The Wilbur D. May Museum at Rancho San Rafael has a wide range of historic artifacts
The Wilbur D. May Museum at Rancho San Rafael has a wide range of historic artifacts

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County Home => Assessor`s Office => Exemptions/Rebate => Exemption Frequently Asked Questions

 

Exemption Frequently Asked Questions
Washoe County Assessor

NRS 361.471-361.4735 provides for a partial abatement of taxes by limiting or "capping" the amount a tax bill can increase from year to year. The increase is limited to 3% for an owner occupied primary residence (single-family home, townhouse, condominium or manufactured home) and certain qualified rental properties. Tax bills for all other properties (residences that are not owner occupied, land, commercial buildings, business personal property, aircraft, etc.) are limited to a percentage not to exceed 8%.
  • If the property is your primary residence within the State of Nevada, the abatement equals the amount of taxes that exceed last year`s tax bill plus 3%.
  • If the property contains rental unit(s) and the rent on all units within the property are at or below the fair market rent for the county in which the dwelling is located, as most recently published by the United States Department of Housing and Urban Development, the abatement equals the amount of taxes which exceed last year`s tax bill plus 3%.


  • Most other properties (rental units where the rent exceeds the HUD guidelines, commercial, industrial, vacant land, mixed use, etc.), except as noted below, are subject to an abatement at a higher level which is calculated by comparing


  • (1) The greater of: (I) The average percentage of change in the assessed valuation of all the taxable property in the county, as determined by the Department, over the fiscal year in which the levy is made and the 9 immediately preceding fiscal years; (II) Twice the percentage of increase in the Consumer Price Index for all Urban Consumers, U.S. City Average (All Items) for the immediately preceding calendar year; or (III) Zero; or (2) Eight percent, whichever is less.


  • For 2011, the result of the above is 4%
Because the current year tax bill is calculated based on the prior year tax bill, changes in assessed value do not have as much impact on a tax bill (up or down) as they did prior to the law change.

The abatement is the amount of additional taxes that would have been owed if not for the tax cap. For a property with a 3% tax cap, if the 2008 tax bill was $1,000 the 2009 tax bill could be no more than $1,030 even if the calculated taxes (assessed value x tax rate) were $1,050.

In the example above the $20 difference between the actual tax bill of $1,030 and the calculated tax bill of $1,050 is the abatement.

The abatement amount is identified on the tax bill. A decrease in assessed value will not result in a decrease in taxes until the prior year`s tax bill plus your tax cap percentage is greater than your actual calculated taxes. In an increasing market you may receive abatement for each year. In a declining or stagnant market your tax bill may eventually increase until there is no abatement for a tax year.

For most properties, fiscal year 2004/05 is the base year for applying the tax cap and calculating the abatement. Although values may have increased in succeeding years, the new law limits the increase to a tax bill to 3% or 8%.

Any increase in value (except increases due to improvement to or changes in the actual or authorized use of the property) that would cause a property owners tax bill to increase by more than 3% or 8% results in an abatement of the taxes.

For parcels created after fiscal year 2004/05, which are designated as "new parcels", the base year would be the year the parcel was created and the abatement and tax cap would apply from that year forward.

Click here for additional examples
All owner occupied homes (including single-family homes, condos, townhouses and manufactured homes) that are used as primary residences qualify for the 3% tax cap. Also, rental units may be eligible if all the units are rented for equal to or less than the HUD median market rents.
The statutes provide for a partial abatement of the ad valorem taxes levied on a qualified property. The effect of this partial abatement results in a Tax Cap. The tax cap will limit the increase of your tax bill to 3% over the previous year`s tax amount for your primary residence within Nevada or rental properties where the rent charged does not exceed the fair market rent for the county in which the dwelling is located, as most recently published by HUD. Most other property will receive a higher "cap", which, for 2011/2012 is 4 % over the previous years tax bill. This higher cap is subject to change yearly. It does not limit the increase in assessed value.
A residence which is designated by the owner as the primary residence of the owner in this State, exclusive of any other residence of the owner in this State; AND

Which is not rented, leased or otherwise made available for exclusive occupancy by any person other than the owner of the residence and members of the family of the owner.
The exemption will be applied to the tax bill after the cap is applied.
The following situations could cause an increase of more than the prescribed cap:

An exemption, which was applied to last years tax bill, was removed for the current year.

There was a change in use for the property such as a zoning change or mobile home conversion.

There was new construction or improvement to the property.

New, Voter approved, increases were levied or the property was annexed into a district with a higher tax rate.

There are items billed on your tax bill that are not ad valorem taxes. These are not affected by the tax cap, and could increase more than the prescribed cap.
Not necessarily, any property where the percentage of tax increase is less than the corresponding cap, and there is no prior abatement, will only be billed the original increase of the taxes. The corresponding cap will not automatically increase the tax bill.
If you live in the home you own, it is considered your primary residence and therefore qualifies for the 3% tax cap.
The rent you are charging would need to be equal to or less than the HUD median market rent in order to qualify for the 3% cap. The higher cap would apply unless it is a new property for this year, which does not have a cap.
If you own both the land and the manufactured home, and occupy the manufactured home as your primary residence you are eligible for the 3% tax cap on the land and manufactured home. This applies even if the manufactured home has not been converted to real property.

If you own the manufactured home but not the land, the manufactured home is eligible for the 3% tax cap. The cap level for the land would be determined based on the space rent charged.

If you own the land but not the manufactured home you would not be eligible for the 3% tax cap unless the space rent is less than the HUD median market rent.

If you own the land and the manufactured home but they are a rental, you are eligible for the 3% tax cap only if the rent you are charging is equal to or less than the HUD median market rent.
Yes, as long as you are not already claiming another property in the State of Nevada as your primary residence.
Each and every rental unit on the parcel must be rented for equal to or less than the HUD median market rent. All units must qualify.
If your parcel has a land use code (zoning) of residential, your property would still qualify for the 3% tax cap.
If your parcel has a land use code (zoning) of commercial and it also includes your primary residence, the residential portion of your property can qualify for the 3% cap.

The county assessor may determine the separate portions of your property that are commercial (nonqualifying) and residential (qualifying) and apply to each such portion the appropriate partial abatement from property taxes.
The transfer of ownership of property will trigger a new affidavit to be mailed to the new owner to verify the status. The new affidavits will be mailed in April and August.
The 3% tax cap is applied to your tax amount, not the assessed value of your property.
No, you must sign the application and, if necessary, the rental questionnaire as the property owner. We will send the documents to you upon request.
No, but you will not qualify for the primary residence or residential rental (low income rental) tax cap if you do not, and you must sign the form.

Please note: Incomplete and/or unsigned forms may result in the property not qualifying for the lower tax cap which may result in a higher tax bill.
No. Any owner or legally authorized agent may sign the letter.
Yes, all properties in which the beneficiary of the trust occupy as their primary residence would qualify for the 3% tax cap.
No, only the amount of increase on your tax bill is capped.
No, only the amount of increase on your tax bill is capped.
No, the cap is applied based on the status effective July 1st of that fiscal year ( our fiscal year is July 1 thru June 30). You can change your property qualification to primary residence effective July 1st of the following year.
No, if you rent by the day, your property would be considered transient lodging, which does not qualify.

A better way to do the math would be: Rent of $400 a day X 30 days in a month = $12,000 a month rent, which is above HUD median market rent, and would not qualify.
No, transient lodging does not qualify.
The home in Nevada could qualify as your primary residence provided it meets all the previously stated requirements and it is not rented out at any time when you are not occupying the home.

If it is a full time rental and meets the HUD low rental guidelines it may qualify for the 3% residential rental tax cap.
You can have only one primary residence in Nevada, however, if each home that you own has a family member living in it full time, that does not pay any rent, then that home would qualify for the 3% cap as a rental, renting below HUD median market rent. (The rent would be $0.00 a month.)
The Assessor`s Office has created a form for you to fill out to appeal the decision made on the tax cap applied to your property. You can obtain that form by calling, writing or coming in to the Assessor`s Office and asking for the Partial Abatement, "tax cap", appeal form. It is also available on their web site:

Jump to Appeal Form Link

Beginning with the 2009/2010 fiscal year the deadline to appeal is June 30th. So for the 2010/2011 fiscal year appeals must be filed by June 30, 2011. Prior to 2009/2010 the deadline to appeal was January 15th, so for the 2008/2009 fiscal year the appeal deadline was January 15, 2009.

The Assessor has 30 days to respond to your appeal.
If you disagree with the decision on your appeal you may contact the Assessor`s Office with additional information and/or appeal the decision to the Nevada Tax Commission as oulined in Nevada Revised Statute 361.4734(2).

You have 30 days after receiving notice of the Assessor`s decision to file an appeal with the Nevada Tax Commission.
Once we receive a claim form for an owner occupied primary residence we maintain the 3% cap on the property unless there is an ownership change, mailing address change, or if the owner notifies us of a status change. At that time we would send out another claim form for verification. We have to verify rents every year so you’ll continue to receive the rental forms.
An application must be completed and returned to the Assessor`s office. Call 775-328-2223 for information and to request the appropriate application.
Yes, Nevada offers tax exemptions to persons meeting certain requirements such as: Surviving Spouse, Veterans, Disabled Veterans, and Blind Persons. These exemptions can be applied to real property, personal property (mobile homes, etc.) or used to exempt all or part of your vehicle privilege tax. The tax dollar amount of the exemption varies.


Nevada also has special exclusions for pollution control, radioactive fallout shelters, renewable resource heating and cooling systems, and residential construction to remove architectural barriers for handicapped persons.
For an exemption to be used on real property, the application must be made and the real property exemption card signed on or before June 15, prior to the start of the new tax year. If the exemption is to be applied to personal property or a motor vehicle, the personal property exemption card may be signed any time on or before the date such taxes are due.

An initial claim for a tax exemption on real property acquired after June 15 and before July 1 must be filed on or before July 5.
This exemption applies to surviving spouses who are residents of the State of Nevada. To receive this exemption a surviving spouse must bring a copy of the death certificate to the Assessor`s office when initially applying for the exemption, and sign an affidavit of bona fide residency*.

A surviving spouse of a 60% or greater disabled veteran may also qualify to receive an additional exemption, please contact our office for details.

*NRS 361.015 "Bona fide resident" defined. "Bona fide resident" means a person who has:

1. Established a residence in the State of Nevada; and

2. Actually resided in this state for at least 6 months or has a valid driver`s license or identification card issued by the Department of Motor Vehicles of this state.
The Blind Persons Exemption is available to residents with visual acuity that does not exceed 20/200 in the better eye when corrected, or whose field of vision subtends an angle of 20 degrees or less. To qualify for this exemption, it is necessary to furnish a doctor`s statement that the above requirements are met and sign an affidavit of bona fide residency*.

*NRS 361.015 "Bona fide resident" defined. "Bona fide resident" means a person who has:

1. Established a residence in the State of Nevada; and

2. Actually resided in this state for at least 6 months or has a valid driver`s license or identification card issued by the Department of Motor Vehicles of this state.
The Veteran`s exemption is applicable to an honorably discharged veteran of the Armed Forces of the United States who is a bona fide resident* of the State of Nevada and:

(a) Has served a minimum of 90 continuous days on active duty, who was assigned to active duty at some time between April 21, 1898, and June 15, 1903, or between April 6, 1917, and November 11, 1918, or between December 7, 1941, and December 31, 1946, or between June 25, 1950, and May 7, 1975, or between September 26, 1982, and December 1, 1987, or between October 23, 1983, and November 21, 1983, or between December 20, 1989, and January 31, 1990, or between August 2, 1990, and April 11, 1991, or between December 5, 1992, and March 31, 1994, or between November 20, 1995, and December 20, 1996;

(b) Has served on active duty in connection with carrying out the authorization granted to the President of the United States in Public Law 102-1; or

(c) Has served on active duty in connection with a campaign or expedition for service in which a medal has been authorized by the Government of the United States, regardless of the number of days served on active duty,

and who received, upon severance from service, an honorable discharge or certificate of satisfactory service from the Armed Forces of the United States, or who, having so served, is still serving in the Armed Forces of the United States, is exempt from taxation.

When filing for the first time, it is necessary to bring in a copy of your separation papers showing dates of entry and discharge or release from active duty.

*NRS 361.015 "Bona fide resident" defined. "Bona fide resident" means a person who has:

1. Established a residence in the State of Nevada; and

2. Actually resided in this state for at least 6 months or has a valid driver`s license or identification card issued by the Department of Motor Vehicles of this state.
The Disabled Veteran`s Exemption is provided for veterans who have a permanent service connection disability of at least 60%.

To qualify for this exemption, you must be a bona fide resident* of Nevada and furnish copies of your separation papers showing dates of entry and discharge and documentation of the percentage of service connected disability from the Veteran`s Administration. The surviving spouse of a disabled veteran who was eligible for this exemption at the time of his/her death may also be eligible to receive the benefits of this program.

*NRS 361.015 "Bona fide resident" defined. "Bona fide resident" means a person who has:

1. Established a residence in the State of Nevada; and

2. Actually resided in this state for at least 6 months or has a valid driver`s license or identification card issued by the Department of Motor Vehicles of this state.