Bill > H2586

This bill amends Massachusetts General Laws Chapter 183A, Section 14, which deals with property tax assessments for condominiums, to clarify how certain common areas and facilities are taxed. Specifically, it states that if a declarant (the person or entity developing the condominium) reserves the right in the master deed to add or remove real estate from the common areas, that reserved right will be separately assessed and taxed to the declarant. The tax lien will attach to this reserved right, not the common areas themselves. If this reserved right expires or is extinguished, any taxes previously assessed to the declarant for that right will then attach to any condominium units created after the right was assessed, but not to units that already had their property taxes assessed separately in the same fiscal year. Importantly, no reserved right will be taxed after it expires, unless it is extended, revived, or granted by the organization of unit owners (the association of condominium owners) and this extension is officially recorded. This act is set to take effect on January 1, 2016.