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Judge: Undeveloped land can be assessed as agricultural

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The Indiana Tax Court Friday upheld a final determination by the Indiana Board of Tax Review to assess farm land as agricultural that was purchased by a developer but remained undeveloped for years.

In Hamilton County Assessor v. Allisonville Road Development, LLC, 49T10-1204-TA-30, the Hamilton County assessor appealed the board’s final determination, which reduced Allisonville Road Development’s 2008 assessment to $15,684 on vacant land located in Fishers. The land had been in the hand of developers since the 1990s; it was actively farmed prior to that. Allisonville Road Development purchased the parcels in 2006.

The land developer challenged the assessor’s change in property classification from agricultural land to undeveloped, useable commercial land. No commercial activity had taken place on the land. The land was originally assessed at $2.237 million, which was reduced by the county property tax assessment board of appeals to $1.427 million before the developer appealed to the Board of Tax Review.

The Board of Tax Review explained that land could be reassessed under Indiana Code 6-1.1-4-12 if new events occurred, such as a change in the land’s use. Cessation of farming activities didn’t constitute a change sufficient to warrant reassessment.

“Here, the Assessor claims that the subject property has been used for commercial purposes since the 1990s because that is when it was sold to commercial developers and all active farming operations ceased. Thus, the Assessor equates a ‘change in use’ to nothing more than a change in ownership and potential use. A ‘change in use’ under Indiana Code § 6-1.1-4-12, however, requires something more,” Senior Judge Thomas Fisher wrote.

“Under the 2002 version of Indiana Code § 6-1.1-4-12, reassessments based on new classifications are permissible when land is subdivided into lots, rezoned, or put to a different use: i.e., when events that indicate that commercial development is imminent occur. Here, the cessation of farming activities and the subsequent non-use of land does not necessarily evidence the imminence of commercial development.”

 

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  1. He TIL team,please zap this comment too since it was merely marking a scammer and not reflecting on the story. Thanks, happy Monday, keep up the fine work.

  2. You just need my social security number sent to your Gmail account to process then loan, right? Beware scammers indeed.

  3. The appellate court just said doctors can be sued for reporting child abuse. The most dangerous form of child abuse with the highest mortality rate of any form of child abuse (between 6% and 9% according to the below listed studies). Now doctors will be far less likely to report this form of dangerous child abuse in Indiana. If you want to know what this is, google the names Lacey Spears, Julie Conley (and look at what happened when uninformed judges returned that child against medical advice), Hope Ybarra, and Dixie Blanchard. Here is some really good reporting on what this allegation was: http://media.star-telegram.com/Munchausenmoms/ Here are the two research papers: http://www.sciencedirect.com/science/article/pii/0145213487900810 http://www.sciencedirect.com/science/article/pii/S0145213403000309 25% of sibling are dead in that second study. 25%!!! Unbelievable ruling. Chilling. Wrong.

  4. Mr. Levin says that the BMV engaged in misconduct--that the BMV (or, rather, someone in the BMV) knew Indiana motorists were being overcharged fees but did nothing to correct the situation. Such misconduct, whether engaged in by one individual or by a group, is called theft (defined as knowingly or intentionally exerting unauthorized control over the property of another person with the intent to deprive the other person of the property's value or use). Theft is a crime in Indiana (as it still is in most of the civilized world). One wonders, then, why there have been no criminal prosecutions of BMV officials for this theft? Government misconduct doesn't occur in a vacuum. An individual who works for or oversees a government agency is responsible for the misconduct. In this instance, somebody (or somebodies) with the BMV, at some time, knew Indiana motorists were being overcharged. What's more, this person (or these people), even after having the error of their ways pointed out to them, did nothing to fix the problem. Instead, the overcharges continued. Thus, the taxpayers of Indiana are also on the hook for the millions of dollars in attorneys fees (for both sides; the BMV didn't see fit to avail itself of the services of a lawyer employed by the state government) that had to be spent in order to finally convince the BMV that stealing money from Indiana motorists was a bad thing. Given that the BMV official(s) responsible for this crime continued their misconduct, covered it up, and never did anything until the agency reached an agreeable settlement, it seems the statute of limitations for prosecuting these folks has not yet run. I hope our Attorney General is paying attention to this fiasco and is seriously considering prosecution. Indiana, the state that works . . . for thieves.

  5. I'm glad that attorney Carl Hayes, who represented the BMV in this case, is able to say that his client "is pleased to have resolved the issue". Everyone makes mistakes, even bureaucratic behemoths like Indiana's BMV. So to some extent we need to be forgiving of such mistakes. But when those mistakes are going to cost Indiana taxpayers millions of dollars to rectify (because neither plaintiff's counsel nor Mr. Hayes gave freely of their services, and the BMV, being a state-funded agency, relies on taxpayer dollars to pay these attorneys their fees), the agency doesn't have a right to feel "pleased to have resolved the issue". One is left wondering why the BMV feels so pleased with this resolution? The magnitude of the agency's overcharges might suggest to some that, perhaps, these errors were more than mere oversight. Could this be why the agency is so "pleased" with this resolution? Will Indiana motorists ever be assured that the culture of incompetence (if not worse) that the BMV seems to have fostered is no longer the status quo? Or will even more "overcharges" and lawsuits result? It's fairly obvious who is really "pleased to have resolved the issue", and it's not Indiana's taxpayers who are on the hook for the legal fees generated in these cases.

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