What Is A Supplemental Tax Assessment?
State law requires the Assessor’s Office to reappraise property immediately upon change of ownership or completion of new construction. The Assessor’s Office must issue a supplemental assessment which reflects the difference between the prior assessed value and the new assessment. This value is then prorated based on the number of months remaining in the fiscal year, ending June 30th.
For example, if property is purchased on September 15th with a market value of $150,000, and it has a prior assessed value of $50,000, this will result in a supplemental assessment for the difference ($100,000) prorated for the remaining months in the fiscal year (9 months from October through the following June):
$150,000 New Purchase Price/Market Value
-$50,000 Prior Assessed/Taxable Value
$100,000 Supplemental Assessment
x 9/12 Remaining months in Fiscal/Tax Year
$75,000 Supplemental Assessment
x 1% Tax Rate
$750 Supplemental Tax Bill
This supplemental tax bill is in addition to the regular tax bill which is based on the assessed value as of March 1st of each year. If a second sale or transfer of the property occurs during the same fiscal year, but before the mailing of the first Supplemental Tax Bill, the taxes will be prorated between the owners by the Assessor’s Office. If the date of the sale or transfer occurs between March 1st and May 31st, a second Supplemental Taxes, call the San Diego County Assessor at (619) 535-5761.
This information is designed to provide accurate and authoritative information in regard to the subject matter covered. It is given with the understanding that the author is not engaged in rendering legal service. If legal advice or other expert assistance is required, the services of a competent legal person should be sought.
