Property Tax Proceedings for Nonresidential Property

      Penalties for Providing false information for tax purposes. A county may require a nonresidential property owner to provide certain information to the assessor, the county board of equalization, or the board of county commissioners in connection with property valuation. Currently, there is no penalty consequence for a property owner's failure to provide this information or for misreporting information that is provided owner who provides information that is not true and accurate . For property tax years commencing on or after January 1, 2026, the bill imposes civil penalties for a nonresidential property owner's failure to provide information and for willfully providing false information makes it a petty offense for a property owner, in connection with nonresidential property, to willfully certify the truth and accuracy of the information provided when the information is not true and accurate. The bill also makes it a petty offense for a person to willfully aid or assist in filing information that is not true and accurate.

      Option to move an appeal to district court. Appeal of valuation. Currently, an appeal from a board of county commissioners' decision on an abatement petition may only be filed with the board of assessment appeals. In addition, currently an appeal from a county board of equalization's decision on a petition for appeal may be filed in either the district court or with the board of assessment appeals at the election of the taxpayer. For property tax years commencing on or after January 1, 2026, the bill allows a county or the board of assessment appeals to request to move or transfer a nonresidential property case that was filed with the board of assessment appeals to the district court when certain criteria are satisfied. The bill does not alter the de novo nature of a nonresidential appeal, but specifies that when weighing evidence and assessing credibility, the board of assessment appeals or district court shall consider changes in the valuation information submitted by a petitioner to the county assessor, county board of equalization, or board of county commissioners regarding the property at issue. to file a motion with the board of assessment appeals noting the county's preference that the case be heard in district court and allows the petitioner to elect whether the case will be heard by the board of assessment appeals or the district court.

      Waiver of the right to interest during the tax appeal process. Currently, a county is required to pay penalty interest at the rate of 1% per month for a total of 12% per year, on any refund of taxes. For property tax years commencing on or after January 1, 2026, if the district court or board of assessment appeals finds that a nonresidential property owner changed certain disclosed information, intentionally delayed the resolution process, or intentionally provided false information, committed a petty offense in connection with providing information for tax purposes, the property owner waives the right to interest earned on the tax refunded.

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)


(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)