Notes from the Old Noank Jail 7/16/15
Taxing Older Cars in Groton, CT – an Update
by Ed Johnson
In October, 2013, I submitted the following Article in local Media, including PATCH, Groton & Mystic TIMES, Facebook and my local E-mail list……
Taxation Value on Older Cars in Groton
By Ed Johnson (Star Patcher) October 19, 2013
Notes from the Old Noank Jail
This article is primarily for the benefit of Groton taxpayers who, like myself, drive older vehicles. In early August, there was a situation in Griswold where a gentleman owned a 1992 Jeep Cherokee which, since it was older than 20 years, the Town established at a 70% valuation of $5,200….a ridiculously high figure. Apparently, this was supposedly based upon a NADA guidebook value for “classic” cars over 20 years old.
I wrote to the Groton Town Clerk’s office for guidance on this issue, explaining that, in some cases, a restored vintage car with antique license plates might be fairly high in value but that there are a great many cars out there that are 20 years or older (including my own) which are not “restored” and are simply being used as basic transportation. Being on a fixed income, I don’t like to buy new cars very often.
Town Clerk Betsy Moukawsher promptly referred my inquiry to Mary Gardner, the Tax Assessor for Town of Groton (860-441-6665) who then communicated with me by E-mail, after which I stopped in to see her at Town Hall. She explained how the NADA guideline functions, indicating in some cases where there may be valuation exceptions which can be reviewed in an appeals process.
But for most of us, as Ms. Gardner explained, there is a much easier and more cost-effective process. On October 1, 2008, the State of CT enacted Substitute Senate Bill # 298, Public Act # 08-150, which pertains to older vehicles as defined in section 14-1 of the Statutes.
The bottom line is that someone with a car over 20 years old (like mine) that has not been mechanically modified (or “souped up”) can fill out a form from the Groton Tax Office which will establish the vehicle at an assessed value of $500 for the remainder of time that the car is owned by that person. Many of us can breath more easily now……but contact the tax office for more detail and to receive the affidavit form, which I believe can also be E-mailed or faxed as well.
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The above information in the article is still accurate. Here is an update with more specific info:
1) I did receive direct feedback from readers including local friends with older vehicles who had been totally unaware of the 2008 Senate Bill. For unknown reasons, expect for my own article, this subject has received very little publicity since that time. In my opinion, owners should be automatically notified that they may be eligible for such tax re-classification, even though it may result in slightly less property tax revenue for the Town and/or State.
2) The cost savings could be noticeable for many of you with older cars. My 1994 Dodge Caravan is listed at a 2014 70% valuation of $1,820 with an annual tax of $40.66. A revised valuation to a value of $500 would result in a tax of only $11.17, a savings of $29.49 annually. Many of you with higher valuation values would save much more than that.
3) One situation I encountered recently involved a communication problem ( I am being polite) with the Groton Tax Assessors Office. In order to take advantage of the above savings, I therefore suggest the following to AVOID the necessity of filing for a hearing with the Board of Appeals:
a) When contacting the Assessors Office, either by phone or in person, be sure to get the actual NAME of the employee and the date you spoke with him/her.
b) When you receive the proper affidavit form, and fill it out, make a copy for yourself, then HAND DELIVER the original to the Tax Assessors office, have them check it while you are there and initial your own copy for verification. Again, get the person’s NAME that you are dealing with.
c) Most important….there is a timing requirement for filing in order for the change to take effect. If you try to file for THIS tax period, with the Grand List already established by January 2015, after having just received your tax bills this month of July, the Assessor’s office will NOT make the change for this 2014 tax period.
d) You will then be forced to deal with the Board of Appeals in September if you want to fight their decision. By that time, if you have refused to pay the tax, you will also be liable for late payment penalties (some folks might call that a “catch 22”) if the Board refuses your appeal.
e) Therefore, commence the paperwork by October 2015 if you want to take advantage of the $500 classification for the 2015 Grand List on your 1995 (or older) vehicle.
By all means, call the tax assessor’s office to verify these things.
If any of you wish to communicate with me directly on this subject, especially if you have “interesting” stories to tell, I would be glad to hear from you. Please use: EdwardR.Johnson72@gmail.com
Thanks for your attention…..happy trails! Ed J
