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<br />ORANGE COUNTY <br />BOARD OF COMMISSIONERS <br /> <br />ACTION AGENDA ITEM ABSTRACT <br /> Meeting Date: January 24, 2017 <br /> Action Agenda <br /> Item No. 6-d <br /> <br />SUBJECT: Applications for Property Tax Exemption/Exclusion <br /> <br />DEPARTMENT: Tax Administration <br /> <br /> <br />ATTACHMENT(S): <br />Exempt Status Resolution <br />Spreadsheet <br />Requests for Exemption/Exclusion <br /> <br /> <br /> <br />INFORMATION CONTACT: <br />Dwane Brinson, Tax Administrator, <br />(919) 245-2726 <br /> <br /> <br /> <br /> <br /> <br />PURPOSE: To consider sixteen (16) untimely applications for exemption/exclusion from ad <br />valorem taxation for sixteen (16) bills for the 2016 tax year. <br /> <br />BACKGROUND: North Carolina General Statutes (NCGS) typically require applications for <br />exemption to be filed during the listing period, which is usually during the month of January. <br />Applications for Elderly/Disabled Exclusion, Circuit Breaker Tax Deferment and Disabled <br />Veteran Exclusion should be filed by June 1st of the tax year for which the benefit is requested. <br />NCGS 105-282.1(a1) does allow some discretion. Upon a showing of good cause by the <br />applicant for failure to make a timely application, an application for exemption or exclusion filed <br />after the close of the listing period may be approved by the Department of Revenue, the Board <br />of Equalization and Review, the Board of County Commissioners, or the governing body of a <br />municipality, as appropriate. An untimely application for exemption or exclusion approved under <br />this provision applies only to property taxes levied by the county or municipality in the calendar <br />year in which the untimely application is filed. <br /> <br />Eleven (11) of the applicants are applying for homestead exclusion based on NCGS 105-277.1, <br />which allows exclusion of the greater of $25,000 or 50% of the appraised value of the residence <br />plus the value of up to one acre of land. <br />One applicant is applying for exemption based on NCGS 105-278.3, which allows for an <br />exemption of a property that is and wholly owned by a congregation, parish, mission, or similar <br />local unit of a church or religious body, and is wholly and exclusively used for religious <br />purposes. <br /> <br />Two of the applicants are applying for exemption based on NCGS 105-273.(3a) and 105- <br />277.02, which is the Builder Property Tax Exemption. This exemption came into effect for taxes <br />imposed for taxable years beginning on or after July 1, 2016. Qualified builders must apply <br />annually, and certain real property that is held for sale may be classified for taxation at reduced <br />valuation. <br />1