surrounding cities, but when this legislation was in the works Gary, Hammond, and East Chicago did not attend any meetings to discuss changes or cut the fat of city Government when recent governmental studies showed there was room for such a cut. 

In addition, the City goes on to stated that major components of the city will be effected negative to include its bus agency, sanitary and storm water districts and Gary/Chicago International Airport.

The City goes on to paint a picture of loom and doom by stating that 800 employees would have to be laid off and included in this layoff will be 250 policemen and firemen.  With the latter statement, the City is wanting a life line to be throw to the City that has misappropriated several million maybe even billions of dollars.  I say no.   

Elimination of police and firemen is not an option, but the three cities Gary, Hammond, East Chicago can look at combining the service.  This option would be more feasible.

Outsourcing trash pick up is another option. 

Closing the jail may be a viable option.

As for the Gary Sanitary District, this same Mayor just voted and implemented a 85% increase in Gary Sanitary costs to residents.  The 85% was not over a period of time but effected immediately, but with this increase there was no mention of improvement to the lift station on Grant Street that is obviously over limit on it movement of wastewater not was there was a mention of how to improve the excessive amount of flood that the City experiences when it is a drop of rain. 

Lastly, I think that the airport needs a plan to may it profitable.   Why hasn’t the official approach Chicago and talk about becoming the three airport for Chicago and develop train service right from the planes to Chicago via the South Shore.  There needs to be a study to determine if air riders would concern flying out of Gary.  Gary has to content with the reptition of the city.  An image change may be implemented before the airport can have a feasibility plan for being profitable. 

However, I find it curious that the very things that are not being provided well are the things that they claim will be lacking if they do not get the same funds.  I also find it curious that now there is a plan, but they need four years to implement. 

I say denied on the four years.  Gary, you have had over 20 years to figure this out.  I think that the citizens are tire of paying for misappropriation of funds.  It is time that the City’s feet be held to the fire.

Property Tax Appeal Review (Video 1 of Section 1)

Originally posted 2009-01-01 18:46:58. Republished by Blog Post Promoter

The objective of the series of videos that follows in the next couple of days is an evaluation of the the findings of property tax appellate court. This evaluation is not a guarantee that you will be successful with your appeal for an assessment in your property taxes, but it does arm you with the tools needed to possibly becoming successful in your quest to get your property taxes adjusted in your favor.

For your convenience, below you will find the links to the property tax reviews that we will be evaluating:

• Appeal Review 1

http://www.ingov/ibtr/files/JackRipley.pdf

• Appeal Review 2

http://www.in.gov/ibtr/files/DavidandPatriciaSullivan.pdf

The Appeal Process has time ranges and time limits which also will be part of the video series of discuss.  Please find the link to that information below:

http://www.in.gov/ibtr/files/AppealsProcess

The law that give jurisdiction power to the Appeal Board is below:

Public Law 198-2001

http://www.in.gov/legislative/iac/xml/old-ir/Vol24/10Jul/07NO050010226.pdf

Indiana Code 6-1.1-4-33

http://www.in.gov/legislative/ic/code/title6/ar1.1/ch4.html

Form 130 (Petition for Review of Assessment By Local Assessing Official – Property Tax Assessment Board of Appeals)

This form is used to petition for property tax appeal.

http://www.in.gov/icpr/webfile/formsdiv/21513.pdf

Form 139 L (Petition for Review of Department of Local Government Finance Action)

This form is used to get money back for excessive property taxes.

http://www.in.gov/icpr/webfile/formsdiv/51104.pdf

Real Estate Investor Related Articles

Protecting Your Investments – This article discusses the business entities that are available that are available for investors to protect their personal assets when buying and holding properties.

Property Tax Related Articles

Indiana Property Tax Appeal (Part 2) -Filing a property tax appeal can be difficult.  This article gives links to the forms needed to file the appeal and a video tutorial on filling the forms out.

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Your Debt Could be Forgiven?

Originally posted 2008-12-04 07:36:58. Republished by Blog Post Promoter

     On December 20, 2007, the Mortgage Forgiveness Act was enacted to exclude income gain or loss from mortgage modification and/or foreclosure of one’s primary residence.

    Normally, when there is debt forgiven by the lender on one’s primary residence it is reported as taxable income even if it is a loss.   This Act excludes cancelled debt for your primary residence.  Remember, this act is for one’s primary or principal residence only.

    This Act applies to debt forgiven for the years 2007, 2008,  and 2009.

The debt is still reported, but the homeowner would use Form 982.  The homeowner will receive Form 1099-C from the lender letting the homeowner know his or her debt was forgiven by the lender.  Armed with this document and under the provisions of Form 982, the homeowner may exclude the debt all together by providing proof of insolvency.

  Please consult your tax advisor and www.IRS.gov for more information.

No Relief From Property Taxes in Porter County, IN

Originally posted 2009-08-26 05:00:24. Republished by Blog Post Promoter

The news has come down from Indianapolis that there will be no adjustments to the assessed value due to trending. Trending is utilized by some states to account for property value increase or decrease.

It is unrealistic to think that a state that just converted to a market value assessment system could possible understand or have mastered the market value. It is equally unrealistic for a state to believe that trennding alone can account for the record drop in market value of all homes in Indiana and for that matter America.

Some areas’ values have dropped as much as 35 to 50 percent.

In addition, the market value assessment system is so new to the state that Porter county blames the new change and formula for their delaying in getting the assessment values completed.

It is time to take action citizens. File your appeals. Do not take this seating down.

Indiana Property Tax Cap Vote on Tuesday

The first step in giving  Indiana citizens the right to determine how much property taxes will be paid in the state begins on Tuesday.    The Indiana House of Representative is voting on a cap of one percent of the assessed value for homeowners, two percent of the assessed value for investors, and three percent of the assessed value for business owners.    This vote is essential because if approved it will go to the Indiana Senate, and then to the public for a vote in 2010 to make it a permanent change to the state constitution.

With the approval of this groundbreaking measure, the residents will final be able to make local cities, towns, and municipalities responsible for wreckless spending that has been going on for decades.  No longer will there be endless amount of money on the back of the citizens of the state.

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Real Estate Investor, Beware

Originally posted 2009-01-01 22:53:35. Republished by Blog Post Promoter

The IRS made changes to the tax that will affect 2007 tax returns if the investor claims a loss. In addition, just reporting a loss may cause your taxes to be audited.

The new law has to do with the real estate investor classification. The investor can be classified as a real estate professional. Under the new law, the investor qualifies as a professional, regardless if licensed real estate agent or broker by working at least 750 hours on real estate activities. The IRS considers real estate activities to be renting, leasing, converting, operating, developing, redeveloping, managing, constructing, and acquiring of real estate.

In addition, as a real estate investor you are limited on your deduction to your passive income in the amount of $25,000. That amount decreases as your passive income increases and tops $100,000. Still yet, the eligibility for the deduction disappears as your income goes over $150,000.

The reason this change came about was due to the increase in number of investors during the market “boom”.

The ramification of these modifications to the tax law hit the investor who works a full time W2 job the hardest. Remember, the losses can only be taken on passive income.

However, under that same law there are two classifications for passive losses. There is material participating passive loss and passive loss.

The material participating rule requires that the investor work on each property for 500 hours. The work can be any or all the qualifying activities listed above. The investor can also opt to combine all properties under one 500 hour block, but the election must be made at the beginning of the tax year.

Another tax law change is that in the designation of a limited partnership’s interest. The properties owned and/or held under this entity is no longer considered material participating, so are not eligible for the deduction if there is a loss.

It is important to note that no longer can research of potential properties that the investor is considering adding to his or her portfolio a valid passive activity.

Keeping accurate records is crucial. The investor needs to keep date, time, location, and activities and in some cases it may be helpful to have photos to show evidence.

The changes mention above came out in December of 2007 and are retroactive to 2007 and may be earlier tax returns. Have your accountant review your current and previous returns to make sure you are in compliance.

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Indiana Property Tax Appeal (Part 2)

Originally posted 2008-12-28 16:10:20. Republished by Blog Post Promoter

To get the forms needed for filing your property tax appeal visit
for Form 130 also called Form 11 CI www.in.gov/icpr/webfile/formsdiv/21513.pdf

For Form 11 RA visit http://www.in.gov/ibtr/files/DavidandPatriciaSullivan.pdf

For Form 113 visit http://www.in.gov/icpr/webfile/formsdiv/46725.pdf

Below is a video for filling out the form if your property is located in Porter or La Porte County:

If you need additional information or need the form, please email Serena at snorbrown@yahoo.com

Related Articles

Evaluation of Property Tax Appeal Findings

Property Tax Appeal Review (Video 1 of Section 1)

Indiana Property Tax Appeal

What is Assessed Value and How Does It Influence My Property Taxes

Outraged Over Property Taxes

Great News the End of High Property Taxes

Mortgage Fees Can Affect Your Affordability

Originally posted 2009-01-03 12:24:29. Republished by Blog Post Promoter

When choosing a mortgage company look at the fees you are being charged because that may affect your affordability of the loan at the beginning of the process.   Notice that the fees are different if you live in certain cities.   Below is the fee structure for Fifth Third Bank

 

Standard Fees	Conventional/Jumbo	FHA
 Funding Fee – PA, NJ, NY, MI, OH, IN, KY, WVA, N.KY, DE         Â	 $495.00	 $595.00
Funding Fee – IL, WI, MN, IA, SD, NE                     Â	 $520.00	 $650.00
  Funding Fee – NC, SC, GA, TN, VA, FL, AL, MS         Â	 $495.00	 $595.00
 Funding Fee – TX, MO, KS, AR, LA, CO, ID, OR, WA, NM, NV, WY, UT    *Funding fee is per the subject property’s state       Â	 $525.00	 $625.00
 Re-draw Fee   Â	 $150	 $150
 Rush Closing Request (When able to accommodate less than 48 hours Charlotte Fulfillment Chicago Fulfillment Cincinnati Fulfillment Grand Rapids Fulfillment   Â	 $100.00 $100.00 $100.00 $200.00 $100.00	 $100.00 $100.00 $100.00 $200.00 $100.00
Flood Certification               Â	 $4.00	 $4.00

 

Tax Service Fee is $72.00.  This fee is for the mortgage company to pay your taxes from your escrow account.  The taxes that is paid in your mortgage for the mortgage company to pay on your behalf sits in an interest bearing account until such time as when it is necessary to pay on your behalf.  However, the bank is charging for this when in fact they are getting paid on the money already.

The Mortgage Forgiveness Act Expires

The Mortgage Forgiveness Act expires on the eve of the worst housing crisis since the Great Depression.

If you was fortunate enough to sell your home last year, but needed to sell it with the lender getting less than what they were owned; you may be taxed on the deficiency.  The bill, President Bush signed that gave tax exemptions on the deficiency created from the short sale is now taxable unless Congress extends the bill.

There is still time to ensure that the debt is forgiven by the lender if your property is sold after January 1, 2007 and before January 1, 2013.   The home must be your primary residence and the debt that is forgiven is debt from the first loan.  A secondary or HELOC is not eligible.

The tax form that allow you to take advantage of debt forgiveness is Tax Form 982.  You have to prove that you are insoverign and unable to pay the debt back.

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