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Bill > A1314


NJ A1314

NJ A1314
Requires municipality to return to taxpayer property taxes paid in error due to assessor's or owner's mistake.


summary

Introduced
01/11/2022
In Committee
03/17/2022
Crossed Over
Passed
Dead
01/08/2024

Introduced Session

2022-2023 Regular Session

Bill Summary

This bill would require a municipality to issue a property tax refund to a property owner who overpays his or her property taxes. The New Jersey Statutes currently permit, but do not require, a municipality to make such a refund to a property taxpayer under these circumstances. This amendment is necessary to revise the statute to reflect the New Jersey Tax Court's decision in Hanover Floral v. East Hanover Twp., 30 N.J. Tax 181 (Tax 2017), which required Hanover Township to refund excess property taxes paid by Hanover Floral as the result of an error made by the municipal tax assessor. The Tax Court limited the amount of the refund due to Hanover Floral to the excess taxes paid in the tax year in which Hanover Floral filed its complaint, and the three years prior. The bill also limits the amount of the refund to the amount of excess taxes paid in the tax year in which the governing body has been notified by the taxpayer of the error, and the three tax years immediately prior.

AI Summary

This bill requires a municipality to issue a property tax refund to a property owner who overpays their property taxes due to an assessor's or the owner's mistake. The existing New Jersey statute permits, but does not require, such a refund. The bill also limits the amount of the refund to the excess taxes paid in the tax year in which the taxpayer notified the municipality of the error, and the three tax years immediately prior. This amendment is necessary to reflect a New Jersey Tax Court decision that required a municipality to refund excess property taxes paid due to an assessor's error, with the refund limited to the excess taxes paid in the year the complaint was filed and the three preceding years.

Committee Categories

Budget and Finance, Government Affairs

Sponsors (3)

Last Action

Reported and Referred to Assembly Appropriations Committee (on 03/17/2022)

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