Tax Rules: Final: 5703-25
5703-25-48 Tax reduction factor; estimated factors;
correcting errors
(A)
(1) If the commissioner is unable to certify a tax reduction
factor for either class of real property in a taxing unit
located in more than one county by the last day of November
because the information required under division (G) of
section 319.301 of the Revised Code is unavailable, he shall
determine and certify estimated tax reduction factors for
taxes levied by that taxing unit. The estimated tax reduction
factors shall be based on an estimate of the unavailable
information.
(2) The commissioner shall also determine and certify
estimated composite tax reduction factors for each taxing
district by using the tax reduction factors estimated in
paragraph (A)(1) of this rule.
(3) Upon receipt of the actual information for a taxing unit
that used estimated tax reduction factors, the commissioner
shall compute the actual tax reduction factors and the
composite tax reduction factors for those taxing districts in
which the taxing unit is located. Using these actual tax
reduction factors, the commissioner shall compute the taxes
that should have been charged and payable against real
property in that class for the year for which the estimated
tax reduction factors were used.
(4) For the current tax year following the tax year for which
the estimated tax reduction factors were used, the
commissioner shall add to or subtract from the amount of
taxes due for that current year the amount of underpayment or
overpayment that resulted in the preceding tax year from the
use of the estimated tax reduction factors.
(B) This paragraph applies to all circumstances other than
the use of an estimated tax reduction factor as provided in
paragraph (A) of this rule.
If the tax commissioner determines that the tax reduction
factors or the composite tax reduction factor for either
class of real property used on the tax bills for the first
half collection of real property taxes was illegal or
erroneous, the commissioner may order a correction at any
time prior to the mailing of the tax bill for the second half
collection of taxes for the same tax year.
The correction shall adjust the tax reduction factors and the
composite tax reduction factor used on the tax bills for the
second half collected for such year so that the sum of the
taxes charged against each parcel of property in the first
half collection and the second half collection equals the
total amount of taxes that should have been charged against
such property for that tax year if a correct and legal tax
reduction factor had been used on the tax bill for both
collection periods.
(C) If the tax commissioner determines that the tax reduction
factors or the composite tax reduction factor for a class of
property was illegal or erroneous after the time for a
correction permitted under paragraph (B) of this rule, the
commissioner shall determine the correct tax reduction factor
that should have been used for that year. In computing tax
reduction factors for the following tax year, the
commissioner shall use, as the net taxes for the year for
which the illegal or erroneous tax reduction factors were
used, the amount of net taxes for that year if the correct
tax reduction factors had been used. Except as provided in
division (H) of section 319.301 of the Revised Code and
paragraph (A) of this rule, the commissioner shall not adjust
the tax reduction factors for such subsequent tax year in
order to add to or subtract from the taxes charged and
payable for that year any amount that represents an
overpayment or underpayment resulting from the use of the
illegal or erroneous tax reduction factor in the preceding
year.
Effective: 9-18-03
Promulgated under: 5703.14
Authorized by: 5703.05
Amplifies: 319.301
Prior effective dates: 3-20-88 as 5705-7-04