Baltimore County's property tax bills are based on real estate values. The State of Maryland tax assessors use past sales figures in determining property values. The County sets its tax rate. The tax bill is calculated on the value of the assessed property times the tax rate.
The County is happy with the system. Real estate values increase and the County's revenue increases. The "bad guys" are the State tax assessors.
State lawmakers, not wanting to take the blame for higher tax bills, created the tri-annual assessment. Properties are assessed every three years with increases phased in over a three year period.
The system works with increasing property values because the second and third year's tax bills have anticipated increases. However, with the current decrease in property values, taxpayers find themselves paying bills based on the prior assessment when values were higher.
Taxpayers deserve fairness.
The County can readjust the tax bills. There may be a short term decrease in revenues, but it will be recaptured when the real estate values revive.
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