My property taxes have been corrected based on the taxable value reported on my Schedule CR-5 and the actual local millage rate. I am claiming the total taxes billed on my property tax statement(s). Why were my property taxes reduced?
Check your property tax statements to be sure you are claiming the taxable value as indicated on your property tax statement(s). The entire taxable value for the agreement must be entered in Column B of the Schedule CR-5 even if you are eligible to claim only a portion of the property taxes because of joint ownership(s), partnership(s) or multiple shareholders.
You must also reduce for any special assessments (those not based on State equalized or taxable value), collection fees exceeding 1%, and/or penalty and interest for late payment. These fees may not be included in your total property taxes claimed.
Property taxes on land not eligible for either the Principle Residence Exemption (P.R.E.) or Qualified Agricultural exemption usually are not eligible for a farmland preservation tax credit. Verify whether your property tax statement(s) indicate a reduced exemption percentage. To compute the eligible property taxes when you have a reduced percentage, subtract the school operating tax and multiply the balance by the percentage of exemption allowed by the local taxing authority. Special assessments and/or penalty and interest must also be removed before multiplying by the exemption percentage.