Idaho Property Tax Reduction
Circuit Breaker Program
(This is not intended to provide comprehensive explanations of Idaho tax laws or rules. Specific questions should be addressed to the county assessor. Income and other requirements may change from year-to-year.)
Apply Between Jan. 1 and April 15 For The Current Tax Year
What Is The Property Tax Reduction Program?
The Property Tax Reduction Program (Circuit Breaker) reduces property taxes for qualified applicants. The amount of reduction is based on total household income for the previous calendar year. If you qualify, the property taxes on your home and up to one acre of land may be reduced. Solid waste, irrigation or other fees charged in some counties cannot be reduced by Property Tax Reduction benefits.
You may qualify for property tax reduction if you meet certain requirements. You must have owned and lived in a house or manufactured home in Idaho that was your primary residence. (You may qualify if you lived in a care facility or nursing home. Contact the county assessor for information.)
You must meet certain income requirements after deducting:
Medical expenses not reimbursed by Medicare or other insurance
Business or farm losses
Capital gains; and
You must be eligible in one or more categories, including:
Age 65 or older
Widow(er) of any age
Fatherless or motherless child, under 18 years of age
Former prisoner of war/hostage
Veteran with at least 10 percent service-connected disability, or receiving VA pension for a non-service-connected disability
Disabled as recognized by the Social Security Administration, Railroad Retirement Board or Federal Civil Service.
How To Apply...
Contact your county assessor. The Madison County Assessor's Office is located in the Administration Building on Main Street in Rexburg.
Complete an application. If you need help, the assessor's staff will assist you.
You can apply for property tax reduction between January 1 and April 15 yearly. To receive this benefit, you must apply and qualify each year. It is not renewed automatically.
You will be required to show proof of your income, medical expenses and any disability when you file your application.
If your application is approved, your property tax reduction will appear on the tax notice sent in November.
You must provide the assessor's office with documents to show your income and expenses. (Bring original documents or copies if you apply in person; send copies if you mail your application.)
When you complete your application, you must report all household income received by:
Yourself and your spouse.
For more information, contact:
Your county assessor, 356-3071 or
Idaho State Tax Commission (208-334-7736 or toll-free from Idaho, Oregon, Utah and Washington, 1-800-972-7660
Hearing impaired: TDD 1-800-377-3529
MADISON COUNTY ASSESSOR
134 E Main
Rexburg, ID 83440
(208) 359-6200 Option 3 Fax (208) 359-0856
The main duties of the County Assessor as defined by Idaho Code are as follows:
• Identify taxable property and assign market value to each.
• Act as an agent of the Idaho Transportation Department in titling and registration of motor vehicles.
Assessor Shawn Boice.
All properties are to be assessed at market value each year, with a physical inspection once every five years. Exemptions apply to certain properties with some being fully exempt from property taxation.
Three approaches to value are used in the assessment process:
• Cost approach - Using current construction costs
• Income approach - Where net income is capitalized
• Market approach - By comparing sales of like properties
All three approaches to value are used, if applicable, to assign value to the various types of property in the county.
The Idaho State Tax Commission conducts an annual review of the assessed values by performing a ratio study. The ratio study measures:
• Assessment level - Assessed value over sale price
• Uniformity - Equity of assessments
• Reliability - Confidence that assessed values are representative of the market.
Assessed values should reside between 90-110% of the market comparisons.
There are three main tax rolls each year –
1. Main roll
2. Subsequent roll
3. Missed roll
These are used to equitably spread out the tax burden. Occupancy rolls are also compiled to add new construction values to the tax base.
After each roll is compiled, assessment notices are mailed to property owners. Appeals to the assessed values start with the assessor’s office to correct mistakes, next to the Board of Equalization (County Commissioners), then to the State Board of Tax Appeals or on to District Court to resolve value appeals.
Assessment notices are provided to property owners, and are mailed by the Assessor’s Office following each tax roll. The Assessor urges you to review assessment notices carefully, and contact the office if you have any questions. If you have factual information showing that your property was assessed incorrectly, you should call or come to the office to discuss it. The Assessor can make changes to values until the property rolls are completed and delivered to the county auditor. The taxpayer may still appeal the assessor’s value to the “Board of Equalization”; however, an appointment is required to meet with the board. Appointments can be made at the County Clerk’s office.
Idaho Property Tax Reduction
Understanding your Assessed Value
The Assessor is required by state law to place current market value on all taxable property each year.This value is determined by an appraisal process, which includes analyzing construction costs, reviewing recent sales data, and may require a personal visit to the property.The sales information is gathered from the multiple listing service, property owners, realtors, builders, developers and independent appraisers.
Discussing your Assessed Value with the Deputy Assessor (Appraiser)
If you feel that your assessed value is higher than what your property would probably sell for on the open market, then we encourage you to submit market information to support your position.The appraiser assigned to assess your property will consider any evidence you wish to submit.Typical market information comes in the form of a realtor’s comparative market analysis, copies of independent appraisals done for sales or refinance, repair estimates or any other pertinent data.Many property owners submit additional market information during the appeal process, and often values are adjusted to reflect the new evidence.
Board of Equalization (Filing the Appeal)
If you are not satisfied with the final assessment of value, it is your right as a proerty owner to file an appeal with the Madison County Board of Equalization.The appeal will only address the market value of your property.An appeal to the Board is not a forum to protest property taxes.
A copy of your Assessment Notice must accompany your application. Please return the completed appeal form to the Madison County Clerk’s Office, 134 E Main St, Rexburg, ID83440.You may also submit your form via facsimile or U.S. mail, please not both.Completed forms must be filed on or before the 4thMonday of June at 5:00 p.m.
There is a place on the appeal form to list a contact person.It is very important that we know the correct name, address and phone number of the property owner of the property owner’s representative so that we may contact them, if necessary.
Presenting your Appeal To the Board of Equalization
In a challenge to the assessor’s valuation of property, the value of the property for purposes of taxation as determined by the assessor is presumed to be correct; the burden of proof is upon the taxpayer to show that they are entitled to the relief claimed.
Please bring to the hearing five (5) copies of all records and/or evidence that you wish to submit in support of your appeal.(One for each Board Member, one for the Assessor, one for yourself)
In short, you must prove that the assessed value is not market value through a factual or legal reason.In presenting your appeal, the best evidence is typically sales data from the marketplace, written analysis from a realtor or other professional source.State your appeal objectively and factually.
The Board of Equalization will give your case due consideration based on your evidence.