What is the limited property value?
The limited property value is a value calculated through a statutory calculation that is based on the previous years limited value and the new full cash value. The primary tax levy is applied to this value. This value is not subject to discretionary adjustment by the assessor. What is the legal classification of property? The legal classification of property defines the assessment ratio based on the properties use as defined by Arizona law. For example, a residence that is owner occupied is “legal class 3”. Legal class 3 property is assessed at 10% of its full cash value. If a property is used for commercial purposes, it would be identified as “legal class 1.12″and is assessed at 20% of its full cash value. Vacant land is “legal class 2” and is assessed at 16% of its full cash value. Why are 2011 values being set now? Arizona law was changed back in 1995 to define “valuation year” as the year prior to the “tax year”. This law requires the assessment roll be created in the year prior to
