Annual Tax Briefing Participants. From: Mecklenburg County Office of the Tax Collector Date: July Tax Billing Information

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1 To: Annual Tax Briefing Participants From: Mecklenburg County Office of the Tax Collector Date: July 2018 RE: 2018 Tax Billing Information The attached packet contains information that is useful when answering taxpayer questions regarding real estate or personal property tax bills. Please use this packet and CD as your reference materials. The following information is provided in this packet: I. Tax Cycle and Other Important Tax Information II. Jurisdiction Rate Chart III. Payment Options IV. Annual Tax Billing FAQs V. Sample Bills VI. Maps For additional questions, please feel free to contact Bobby Hopkins, Ashley Levy or Veronica Trice. Thank you, Bobby Hopkins Ashley Levy Veronica Trice

2 TAX CYCLE AND OTHER IMPORTANT INFORMATION Dates What to expect? January 1, 2018 July 27, 2018 Real Estate is listed from the deed with owner of record. NCGS (d) Real Estate, Personal Property tax bills, and Property Tax Notifications are expected to be mailed to the owner of record as of January 1, July 27, 2018 September 1, 2018 Property Tax Notification Letters are expected to be mailed to the owner of record as of January 1, Real Estate and Personal Property Tax Bills are due. NCGS (a) January 7, 2019 All tax bill payments are due to avoid interest. January 8, 2019 Interest begins to accrue on delinquent Real Estate and Personal Property tax bills. February 2019 Delinquent Real Estate and Personal Property taxpayers will be notified that they may be advertised in the local newspaper. NCGS (b1) 225,601 Real Estate and Personal Property tax bills will be mailed on July 27, ,609 Property Tax Notifications will be mailed the week of July 27, For certain properties whose value or tax records are still being processed by the County Assessor s Office the respective tax bills will subsequently be mailed as they are processed. Examples of these bills include, but are not limited to, properties changing value in 2018 as a result of new construction or other factors. Mecklenburg County does not grant discounts on early payments.

3 Mecklenburg County does not waive interest on late payments. Period for which Taxes are Levied NCGS 143C-1-1(d)(14) Taxes are levied for the operation of the local government from July 1 through June 30, which is Mecklenburg County s and the municipalities fiscal year. Last Day to Pay on Holiday or Weekend NCGS If January 5 th falls on a weekend or holiday, the next business day will be the last day to pay before interest begins to accrue for Real Estate and Personal Property tax bills. NOTE: January 5 th does fall on a weekend this year. Interest Accrual - NCGS (a)(1)(2) Delinquent 2018 Real Estate and Personal Property tax bills will accrue interest on January 8, 2019 at a rate of 2% for January and ¾% each month thereafter, beginning on the 1 st day of the month. Postmark Date NCGS (d) Tax payments submitted by mail will be deemed received as of the date shown on the postmark affixed by the Unites States Postal Service. All tax payments submitted by mail without a USPS- affixed postmark, including metered stamped tax payments, will be deemed as received on the day it is received in the office. Real Estate and Personal Property Tax Notices - NCGS Mecklenburg County is not required to mail notices for Real Estate and Personal Property tax bills. Effective June 30, 2018, the Charlotte City Council adopted a series of ordinances approving annexations of several city and county owned properties. The annexations are: o Tuckaseegee Airport Area o Old Moore s Chapel o Castleford Reserve o Sutton Farms o Berewick Commons o ByrumNC 160 o Reedy Creek o Winget o Rocky River MPV The Town of Davidson annexed an area effective July 10, The annexation is: o Kenmare Subdivision

4 For additional information about annexations, visit In FY12, Mecklenburg County established five Fire Protection Service Districts for properties located within the unincorporated area of Mecklenburg County. The five Fire Protection Service Districts are: Charlotte, Cornelius, Davidson, Huntersville, and Mint Hill. Prior to FY12, fire protection costs were paid for by all taxpayers within Mecklenburg County. While all residents of the County will have full fire protection, the details of which fire unit would respond to a service need depends on the location of the property and various contracts with Mecklenburg County, the cities and towns, and different volunteer fire departments. The cost of fire protection services varies by districts. Not all Fire Protection Service District tax rates are the same. Below are the FY16 Fire Protection Service District tax rates and billing codes: Fire District Tax Rate Billing Codes City of Charlotte $0.080 Fire (MCH) Cornelius $0.057 Fire (MCN) Davidson $0.085 Fire (MDV) Huntersville $0.050 Fire (MHT) Mint Hill $0.080 Fire (MMH) Property owners in unincorporated Mecklenburg County pay for police services through the Law Enforcement Service District (LESD) tax. Effective July 1, 2018 Mecklenburg County established six (6) LESDs in the unincorporated area of the County and abolished the countywide LESD. The newly established LESD taxes replace the former LESD tax. Property owners in the unincorporated area will find the LESD tax included on this bill in the Bill Line Items section. The description will appear as POLICE (Jurisdiction) TAX. Police District Tax Rate Billing Codes City of Charlotte $ POLICE (MCH) TAX Cornelius $ POLICE (MCN) TAX Davidson $ POLICE (MDV) TAX Huntersville $ POLICE (MHT) TAX Mint Hill $ POLICE (MMH) TAX Pineville $ POLICE (MPN) TAX The tax brochure includes additional information such as Mecklenburg County property taxes account for 62.5% of County funds. The tax brochure provides revenue and budget summaries for Mecklenburg County and the surrounding municipalities. To view the tax brochure and tax rates visit

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6 PAYMENT OPTIONS Below is a sample copy of the Payment Options full page insert for this year s annual billing. Please note: there are five ways to pay a Real Estate and Personal Property tax bill.

7 The online and telephone payment options are handled by Forte Payment Systems. Forte Payment Systems telephone payment option number is The online payment link is With Forte Payment Systems, taxpayers can now pay multiple bills at one time. Taxpayers no longer have to select the type of bill he or she wishes to pay. If a taxpayer elects to pay by echeck, he or she is required to enter their bank account number twice, which will help reduce the number of returned checks due to incorrect account information. Forte Payment Systems has a standard service fee for all credit card and debit card payments. Credit card and debit card payments are charged a service fee of 2.35% of the amount of the tax bill or a minimum fee of $1.95. The service fee is not charged or collected by Mecklenburg County. The service fee is charged by Forte Payment Systems per merchant service agreement. Forte Payment Systems customer service can be reached at or by visiting

8 FREQUENTLY ASKED TAX COLLECTION QUESTIONS Q: What can cause my taxes to increase? A: Taxes may increase from the prior year for any one of the following reasons: 1. A change in the tax rate by the Charlotte City Council and/or Town or County Commissioners. 2. The assessed value increases due to reappraisal or if certain improvements are made. 3. Additional taxable property was acquired (real or personal). 4. Property is subject to both city and county taxes due to annexation. 5. The solid waste fee is increased or newly applicable. Q: Why did I not get a real estate tax bill? A: There are several reasons for not receiving a tax bill; including: 1. Those properties under formal assessment review will not receive a tax bill until that review is completed. 2. The bills for taxes that are in escrow are sent to the mortgage company. 3. Incorrect address. 4. In the case of a sale after January 1 st, the previous owners would have received the tax bill (the County sends new owners a letter notifying them of the taxes due). Q: Can I appeal my real estate assessment when I get the tax bill? A: No. An assessment must be appealed by May 11 th or within thirty (30) days after receipt of a change of assessment notice. Q: Can I appeal my Individual Personal Property (IPP) assessment when I get the tax bill? A: Yes, if no previous notice of value has been created (per audit discovery), then the tax bill will serve as the official notification of value. A taxpayer can appeal his or her IPP assessment within thirty (30) days after the date of the official notice of value. Q: If I sold my house during the year, why did I get a tax bill? A: Because North Carolina tax law requires that the tax bill is sent to the owner of record as of January 1 st. This tax bill should be returned to the Office of the Tax Collector with the new owner s name and address if available. Q: How did the County determine my house value? A: The Tax Assessor assesses the value of all taxable property by the first of each year. The assessed value is based on the market value as of the last reappraisal. Home values may increase or decrease if there was a change in the home structure such as a home renovation, flood or fire damage.

9 Q: I cannot pay my taxes, what should I do? A: Property taxes are not based on ability to pay or income. Property taxes are an ad valorem tax. You should contact the Office of the Tax Collector ( ) prior to the tax bill becoming delinquent and for further information. Q: Is there any tax relief for elderly or disabled property owners? A: Yes. There are several programs created by the North Carolina General Statutes. Please contact the County Assessor s Office at (704) for details. There are strict qualifications and application deadlines for these programs and they are not retroactive for previous year tax obligations. For those programs based on disability, the required certifications have to come from a physician and not from agencies such as the Social Security Administration. Q: Does this tax bill include all of my property taxes for the year? A: This tax bill is for the taxable property owned, real and personal, that is reflected on the tax bill. Q: What does unincorporated mean and why is it unincorporated? A: Unincorporated means that an area is not within the city limits of any city or town within Mecklenburg County. It is unincorporated because the area has not been annexed by a municipality, nor has it applied to become a municipality. Q: What qualifies as Individual Personal Property? A: Boats and other water craft, airplanes, unlicensed vehicles, multiyear/permanent tag vehicles/trailers, campers, income producing farm equipment, manufactured mobile homes (with wheels/hitch), and other such properties. Q: What qualifies as Business Personal Property? A: Office equipment, machinery, furniture and fixtures, leasehold improvements, computer equipment, software, supplies, business motor vehicles, etc. Q: When should I list Individual or Business Personal Property with the Tax Assessor? A: Owners of personal property must list with the Tax Assessor s Office during the month of January each year. A 10% late listing penalty will be charged for anyone listing after January 31 st of each year. An extension to list property can be requested, in writing, during the regular listing period for good cause for business personal property. Q: How is the assessment determined for Individual and Business Personal Property? A: Personal property is assessed at fair market value by the Tax Assessor s Office on January 1 st each year. For Business Personal Property, depreciation tables are applied to the original cost to arrive at the current market value.

10 FREQUENTLY ASKED LAW ENFORCEMENT/FIRE SERVICE DISTRICT TAX QUESTIONS Q: Are taxes being used for police services in unincorporated areas? Does this mean police services will be increased in these areas? A: Police services in the unincorporated areas are provided by the Charlotte-Mecklenburg Police Department. The Chief of Police decides the necessary level of service required to meet the public safety needs of each police district. In the unincorporated areas, police services are paid for by the use of a separate tax rate so residents of the unincorporated areas pay directly for the police services they receive. Q: Why is there a separate tax rate for the unincorporated areas? A: A state law passed in 1996 allows the County to levy a separate tax rate in unincorporated areas for police services delivered to those residents. The reason is because police services are not included in the County tax rate. Q: How are police services billed for residents of Charlotte and other towns? A: Police services for residents of Charlotte and other towns are billed as part of his or her municipal property tax; it is combined within the overall tax rate. Q: Will police services be billed independently by individual police stations? A: No. Police services will be billed as part of the property tax bill by either the municipality or the County, depending upon where you live. Q: How much of my taxes actually go to pay for police services in unincorporated areas? A: The unincorporated tax rate is $1.0378, of which $ is used to fund police services provided within the unincorporated areas. Q: I live in a town. Does that mean that my County tax bill includes money to pay for police services throughout the County and Charlotte? No. You pay for police services provided in your town through the tax billing done by your town. The police services paid by the Law Enforcement Service District County tax rate are for residents of the unincorporated areas only. Q: What are Fire Protection Service Districts? A: Each property within the unincorporated areas of Mecklenburg County is contained in one of five (5) Fire Protection Service Districts. A Fire Protection Service District tax is charged to the property owners within each district. There is a separate tax rate for each fire district depending on the costs of providing fire protection services to that district. Residents of each district pay the costs of fire protection being

11 provided in his or her area. Prior to 2012, all Mecklenburg County property owners paid fire protection costs for unincorporated areas. Please refer to the tax rate chart and maps in this briefing. The tax rates are subject to change each fiscal year (July 1 June 30) and annexation may affect applicability. The Fire Protection Services District Tax is a Mecklenburg County tax and it is charged on the annual tax bill for the property.

12 FREQUENTLY ASKED SOLID WASTE FEE QUESTIONS Q: Who decided to impose the solid waste fee? A: The decision on setting the solid waste fee is made by elected officials. Q: My property is exempt from ad valorem tax. Why did I get billed for the solid waste fee? A: The County s $27.50 solid waste fee applies to taxable and exempt properties within Mecklenburg County. The same applies for the City of Charlotte s solid waste fee of $46.06 for single-family homes and multi-family homes, and the Town of Huntersville s solid waste fee of $84.00 for single-family homes. The Town of Davidson solid waste fee is $201 per single-family home and varies for multifamily homes. Please refer to the tax rate chart for more information. Q: How do I know that the solid waste fee I pay is used to dispose of my trash? A: If you live within the Charlotte city limits, or the Huntersville or Davidson town limits, the fee you pay is directly related to the cost of disposing your trash. Q: Why are there two solid waste fees on my bill? A: There is a municipality solid waste fee in Charlotte, Huntersville, and Davidson as well as a Mecklenburg County solid waste fee. Q: Will I have to pay a fee every time I go to drop off my trash, recyclable materials, and/or yard waste? A: The County s annual solid waste fee allows homeowners, at no cost, to self-haul and dispose of their household trash to the County s disposal centers. The only item that does involve additional cost is yard waste. Q: Why do I have to pay a solid waste fee when my taxes are used to pay for collection of trash? A: The cost of trash collection and disposal are separate costs. Charlotte, Huntersville, and Davidson property taxes are used to pay for collection services within the city/town limits. The Charlotte, Huntersville, and Davidson solid waste fees are used to pay for the disposal of trash at the landfill. Q: Does the solid waste fee also include all towns within the County? A: Yes. It includes all of the towns within the County. Q: What happens if I do not pay the solid waste fee? A: The tax lien will remain on the property and the property is subject to enforced collections. Q: Why is the solid waste fee not considered a tax?

13 The elected officials determined that a fee would allow the tax rate to remain lower, and would be a clearer indicator of the cost for the services of trash disposal and recycling. Q: Why are the County and Municipality solid waste fees different? The County solid waste fee is used to pay for recycling and waste reduction services and facilities. The Charlotte, Huntersville, and Davidson solid waste fees are used to pay for disposal of trash collected within the respective municipalities. These services have different costs.

14 FREQUENTLY ASKED ONLINE AND TELEPHONE PAYMENT QUESTIONS Q: How do I make a payment over the internet or telephone? A: The online payment system can be accessed at The telephone payment system can be accessed by dialing (800) echeck may be used on the online payment system and the telephone payment system. Have your 24-digit tax bill number and credit/debit card or checking account information available. Please follow all instructions and print a copy of your confirmation number if making an online payment or write your confirmation number down if making a telephone payment. Q: How is it possible to make an online or telephone payment? A: The Mecklenburg County Office of the Tax Collector has entered into an agreement with Forte Payment Systems to provide taxpayers this automated payment service. Forte charges a service fee to the taxpayer for all credit/debit card transactions, but there is no service fee for using an electronic check (echeck). Q: Tell me more about the service fee. A: Mecklenburg County does not charge a service fee for processing an online or telephone payment transaction. Forte, however, does charge a service fee for credit/debit card transactions. You will be informed of the amount of the fee before authorizing payment. This fee is in addition to any charges, such as interest, that may be assessed by the credit card issuer. Note: Forte is a publicly held for-profit company. In order to cover operating costs, security costs, and the costs associated with servicing thousands of transactions, a service fee is charged. Q: Does Mecklenburg County receive any portion of the service fee? A: No. This service fee is not part of your tax; therefore, Mecklenburg County does not receive any portion of the service fee. When paying online or via telephone, please allow up to two business days for your payment to be posted. Q: What credit cards can I use? A: American Express, Discover, MasterCard, and Visa. Q: Can I use my debit card? A: Yes. If your debit card has the MasterCard or Visa logo, then you can use your debit card to submit an online or telephone payment. The debit card must be able to be used without a personal identification number (PIN).

15 Q: What will I receive as confirmation of payment? A: You will be provided a confirmation number at the end of your payment transaction. You will also receive an confirmation. The confirmation number, and , along with your credit card or banking statement will serve as your payment confirmation. Q: How secure is my payment information that is used to make my payment? A: Forte uses the best encryption technology available. Credit/debit card and checking account information is not passed to any government entity, nor is it stored anywhere on their site.

16 FREQUENTLY ASKED ONLINE BILL PAY PAYMENT QUESTIONS Q: How can I make a payment through my bank s online bill payment service? A: Note: Not recommended for tax payments. Any interest accrued due to a rejected payment cannot be removed from the tax bill. Online bill pay services vary by each banking or financial institution. Most banking institutions do not recommend payment of taxes through their services due to the fact that taxes have a delinquency date upon which interest will accrue if payment is not received. In order to pay taxes via a bill pay service, the taxpayer must enter the complete, 24-digit tax bill number in the Account Number Field. This number must reflect the current bill number for the taxes that the taxpayer wishes to pay. This bill number is different for every parcel, car, boat, etc. and changes each year. It is the responsibility of the taxpayer to ensure that the correct, 24-digit bill number is entered. The Office of the Tax Collector encourages taxpayers to use the online payment system at Q: What happens if I fail to enter the correct, 24-digit tax bill number? A: The payment will be rejected and returned to the taxpayer s banking institution. Q: What happens if I enter a 24-digit tax bill number that has been paid? A: The payment will be rejected and returned to the taxpayer s banking institution. Q: What happens if I fail to enter the 24-digit tax bill number into the correct Account Number Field? A: The payment will be rejected and returned to the taxpayer s banking institution. Q: What happens if the payment is returned to my bank? A: Your bank will credit your account. However, your tax bill remains unpaid and if payment is not received by the Office of the Tax Collector prior to the date the bill becomes delinquent, interest will accrue. Once accrued, interest cannot be waived. Q: Will I receive credit for the date I attempted to pay the tax? A: No. It is the responsibility of the taxpayer to ensure that payment is made correctly to the Office of the Tax Collector. Payment is not deemed as received until the funds have reached the Office of the Tax Collector. Payments received on or after the date of delinquency (January 6, 2018) will result in interest being assessed.

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32 Commented [DCA1]: Typically, the map here shows the fire districts, not the VFD boundaries.

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