Update from Atlanta closing attorneys, Neel & Robinson....
A new Georgia law requires the property tax assessors in each county to prepare and send out a new assessment on every property in the state, regardless of whether the property was bought or sold last year. The notices must also include an estimate of the 2011 tax bill.
Because of these new demands on the tax offices, the assessments will not be ready until May, 2011, or possibly even later.
The owner as of January 1st, 2011, will still get this new tax assessment, even if the property has been sold. Also, the owner as of January 1st, 2011, will be the only one legally authorized to appeal the 2011 assessments.
Some buyers are asking their sellers to give authorization or even power-of-attorney to them at closing, so that the new owners can appeal an undesirable assessment.
It is not clear whether the tax offices will allow the new owners to file the appeal, even if they have written authorization from the sellers. Keep in mind that the job of the tax office is to collect revenue.
If the closing involves a bank seller (REO- foreclosed property), there will be no re-proration of taxes when the actual bill comes out. Once an REO closing takes place, the bank seller has no more interest or responsibility for the tax bills, even for the current year.
However, other sellers are generally required by the contract and closing documents to adjust the tax pro-rations upon receipt of the actual bill. These sellers should have motivation to stay involved in the assessment and appeal process, because the savings would benefit all parties for the current year.
Leigh Clack, Partner and Managing Attorney
Neel & Robinson Attorneys at Law, LLC
22 Lenox Pointe, Atlanta, Georgia 30324
Office: 404-705-3690 Fax: 404-705-3697
Six convenient office locations: Buckhead, Sandy Springs, Alpharetta, Marietta, Duluth and Stockbridge
Comments(0)