There are two values stated on your tax statement. One is the real market value; the other is the assessed value. The real market value is what the Assessor believed your property would sell for if it sold on the open market on January 1. The assessed value is used to compute your taxes. The assessed value is the lower of the real market value or the maximum assessed value. The maximum assessed value was established by Measure 50, passed by voters in 1997. Maximum assessed value for the 1997-98 tax year (the first year the measure was implemented), was the 1995 -96 value less 10 percent. The maximum assessed value will grow by three percent each year provided it is lower than the real market value. There are no limitations on the rate that the real market value changes. It will rise and fall with the market.
If your property did not exist in 1997, the maximum assessed value was established by the use of a change property ratio. The purpose of this ratio is to bring the maximum assessed value of new or changed property to the same general assessment level as unchanged property. Prior to the recent economic downturn, and since the implementation of Measure 50, real market values have generally appreciated greater than the maximum assessed value. By and large, this has resulted in a gap between the maximum assessed value and real market value.
For example, in Marion County the January 1, 2011, approximate assessed value for all residential property was 84% of real market value. This gap in the values allows the assessed value to annually increase, even when the real market value decreases. This can result in an increase in taxes, even in times of declining markets. If the market drops to a point that the real market value of a property is less than its maximum assessed value, there may be a reduction in taxes.
Another factor to consider in the overall tax you pay is the tax rate. Generally speaking, the tax rate is applied to the assessed value to determine a property’s tax. The location of your property will determine what district rates make up your overall tax rate. The tax rates may go up or down from year to year depending on voter approved bonds and/or levies. It is conceivable that your taxes may increase even though your assessed value remains unchanged; or that the taxes may go up more than 3% when the assessed value increased 3%.
How is property valued?
The Assessor assigns a Real Market Value (RMV) to every property in the county. With the implementation of Measure 50, there is no longer a pre-established cycle for reappraisal. Statistical indicators from a variety of sources, including information derived from sales verifications, provide the basis for changes made to various market areas throughout the county. However, properties that have changed and new construction are appraised for the appropriate assessment year to reflect the changes.
For further information:Understanding the Valuation Process
What value do I pay taxes on?
Your taxes are calculated on the Assessed Value (AV) of your property. The AV is the lower of the RMV and the Maximum Assessed Value (MAV). MAV is the 1995-96 roll value less 10% for the 1997-98 tax year. This figure is limited to an annual 3% increase.
How are my taxes calculated?
Property taxes are based on a tax rate per $1000 of assessed value. The rate is comprised of several different taxing districts that vary depending on the location of your property. Each district has an individual tax rate and the consolidated tax rate combines the rates for the various taxing districts in that area.
Why do I have improvements on my tax statement when I have made none to my property?
Improvements are houses, garages, sheds, fences and other types of structures.
Why did I get two tax statements when I only have one piece of property?
Your property is in two different tax code areas and has been split for tax purposes only. Part of your property may be in a fire district, within city limits or even different school districts. A comparison of the two statements will show the different districts in which your property is located.
How do I change my mailing address?
Address changes may be made by contacting the Assessor’s office by e-mail, phone, fax, US mail, or in person. Please use the Change of Address form located in the forms section of the Assessors website.
Fax: 503-373-4369 Attn: Map Room
US Mail: Marion County Assessor
Attn: Map Room
PO Box 14500
Salem, OR 97309
In Person: 1115 Commercial St. NE Salem, OR 97301
You have the incorrect situs address on my account. How can I get it changed?
Contact the Map Room in the Assessor’s office at 503-588-5236 and someone will assist you.
How do I change ownership information on my property?
To make an ownership change in the tax assessment records requires documents relative to the situation. These instructions are for real property only, not a change on a Manufactured Structure account. If that is what you need to change, please contact them at (503) 588-5171.
Submitting the "Request for Change of Ownership" form located in the forms section of the Assessors website with the appropriate reason checked and the supporting documents should be all we need to make the change in our records. There is no charge for these types of changes. If you have more than one account please include all account numbers this change affects. The account number can be found in the upper right corner of your tax statement.
Note the options at the bottom of the form for providing us with the form and the supporting documents.
If you have any questions regarding your request, please call the Assessor’s Map Room counter at: (503) 588-5236 between the hours of 8:30 a.m. and 5:00 p.m. Anyone at that number should be able to assist you. Please visit the forms section of the Assessors website to obtain a copy of the form for a change of ownership.
What are exemptions?
Oregon laws provide for a variety of property tax exemptions for both qualifying individuals and certain organizations. Each type of exemption has specific qualifications.
Property tax exemptions are not automatic. Application for exemption must be made between January 1 and April 1 or April 15 of the year for which the exemption is being requested, depending on the type of exemption requested.
Who qualifies for a Veteran’s Exemption?
If you are a veteran with a 40% disability, or the surviving spouse of a veteran, you may qualify for this exemption. If you are a qualifying veteran or a surviving spouse and live in your home, you may apply for and receive the exemption. Application must be made no later than April 1 of the year for which the exemption is being requested. Some exceptions may apply to the April 1 filing date for recently certified veterans, recently widowed spouses of veterans and following the purchase of a new home.
For further information, please contact the Assessor’s office at 503-588-5144.
Who is a veteran?
“Veteran” means a person who (per ORS 408.225):
A. Served on active duty with the Armed Forces of the United States: i. For a period of more than 90 consecutive days beginning on or before January 31, 1955, and was discharged or released under honorable conditions; ii. For a period of more than 178 consecutive days beginning after January 31, 1955, and was discharged or released from active duty under honorable conditions; iii. For 178 days or less and was discharged or released from active duty under honorable conditions because of a service-connected disability; iv. For 178 days or less and was discharged or released from active duty under honorable conditions and has a disability rating from the United States Department of Veterans Affairs; or v. For at least one day in a combat zone and was discharged or released from active duty under honorable conditions; B. Received a combat or campaign ribbon or an expeditionary medal for service in the Armed Forces of the United States and was discharged or released from active duty under honorable conditions; or C. Is receiving a nonservice-connected pension from the United States Department of Veterans Affairs.
“Active Duty” does not include attendance at a school under military orders, except schooling incident to an active enlistment or a regular tour of duty, or normal military training as a reserve officer or a member of an organized reserve or a National Guard unit.
What is a property tax deferral?
The Oregon Legislature set up programs that allow qualifying property owners to delay paying property taxes on their residences, including manufactured homes, houseboats, multi-family, and income-producing properties.
If you qualify for one of the deferral programs, the state will pay your property taxes to the county, beginning with the tax year for which you apply and going forward. A lien will be placed on your property. You will be charged lien recording fees, which are deferred. Interest on the deferred taxes, at 6 percent compounded annually, is also deferred.
If you have prior year taxes owing at the time you are approved for the deferral program, you are still responsible for those taxes. Contact the assessor's office for more information.
What deferral programs may I apply for?
There are two deferral programs, one of which you may qualify for.
The disabled citizens’ deferral is for Oregon homeowners, under the age of 62, who are collecting federal Social Security benefits. The senior citizens’ deferral is for Oregon homeowners over the age of 62.
Either husband or wife may apply, or both may apply jointly.
Two or more people (other than a married couple) may apply for deferral as
You may apply for a deferral if you have a veteran’s exemption and still have
property taxes to pay.
You may be living away from the property due to medical reasons. In this case, you must send a medical statement to the Oregon Department of Revenue (DOR).
It must be on letterhead from your health care provider.
How do I qualify for either deferral program?
To qualify for either deferral program, your total household income must be less than $39,500 for income tax year 2010. Household income includes both taxable and non-taxable income, including Social Security and pensions. The income limit may change each year.
Your net worth limit is $500,000. Net worth is the total of the current market value for all of your assets minus any debts. It doesn't include the value of the home for which you're claiming property tax deferral, the cash value of your life insurance policies, or tangible personal property (vehicles, furniture, appliances, clothing, etc.) that you own. Assets include: Real property (other than the property for deferral) Cash Checking and saving accounts Bonds Other investments minus any debts
You must have a recorded deed to the property or you must be buying the property under a recorded sales contract. You may have a revocable trust.
You must live in your home for at least five years before April 15 of the year in which you apply for the program, unless you had to live away from it for health reasons.You must show proof of homeowner's insurance that covers fire and other casualties.The real market value (RMV) of your home cannot be more than 100 percent of the countty median RMV, but there are graduated allowances based on additional years of occupancy.
You are not eligible for a deferral if: you have a life estate in the property OR a reverse mortgage on the property.
For the Disabled Citizens’ Property Tax Deferral, you must be receiving federal Social Security disability benefits on December 31 of the year before you apply. You must send a copy of your federal Social Security award letter with your deferral application.
For the Senior Citizens’ Property Tax Deferral, you must be at least 62 years old by April 15 of the year you apply.
How do I apply for a deferral?
Please contact the Assessor’s office at 503-588-5144 or on the web at: http://www.co.marion.or.us/ao or go to the Department of Revenue website at: http://www.oregon.gov/DOR for the necessary applications and any additional information you may need.
How long may I stay on the deferral program?To remain in the program, you must "re-certify" every two years. This means you must re-apply for the program every other year and meet all of the qualifications. If you don't re-certify or qualify, the state won't pay your property taxes.
Does a non-profit organization have to pay property taxes?
Qualifying non-profit organizations may have their property taxes cancelled. The most common qualifying entities are: religious, fraternal, literary, benevolent, or charitable organizations and scientific institutions.
Property for which an exemption is requested must be actively occupied and used by the organization in a way that furthers its stated purpose. The property must also be reasonably necessary. Any portion of the property that does not meet these criteria is subject to assessment and taxation the same as all other taxable property.
Exemption is not automatic. An application must be filed with the Assessor between January 1 and April 1.
Certain leased property, real and personal, may also qualify for exemption.
Contact the Assessor’s office at 503-588-5144 for filing procedures.
Can a non-profit organization get an exemption on a bare piece of land to be used as a future building site?
No. The land must be in use, or groundwork started, by June 30 of the year applied for.
We will be buying or leasing property after the April 1 filing deadline, can we still get an exemption?
If the start date is before July 1, you have 30 days from the start/sign date to apply for exemption.