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Anoka County
<br />City of Lino Lakes
<br />How your tax amount changes from year to year is influenced more by statutory changes to the tax
<br />structure, and revenues needed by your local taxing authorities (including school districts). If we were
<br />to reduce all values by 50%, the resulting tax amounts would not be decreased by 50%; the tax rates
<br />would be increased to generate the same amount of tax revenue. The following example illustrates that
<br />basic concept.
<br />2014 Assessment 2015 Assessment
<br />Tax Payable 2015 Tax Payable 2016
<br />Property
<br />EMV
<br />A
<br />B
<br />C
<br />D
<br />E
<br />$375,000
<br />$120,000
<br />$150,000
<br />$400,000
<br />$250,000
<br />Total Tax Base
<br />$1,295,000
<br />Property
<br />EMV
<br />A
<br />B
<br />C
<br />D
<br />E
<br />$187,500
<br />$60,000
<br />$75,000
<br />$200,000
<br />$125,000
<br />Total Tax Base
<br />$647,500
<br />Overall
<br />Change In
<br />EMV
<br />-$187,500
<br />-$60,000
<br />-$75,000
<br />-$200,000
<br />-$125,000
<br />-$647,500
<br />2015 Tax Rate Calculation
<br />2016 Tax Rate Calculation
<br />Revenue Needed
<br />Divided by Total Tax
<br />Base
<br />Equals Tax Rate
<br />$10,000
<br />$1,295,000
<br />0.0077
<br />Revenue Needed
<br />Divided by Total Tax
<br />Base $647,500
<br />Equals Tax Rate 0.0154
<br />$10,000
<br />DECLINING
<br />VALUES REDUCE
<br />THE TOTAL TAX
<br />RASE
<br />A REDUCED TOTAL TAX
<br />BASE REQUIRES A HIGHER
<br />TAX RATE TO GENERATE
<br />THE SAME REVENUE
<br />Resulting 2015 Tax Calculations Resulting 2016 Tax Calculations
<br />Property
<br />A
<br />B
<br />C
<br />D
<br />E
<br />Tax Amount
<br />$2,896
<br />$927
<br />$1,158
<br />$3,089
<br />$1,931
<br />Total Tax Generated
<br />Property
<br />A
<br />B
<br />C
<br />D
<br />E
<br />Tax Amount
<br />$2,896
<br />$927
<br />$1,158
<br />$3,089
<br />$1,931
<br />$10,000 Total Tax Generated
<br />Overall
<br />Change In
<br />Tax Amount
<br />$0
<br />$0
<br />$0
<br />$0
<br />$0
<br />$10,000 $0
<br />INDIVIDUAL
<br />TAX
<br />AMOUNTS
<br />REMAIN
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<br />Adhering to the same timeframes and working within the parameters of the law ensures that everyone
<br />is being treated fairly. If assessors were to choose to work outside of those timeframes, the end result
<br />would be inequity between taxing jurisdictions. Here is an example of the impact at the local level:
<br />The assessment sales period for Anoka County is October 1, 2013 through September
<br />30, 2014, except for Lino Lakes, where the assessor decided to use January 1, 2014
<br />to December 31, 2014. Given the upward trend in market that began late in 2014, the
<br />2014 Lino Lakes assessments could conceivably be measurably higher than the rest
<br />of the county assessments. That in turn would not change the amount of county
<br />revenue generated by real estate tax. However, it would result in a shift in the tax
<br />burden, with Lino Lakes property owners paying more than their fair share than the rest
<br />of the County.
<br />So in conclusion, while it may seem arbitrary to have a set period to measure an assessment, it does
<br />create an environment whereby the assessments are uniform, fair, and equitable.
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