[Adopted 3-27-2007 by Ord. No. 3675[1]]
[1]
Editor's Note: This ordinance also repealed
former Art. I, Real Property Tax Abatement, adopted 4-12-1979 by Ord.
No. 939, as amended.
A.
There is hereby adopted and provided in this municipality
a tax abatement program pursuant to P.L. 1991, c. 441, as same may
be amended from time to time.[1] This program shall apply throughout the municipality and
provide for the abatement from real property taxation of the aggregate
first $25,000 in the Assessor's full and true value of home improvements
for each dwelling unit primarily and directly affected by a home improvement
in any owner-occupied portion of a residential dwelling unit more
than 20 years old as not increasing the value of such property for
a period of five years, notwithstanding that the value of the dwelling
to which such improvements are made is increased thereby; provided,
however, that during said period, the assessment on said dwelling
shall in no case, except that of damage through action of the elements
sufficient to warrant a reduction, be less than the assessment thereon
existing immediately prior to such home improvements, and provided
further that the aggregate amount of any claims for any dwelling unit
shall not be in excess of the maximum sum of $25,000.
[1]
Editor's Note: See N.J.S.A. 40A:21-1 et seq.
B.
This exemption is also established for mixed-use,
commercial and industrial buildings in the Hamilton Street Business
District and the Renaissance Redevelopment Area. The program shall
provide an abatement from real property taxation of the aggregate
first $100,000 in the Assessor's full and true value of building improvements
for each unit primarily and directly affected by a building improvement
in a building over 20 years old as not increasing the value of such
property for a five-year period, notwithstanding that the value of
the building to which such improvements are made is increased thereby;
provided, however, that during said period, the assessment on said
improvements shall in no case except that of damage through action
of the elements sufficient to warrant a reduction be less than the
assessment thereon existing immediately prior to such improvements,
and provided further that the aggregate amount of claims for any building
not be in excess of the maximum sum of $100,000.
The following words and terms, when used in
this article, shall have the following meanings, unless the context
clearly indicates otherwise:
That portion of the assessed value of a property as it existed
prior to construction, improvement or conversion of a building or
structure thereon which is exempted from taxation pursuant to this
Act.
P.L. 1991, c 441, and all amendments and supplements thereto.[1]
A written request for the exemption filed with the local
Tax Assessor on forms devised by the Director of the Division of Taxation.
The officer of a taxing district charged with the duty of
assessing real property for the purpose of general taxation.
That portion of any increased assessed value of real property
which directly resulted from improvements made thereon.
Substantially ready for the use for which it was intended.
A property created or recorded as a condominium pursuant
to the Condominium Act, P.L. 1969, c. 257 (N.J.S.A. 46:8B-1 et seq.).
A housing corporation or association, wherein the holder
of a share or membership interest thereof is entitled to possess and
occupy for dwelling purposes a house, apartment, or other unit of
housing owned by the corporation or association.
The Department of Community Affairs.
A building or part of a building used, to be used or held
for use as a home or residence, including accessory buildings located
on the same premises, together with the land upon which such building
or buildings are erected and which may be necessary for the fair enjoyment
thereof, but shall not mean any building or part of a building, defined
as a "multiple dwelling" pursuant to the Hotel and Multiple Dwelling
Law, P.L. 1967, c. 76 (N.J.S.A. 55:13A-1 et seq.). A dwelling shall
include, as they are separately conveyed to individual owners, individual
residences within a cooperative, if purchased separately by the occupants
thereof, and individual residences within a horizontal property regime
or a condominium, but shall not include "general common elements"
or "common elements" of such horizontal property regime or condominium
as defined pursuant to the Horizontal Property Act, P.L. 1963, c.
168 (N.J.S.A. 46:8A-1 et seq.), or the Condominium Act, P.L. 1969,
c. 257 (N.J.S.A. 46:8B-1 et seq.), or of a cooperative, if the residential
units are owned separately.
That amount to be deducted from the Assessor's full and true
value of home improvements.
The improvement of a dwelling which does not change its permitted
use, and shall include the modernization, rehabilitation, renovation,
alteration or repair of a dwelling.
A property submitted to a horizontal property regime pursuant
to the Horizontal Property Act, P.L. 1963, c. 168 (N.J.S.A. 46:8A-1
et seq.).
[1]
Editor's Note: See N.J.S.A. 40A:21-1 et seq.
Real property must meet the following qualifications
in order to gain the exemption:
A.
It must contain a building or buildings which were
constructed more than 20 years prior to the time of application for
the exemption and are used or being held for use, in whole or part,
as homes or residential dwellings, which are a constituent part of
the real property.
B.
No exemption or abatement shall be granted, pursuant
to this article with respect to any property for which property taxes
are delinquent or remain unpaid, or for which penalties for nonpayment
of taxes are due.
C.
The property must be a mixed-use, commercial or industrial
building in the Hamilton Street Business District or the Renaissance
Redevelopment Area which was constructed more than 20 years prior
to the application for exemption.
The following conditions shall apply to all
claims for the exemption at the time of application:
A.
Claims for the exemption shall be in writing upon
forms prescribed by the Director of the Division of Taxation and must
be filed with the local Tax Assessor within 30 days including Saturdays
and Sundays following completion of the home improvement.
B.
Additional claims for the exemption may be submitted
and approved with regard to dwellings with respect to which a previous
home improvement exemption was granted in an amount less than $25,000;
provided, however, that the total aggregate amount of any claims for
any dwelling unit for so long as this article shall apply shall not
be in excess of the maximum sum of $25,000.
The following procedures shall apply upon allowance
of exemption:
A.
Every application for exemption of one or more improvements
which qualify shall be approved and allowed by the Assessor, but in
no case may the exemption exceed the maximum per dwelling unit.
B.
Claim for the exemption, once filed on the prescribed
form and allowed by the Assessor, shall continue in force for a period
of five years following January 1 of the year in which the exemption
was allowed.
C.
The law requires that the granting of any exemption
pursuant to the Act shall be recorded and made a permanent part of
the official tax record. Accordingly, the Assessor shall designate
the exemption by the symbol "H" under "Specific exemptions" on the
real property tax list and reflect it in Column 7 on said list.
D.
The law provides that, in applying the exemption,
the Assessor may regard the improvements "... as not increasing the
value of such property for a period of five years, notwithstanding
that the value of the dwelling to which such improvements are made
is increased thereby..." Accordingly, the provisions of N.J.S.A. 54:4-63.1
et seq., the Added and Omitted Assessment Laws, shall not apply to
the allowable increase in the amount of assessed valuation in the
year in which the improvements qualify for the exemption.
E.
The law provides that every application for exemption
of one or more improvements which qualify as improvements shall be
approved and allowed by the Assessor. Where application for exemption
is made, however, with respect to an improvement or improvements which
do not qualify, the Assessor should notify the claimant of the disallowance
of the claim, in writing, upon Form H.I.E.-2 within 20 days after
disallowance and properly note thereon the specific reasons for the
disallowance.
F.
The exemption and abatement of real property taxes
provided by municipalities pursuant to this Act shall apply to property
taxes levied for municipal purposes, including fire districts and/or
snow removal districts, school purposes, county government purposes
and for the purposes of funding any other property tax exemptions
or abatements.
A.
The Commissioner of the Department of Community Affairs
is authorized to determine standards and guidelines and to promulgate
rules and regulations to effectuate the purposes of this Act.
B.
The Township shall include the appropriate notice
in the mailing of annual property tax bills to each owner of a dwelling
located in an area in which exemptions, or exemptions and abatements,
may be allowed pursuant to this article during the first year following
adoption of this article.
C.
The Township Council shall report, on or before October
1 of each year, to the Director of the Division of Local Government
Services in the Department of Community Affairs and the Division of
Taxation in the Department of the Treasury the total of real property
taxes exempted and the total amount abated within the municipality
in the current tax year for improvements of dwellings.
(1)
The Director of the Division of Taxation shall include
a summary of the information provided in the annual reports in the
annual report of the Division.
D.
No exemption or abatement granted, or tax agreement
entered into, pursuant to an ordinance adopted pursuant to an act
repealed by this Act shall be affected or terminated by virtue of
that repeal, but shall remain in effect for the time and under the
terms granted as if the act authorizing the ordinance had not been
so repealed. Notwithstanding that repeal, any restriction or limitation
contained in that Act against a property being granted an additional
exemption or abatement thereunder shall apply with respect to granting
an exemption or abatement under this Act, and no property which was
granted an exemption or abatement under an act so repealed shall be
granted an exemption or abatement under this Act unless the property
would have qualified for an additional exemption or abatement under
the act so repealed.
Application for exemptions and abatements from
taxation may be filed pursuant to an ordinance so adopted to take
initial effect for the first full year commencing after the tax year
in which this article is adopted, and for tax years thereafter as
set forth in this Act, but no application for exemptions or abatements
shall be filed for exemptions or abatements to take initial effect
for the 11th full year or any tax year occurring thereafter, unless
the ordinance is readopted by the Township Council pursuant to this
section.
