The value of machinery, tools and patterns.
The value of furniture, fixture and equipment.
The value of all other personal property except such as is exempt from taxation.
Real estate, how valued. 70.32(1)
Real property shall be valued by the assessor in the manner specified in the Wisconsin property assessment manual provided under s. 73.03 (2a)
from actual view or from the best information that the assessor can practicably obtain, at the full value which could ordinarily be obtained therefor at private sale. In determining the value, the assessor shall consider recent arm's-length sales of the property to be assessed if according to professionally acceptable appraisal practices those sales conform to recent arm's-length sales of reasonably comparable property; recent arm's-length sales of reasonably comparable property; and all factors that, according to professionally acceptable appraisal practices, affect the value of the property to be assessed.
In addition to the factors set out in sub. (1)
, the assessor shall consider the effect on the value of the property of any zoning ordinance under s. 59.692
, any conservation easement under s. 700.40
, any conservation restriction under an agreement with the federal government and any restrictions under ch. 91
In addition to the factors set out in sub. (1)
, the assessor shall consider the impairment of the value of the property because of the presence of a solid or hazardous waste disposal facility or because of environmental pollution, as defined in s. 299.01 (4)
The assessor, having fixed a value, shall enter the same opposite the proper tract or lot in the assessment roll, following the instruction prescribed therein.
The assessor shall segregate into the following classes on the basis of use and set down separately in proper columns the values of the land, exclusive of improvements, and, except for subds. 5.
, the improvements in each class:
"Agricultural land" means land, exclusive of buildings and improvements, that is devoted primarily to agricultural use, as defined by rule.
"Productive forest land" means land that is producing or is capable of producing commercial forest products and is not otherwise classified under this subsection.
"Residential" includes any parcel or part of a parcel of untilled land that is not suitable for the production of row crops, on which a dwelling or other form of human abode is located and which is not otherwise classified under this subsection.
"Swampland or wasteland" means bog, marsh, lowland brush, uncultivated land zoned as shoreland under s. 59.692
and shown as a wetland on a final map under s. 23.32
or other nonproductive lands not otherwise classified under this subsection.
For the assessments as of January 1, 1996, and January 1, 1997, or until the farmland advisory council under s. 73.03 (49)
makes its recommendation, but not to extend beyond January 1, 2009, the assessed value of each parcel of agricultural land is the assessed value of that parcel as of January 1, 1995.
For each year beginning with 1998 or upon completion of the farmland advisory council's recommendation and promulgation of rules and ending no later than December 31, 2008, the assessed value of the parcel shall be reduced as follows:
Subtract the value of the parcel as determined according to the income that is or could be generated from its rental for agricultural use, as determined by rule, from its assessed value as of January 1, 1996.
Multiply .1 by the number of years that the parcel has been assessed under this paragraph, including the current year.
Subtract the amount under subd. 3.
from the parcel's assessed value as of January 1, 1996.
For the assessment as of the January 1 after the valuation method under par. (b)
no longer applies and for each assessment thereafter, agricultural land shall be assessed according to the income that could be generated from its rental for agricultural use.
Manufacturing property subject to assessment under s. 70.995
shall be assessed according to that section.
When market value is established by a fair sale of the property, or sales of reasonably comparable property are available, it is error for an assessor to resort to other factors in order to determine its fair market value, although such factors in the absence of such sales would have a bearing on its value. Rules on judicial review of valuation of real estate for tax purposes presuppose the method of evaluation is in accordance with the statutes; hence errors of law should be corrected by the court on certiorari and the failure to make an assessment on the statutory basis is an error of law. State ex rel. Markarian v. Cudahy, 45 W (2d) 683, 173 NW (2d) 627.
While a sale establishes value, the assessment still has to be equal to that on comparable property. (2) (b) requires the assessor to fix a value before classifying the land; it does not prohibit him from considering the zoning of the property when it is used for some other purpose. State ex rel. Hensel v. Town of Wilson, 55 W (2d) 101, 197 NW (2d) 794.
When an assessment must be based on a recent sale of the property the assessor cannot increase the value because no commission was paid a broker. State ex rel. Lincoln F. Warehouse v. Bd. of Rev. 60 W (2d) 84, 208 NW (2d) 380.
Under the option agreement, the sellers' right to repurchase their homestead and their right of first refusal for the purchase of industrial buildings to be constructed on the property were factors going only to the willingness of the parties to deal and not their compulsion to do so; and the value of these rights, together with the monetary amount per acre, comprised the total sale price of the land. State ex rel. Geipel v. Milwaukee, 68 W (2d) 726, 229 NW (2d) 585.
Evidence of net income from unique property was admissible to show market value. Assessor's unconfirmed valuation based on estimated replacement cost less depreciation could not stand alone because of uncontroverted evidence of actual costs of recent construction. Rosen v. Milwaukee, 72 W (2d) 653, 242 NW (2d) 681.
District-wide use of comparative sales statistics to determine annual percentage increases of assessments was invalid under (1). State ex rel. Kaskin v. Board of Review, 91 W (2d) 272, 282 NW (2d) 620 (Ct. App. 1979). See also Lloyd v. Board of Review of City of Stoughton, 179 W (2d) 33, 505 NW (2d) 465 (Ct. App. 1993).
Assessor erred in failing to consider disadvantages and liabilities which affect fair market value of dams. State ex rel. Wis. Edison Corp. v. Robertson, 99 W (2d) 561, 299 NW (2d) 626 (Ct. App. 1980).
Lease of comparable property constituted "best information" regarding fair market value of leasehold improvements. State ex rel. Keane v. Bd. of Review, 99 W (2d) 584, 299 NW (2d) 638 (Ct. App. 1980).
Sub. (1) requires use of cash equivalency adjustment in assessing property based upon sale of comparable properties. State ex rel. Flint v. Kenosha County Rev. Bd. 126 W (2d) 152, 376 NW (2d) 364 (Ct. App. 1985).
Assessment largely based upon consideration of equalized value was invalid. Court erred by remanding with requirement that new assessment consider actual subsequent sale of subject property. State ex rel. Kesselman v. Sturtevant, 133 W (2d) 122, 394 NW (2d) 745 (Ct. App. 1986).
Board erred as matter of law by basing assessment on "market" rental income when there was recent arms-length sale of property. Darcel v. Manitowoc Review Bd., 137 W (2d) 623, 405 NW (2d) 344 (1987).
In determining market value under (1), board must determine whether financing arrangements between seller and buyer affected sale price; (1) prohibits assessment exceeding market value. Flood v. Lomira Board of Review, 153 W (2d) 428, 451 NW (2d) 422 (1990).
Discussion of factors applicable to assessment of commercial property following sale. State v. Greendale Bd. of Review, 164 W (2d) 31, 473 NW (2d) 554 (Ct. App. 1991).
Sec. 70.32 establishes a unitary taxing scheme; mineral rights are taxed as an element of the real estate and not separately. Cornell University v. Rusk County, 166 W (2d) 811, 481 NW (2d) 485 (Ct. App. 1992).
Capitalization of income method based on estimated market rents rather than on actual rent was improper method of assessing subsidized rental property. Metro. Holding v. Milwaukee Review Bd. 173 W (2d) 626, 495 NW (2d) 314 (1993).
Compliance with s. 73.03 (2a) assessment manual is not a defense when the method of assessment violates s. 70.32 (1). Metro. Holding v. Milwaukee Review Bd. 173 W (2d) 626, 495 NW (2d) 314 (1993).
When an assessor disavows the correctness of comparable property shown on the tax roll, the burden is on the assessor to explain why the assessment is incorrect. Brighton Square Co. v. Madison, 178 W (2d) 577, 504 NW (2d) 436 (Ct. App. 1993).
A taxpayer challenging an assessment has the burden of proving a sale was an arm's-length transaction. The taxpayer has the burden of proof on each "Property Tax Assessment Manual" condition that must be met. Doneff v. Review Board of Two Rivers, 184 W (2d) 203, 516 NW (2d) 383 (1994).
The use of owner-operator income to value property is allowed if the net income reflects the property's chief source of value, the income is produced without skill of the owner or the owner's skill and labor are factored out and other valuation approaches are considered. Waste Management v. Kenosha County Review Bd. 184 W (2d) 541, 516 NW (2d) 695 (1994).
There is no bright line rule for the number of comparable properties that must be shown to prove that the rule of uniformity is being violated. Assessments which are discriminatory and made based on arbitrary and improper considerations cannot stand. State ex rel. Levine v. Fox Point Board of Review, 191 W (2d) 363, 528 NW (2d) 424 (1995).
Where property is encumbered by a bundle of rights, it must be appraised at its value using the current value of that bundle of rights. City of West Bend v. Continental IV Fund, 193 W (2d) 481, 535 NW (2d) 24 (Ct. App. 1995).
Taxation of undeveloped real property in Wisconsin. Hack, Sullivan, 1974 WBB No. 1.
Assessment of divided parcel. 70.323(1)(a)(a)
If a parcel of real property is divided, the owner of a divided parcel may request a valuation of the divided parcels. A request shall be in writing and submitted to the treasurer of the taxation district in which the property is located. If the taxation district treasurer is in possession of the tax roll, the treasurer shall make the requested valuation. If the tax roll has been returned under s. 74.43
, the taxation district treasurer shall forward the request to the county treasurer, who shall make the requested valuation.
The appropriate treasurer shall, with the assistance of the assessor of the taxation district, attribute to each new parcel its value for the year of division. The value of each new parcel shall represent a reasonable apportionment of the valuation of the original undivided parcel, and the total of the new valuations shall equal the valuation of the original undivided parcel on January 1 of that year. The value of a new parcel as determined under this subsection is the value of that property for purposes of s. 70.32
for the year of division.
A determination under sub. (1)
may be appealed by bringing an action in circuit court within 60 days after the determination is made. The court shall determine whether the value determined under sub. (1)
represents a reasonable apportionment of the valuation of the original undivided parcel on January 1 of that year. If the court determines that the value does not represent a reasonable apportionment, the court shall redetermine the parcels' values, the total of which shall equal the valuation of the original undivided parcel on January 1 of that year.
(3) Lien extinguished.
Payment of all real estate taxes based on the value determined under sub. (1)
extinguishes the lien against the parcel created under s. 70.01
(4) Cooperation of assessor.
The assessor of the taxation district shall assist the treasurer of the taxation district or of the county under sub. (1)
(5) Not applicable where written agreement.
This section does not apply if there is a written agreement providing for the payment of real property taxes on the divided parcels in the year of division.
History: 1987 a. 378
Valuation and assessment of property with contaminated wells.
In determining the market value of real property with a contaminated well or water system, the assessor shall take into consideration the time and expense necessary to repair or replace the well or private water system in calculating the diminution of the market value of real property attributable to the contamination.
History: 1983 a. 410
; 1995 a. 378
Tax exemption reports. 70.337(1)
By March 31 of each even-numbered year, the owner of each parcel of property that is exempt under s. 70.11
shall file with the clerk of the taxation district in which the property is located a form containing the following information:
The name and address of the owner of the property and, if applicable, the type of organization that owns the property.
The legal description and parcel number of the property as shown on the assessment roll.
A description of any improvements on the land.
A statement indicating whether or not any portion of the property was leased to another person during the preceding 2 years. If the property was leased, the statement shall identify the portion of the property that was leased, identify the lessee and describe the ways in which the lease payments were used by the owner of the property.
The owner's estimate of the fair market value of the property on January 1 of the even-numbered year. The owner shall provide this estimate by marking one of a number of value ranges provided on the form prepared under sub. (2)
. The assessor for the taxation district within which the property is located may review the owner's estimate of the fair market value of the property and adjust it if necessary to reflect the correct fair market value.
By July 1 of each even-numbered year, the clerk of each taxation district shall complete and deliver to the department of revenue a form on which the clerk estimates the value of tax-exempt property, classified by type of owner, within the taxation district.
The department of revenue shall prescribe the contents of the form for reporting the information required under sub. (1)
, including the categories of value of property that the department of revenue determines will result in the best estimate of the value of tax-exempt property in this state. The department of revenue shall also prescribe the contents of the form under sub. (2)
. The form under sub. (2)
shall provide for estimates of the value of tax-exempt property in the taxation district that is owned by various categories of owners, including property that is owned by the benevolent and educational associations; fraternal and labor organizations; nonprofit hospitals; private colleges; and churches and religious associations. The forms under subs. (1)
shall be prepared and distributed under s. 70.09 (3)
The department of revenue shall tabulate data from the forms received under sub. (2)
and prepare an estimate of the value of tax-exempt property in this state by category of owner. The department shall include this information in the summary of tax exemption devices prepared under s. 16.425 (3)
Each person that is required to file a report under sub. (1)
shall pay a reasonable fee that is sufficient to defray the costs to the taxation district of distributing and reviewing the forms under sub. (1)
and of preparing the form for the department of revenue under sub. (2)
. The amount of the fee shall be established by the governing body of the taxation district.
If the form under sub. (1)
is not received by March 31 of the even-numbered year, the taxation district clerk shall send the owner of the property a notice, by certified mail, stating that the property for which the form is required will be appraised at the owner's expense if a completed form is not received by the taxation district clerk within 30 days after the notice is sent. If the completed form is not received by the taxation district clerk within 30 days after the notice is sent, the property shall be appraised either by the taxation district assessor or by a person hired by the taxation district to conduct the appraisal.
This section does not apply to property that is exempt under s. 70.11 (1)
, property that is exempt under s. 70.11 (18)
if a payment in lieu of taxes is made for that property, lake beds owned by the state, state forests under s. 28.03
, county forests under s. 28.10
, property acquired by the department of transportation under s. 85.08
or highways, as defined in s. 340.01 (22)
Reporting requirements. 70.339(1)
By March 15 each person that owns property that is exempt under s. 70.11
, except s. 70.11 (1)
, and that was used in the most recently ended taxable year in a trade or business for which the owner of the property was subject to taxation under sections 511
of the internal revenue code, as defined in s. 71.22 (4m)
, shall file with the clerk of the taxation district in which the property is located a statement containing the following information:
The name, address and telephone number of the owner of the property.
The name, address and telephone number of a person who can be contacted concerning the use of the property in a trade or business.
A general description of the activities engaged in to conduct the trade or business.
The location and a description of the property that is used in the trade or business including, if applicable, the specific portion of a building that is used to conduct the trade or business.
The format and distribution of statements under this section shall be governed by s. 70.09 (3)
If the statement required under this section is not received by the due date, the taxation district clerk shall send the owner of the property a notice, by certified mail, stating that failure to file a statement is subject to the penalties under sub. (4)
A person who fails to file a statement within 30 days after notification under sub. (3)
shall forfeit $10 for each succeeding day on which the form is not received by the taxation district clerk, but not more than $500.