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HomeMy WebLinkAbout09-85MARCH 24, 2009 09 -85 RESOLUTION (CARRIED 5 -0 LOST LAID OVER WITHDRAWN ) PURPOSE: RESCIND PERSONAL PROPERTY TAXES INITIATED BY: ADMINISTRATION WHEREAS, the below noted business filed a claim for recovery of unlawful taxes with the City of Oshkosh, WHEREAS, the City verified that the personal property was overvalued for this business for the current year, WHEREAS, the business paid the taxes, and WHEREAS, the same personal property taxes were assessed improperly, per Wisconsin State Statutes 74.33 (1) (e), and partial rescission of the tax due and refund is appropriate: 2nd Wind Exercise Equipment Inc. 2550 S Washburn Street Oshkosh, WI 54904 (Person Property ID 200235000) $554.97 NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of Oshkosh that the proper City Officials are hereby authorized and directed to rescind the sum of $554.97, and refund the same amount to the above noted business. BE IT FURTHER RESOLVED that the proper City Officials are authorized and directed to seek compensation from the other taxing entities per Wisconsin State Statutes 74.41. BE IT FURTHER RESOLVED that the City Clerk is hereby directed to inform the above noted business by certified mail of the partial allowance of the claim and the fact that the claimant has ninety (90) days from the date of service to appeal. Funds for this purpose are appropriated from: Account No. 100- 0908 - 6469 -00000 — Tax Refund Account City of Oshkosh Finance Department 215 Church Ave., PO Box 1130 Oshkosh, WI 54903 -1130 O.lHKQJ -I (920) 236 -5080 (920) 236 -5039 FAX ON THE WATER MEMORANDUM TO: Honorable Mayor and Members of the Common Council FROM: Peggy Steeno, Finance Director DATE: March 16, 2009 RE: Authorize Rescission of Personal Property Taxes . BACKGROUND Per Wisconsin State Statutes, the removal of Property Taxes needs to be authorized by the Common Council. Statues enumerate six specific conditions under which a rescission is appropriate / necessary. There is currently one business that has been incorrectly overcharged for 2008 personal property taxes, and, therefore, the amount overcharged needs to be rescinded and refunded. This business filed a claim against the City, and in reviewing the claim, the Assessor's staff found that a double taxation had occurred. ANALYSIS Below are the details and reason that this is being presented for rescission. In addition, the specific condition as outlined by State Statues is included: Personal Property 200235000 / 2 nd Wind Exercise Equipment Inc. / 2550 S Washburn Street - $554.97 — ( State Statute 74.33 (e) — There was a double assessment for personal property for this business) - The value of personal property increased from 2007 to 2008, and although the correct value for 2008 was entered, the value from 2007 was not removed as it should have been. The business did not notify the City before they paid the assessment; therefore, a refund is necessary. This was verified by the Assessor's Office. FISCAL IMPACT The impact of the above rescissions is short term only, since, in the year that the taxes are rescinded, the City notifies the Department of Revenue (DOR) of the rescissions, and the DOR adjusts the equalized value for the following year to account for the difference. These adjustments are built into the tax rate for all taxing authorities for the following year. RECOMMENDATION Staff recommends that Council authorize this resolution to rescind and refund the above noted taxes as outlined. Res ectfully Submitted, Peggy Steeno Finance Director Approved: Mark Rohloff City Manager