The Added Assessment Law permits the valuation of real property which becomes taxable during the year after the regular assessment date (which is October 1st of the previous year).
There are two situations that typically trigger an added assessment:
- New structures, additions to existing structures, and improvements of existing structures are subject to the Added Assessment Law if they are completed after the statutory annual October 1st assessment date. A structure is “completed” when it is substantially ready for the purpose for which it was intended. The structure need not actually be in use; it is taxable when it is ready for use. If the assessed value after completion is greater than the assessed value before (as of October 1st of the previous year), an added assessment based on the difference must be made. Added assessments are effective as of the first day of the month following completion. The added assessment period will be pro-rated for the current year based on "completed" date. The full change of the added will be effective for the next tax year (unless the current year added is effective for 12 months).
- Real property which ceases to be exempt because of changes in use, ownership, nonprofit status or anything which alters the basis for exemption, may make the property subject to the Added Assessment Law.
- When you receive a building permit, expect visits from both the Tax Assessor and the Construction Code Official as their duties require.
- Home improvements (whether permitted or not) may be subject to added assessments.
In late summer of the current tax year, the Tax Assessor's office sends an added assessment notification letter to any property owner whose property will be subject to an added assessment. Please call or email the Tax Assessor's office to discuss the details of any added assessment you may be subject to or receive notice of.
If you disagree with the added assessment that is placed on your property, you can appeal to the Essex County Board of Taxation or State Tax Court by filing a petition prior to December 1st of the current tax year.