Navigating property tax notices in California can be confusing, especially when unexpected assessments land in your mailbox. Property owners in Los Angeles and across the state may receive various special notices, such as Supplemental Assessments, Escape Assessments, Roll Corrections, and other property value adjustments. Understanding these notices and knowing when to take action is crucial to avoiding unnecessary tax burdens.
In this guide, we’ll break down the most common types of notices, explain when they occur, and provide actionable steps to ensure you’re not overpaying on property taxes.
What Are Supplemental Assessments?
Supplemental Assessments occur when a property undergoes a significant value change due to a sale, new construction, or major renovations. These assessments result in additional property tax bills separate from your regular tax bill.
Trigger Events for Supplemental Assessments
- Property Purchase: When you buy a new home, the county assessor reassesses its value based on the sale price.
- New Construction or Renovations: Adding value to your home, such as building a pool or an extra room, triggers a reassessment.
- Change in Property Use: Converting a property from residential to commercial use can also lead to reassessment.
Steps to Take
- Review the details: Ensure the new assessed value matches the market value at the time of purchase or construction completion.
- Check the effective date: Supplemental assessments apply retroactively to the date of the change.
- Consider filing an appeal: If you believe the assessment is too high, you may appeal within 60 days of receiving the notice.
- Get expert assistance: We can help you evaluate the assessment and determine if an appeal is warranted.
What Are Escape Assessments?
An Escape Assessment is issued when the assessor finds that a property was underassessed or omitted from tax rolls in prior years. These adjustments often occur due to clerical errors, unreported property improvements, or business property being overlooked.
Key Points to Understand
- Retroactive Application: Escape assessments can apply up to four years in the past.
- Potential Penalties: If an omission was due to an unreported change, penalties may apply.
What You Should Do
- Verify the assessment period: Confirm that the reassessment covers the correct time frame.
- Check for errors: Ensure the new assessed value is accurate.
- Act within 60 days: You have limited time to appeal if you believe the assessment is incorrect.
- Consult a professional: We can help analyze the assessment and build a case for appeal if needed.
Understanding Roll Correction Notices
A Roll Correction Notice is issued when the assessor adjusts a property’s value after the tax roll has been finalized. These corrections can increase or decrease your property tax.
Types of Roll Corrections
✔ Negative Roll Corrections (Tax Reductions):
- Issued when an overassessment is corrected due to an appeal, clerical error, or declining property value.
- Action: Confirm that the reduction is reflected in your tax bill.
✔ Positive Roll Corrections (Tax Increases):
- Occur when an underassessment is corrected due to property improvements, clerical errors, or exemption misapplications.
- Action: Scrutinize the details and consider an appeal if necessary.
Other Special Notices You Might Receive
The assessor’s office may send additional notices that require attention:
- Notice of Decline in Value (Proposition 8 Reduction): Adjusts property value for tax purposes due to market declines.
- Notice of Change in Ownership Reassessment: Confirms property value adjustments after ownership transfers.
- New Construction Reassessment Notice: Informs owners of reassessments due to renovations or improvements.
- Notice of Exemption Removal: Sent when a previously granted exemption (such as a Homeowners’ Exemption) is removed.
- Notice of Property Tax Relief Eligibility: Informs owners of potential tax relief programs, such as disaster relief or senior deferrals.
- Notice of Taxable Business Personal Property Assessment: Issued to businesses with taxable assets like machinery, equipment, and furniture.
When to Contact the Assessor vs. When to Contact Us
Some issues can be handled directly with the assessor, while others require expert assistance. Here’s a quick guide:
| Notice Type | Contact Assessor | Contact Us |
|---|---|---|
| Supplemental Assessment | If details are unclear | If the value seems excessive or incorrect |
| Escape Assessment | To verify assessment period | To challenge inaccuracies or penalties |
| Roll Correction | If you believe there is an error | To appeal increases or ensure reductions are applied |
| Decline in Value | To request a review | To formally appeal the valuation |
| Tax Exemptions/Corrections | To apply for or correct exemptions | If denied or incorrectly applied |
| Change of Ownership Report | To submit required documentation | If reassessment results in a tax increase |
Why Immediate Action is Crucial
If you receive one of these notices, do not delay! You have the right to request an informal review before it turns into a tax bill.
Waiting too long means the changes will be sent to the Auditor-Controller’s office, making the new assessed values final. Once a tax bill is issued, it becomes much harder to dispute the charges.
Take this real-world example:
A client completed renovations in 2021, but the assessor’s office only recently finalized the assessed value. By the time they sought help, the bills had already been issued for multiple years—2021, 2022, 2023, and 2024, with another due in 2025.
Total unexpected tax bill? Over $150,000 due within 60 days.
Had they contacted us earlier, we could have identified discrepancies before the bills were finalized, saving them thousands in unnecessary taxes.
Final Thoughts
Receiving a notice from the assessor’s office doesn’t necessarily mean you’ll owe more in taxes—but it does mean you need to take action. Understanding these notices can prevent financial surprises and unnecessary tax burdens.
If you’ve received any of these notices and need guidance, contact us today. Our team specializes in property tax appeals and can help ensure you’re paying only what’s fair.
Let’s work together to keep your property taxes in check!