A Villager (we’ll call her V) sold her Almaden Valley residence and moved to The Villages. She vaguely knew property tax law allowed the transfer of her Proposition 13 property base value from her previous property to her new residence. However, V mistakenly believed her realtor, or the title company would automatically make the transfer application on her behalf.
V became involved with her mother’s care and other family problems. She automatically paid her property tax bills when due. Now four years later she read the recent SRS article about Prop 19 and discovered neither her realtor nor the title company filed the transfer application. The form’s instructions state the form must be filed within three years of when her replacement residence was purchased. She asked SRS if she had waited too long to apply for the property tax relief.
Yes, it is late, but not all is lost; V is partially in luck. The County of Santa Clara will accept late transfer applications. However, a late application applies to the current and future years’ taxes. It does not change V’s tax base retroactively to her date of purchase.
V is currently paying property tax on a base of almost $700,000. Her Almaden property tax base was a little over $300,000. If her prior tax base is now transferred to her current residence, V will see about an annual $5,000 reduction in her future property taxes. V has paid dearly for her mistake. The delay in filling has cost her about $20,000 in four years. But she can go forward with a reduced property tax base from her Almaden Valley home.
The form to apply for the tax base transfer is available on the Santa Clara County Assessor web site at capropeforms.org/counties/santa_clara/form/BOE-19-B
Are you an attorney?
SRS is updating its list of attorneys who specialize in estates and trusts. Are you a Villager who would like to be added to the list? Or are you an extremely satisfied client of an attorney who lives close to The Villages and whom you could ask about inclusion on the list? Villagers would appreciate an estate attorney who would be willing to make house calls.
Please leave a message at the SRS office at 408-239-5253 or e-mail SRS at villagessrs@sbcglobal.net.
Note: The Senior Resource Services (SRS) office hours for drop-in assistance are Monday, Wednesday, and Friday from 10 a.m. to noon. The SRS office is in the Cribari Center across from the Post Office. You may also leave a message at 408-239-5253 or e-mail SRS at villagessrs@sbcglobal.net. The web site is www.thevillagesgcc.com/srs. The purpose of SRS is to provide education and general business and financial information. All assistance is free and confidential. You should ask your professional advisor about your individual situation.
