In addition to annual taxes, you may be responsible for paying supplemental property taxes. State law requires The Assessor's Office to reappraise property upon a change in ownership or new construction. The supplemental assessment reflects the difference between the new assessed value and the old or prior assessed value. If the property is reassessed at a higher value than the old assessed value, a supplemental bill will be issued. If the property is reassessed at a lower value than the old assessed value, a refund may be issued.
Per Revenue and Taxation Code, (RTC) 75.41, The auditor shall apply the current year’s tax rate, as defined in Section 75.40, to the supplemental assessment or assessments, computing the amount of taxes that would be due for a full year.
The taxes are prorated based on the number of months left in the fiscal year from the date of ownership change or the new construction completion date. If the change in ownership or new construction occurs between January 1st and May 31st, you will receive two supplemental bills.
The first supplemental bill is for the fiscal year in which you purchased the property or completed new construction. The second supplemental bill is for the following fiscal year of the same occurrence.
PLEASE NOTE: Supplemental tax bills are mailed directly to the property owner and are your responsibility. In general, they are not paid out of your impound account. Please check with your lender.