General Tax Information
Tax Rate: $12.40 per thousand dollars of valuation for tax year July 05-June 06
Interest Rate: 6.5%
Calendar Year: July 1 to June 30
Assessment date: April 1
Due Date: October 15 & April 15
Assessment Ratio: 100%
Public Access: The office maintains assessment information including tax maps, property
cards, real estate transfer tax, and valuation listings according to
name, property address or map/lot. These may be examined during regular
office hours and copies are available for a reasonable fee.
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Frequently Asked Questions
What guidelines must the Assessor follow?
Property tax administration is guided by the State Constitution, Title 36 of the Mains Statues, and a body of case law that interprets these Statutes. Assessment practice is NOT guided by local ordinance. The Assessor is charged with establishing a list of all properties in town and estimating their market value.
How is the tax rate established?
The Board of Selectmen & Budget Committee make recommendations for the annual budget (revenues and expenses) which is voted on at the Annual Town Meeting in June. Once the School Budget and county budget is determined, the Board of Selectmen set the tax rate by dividing the amount needed to raised (the budget, net of other revenues) by the town's total assessed property value.
How is my tax bill figured?
Each property owner's responsibility for their part of the town's annual budget is assigned to them according to the value of their property. This "share" is calculated by multiplying their individual property's valuation by the tax rate. For example, if the value of your property is $150,000, this number is multiplied by the tax rate to determine the tax bill.
What creates market value?
The citizens establish market value through their ongoing transactions of buying and selling property. It is the duty of the assessor to study these sales transactions and appraise properties accordingly.
When are taxes due?
The due dates are set each year at the Annual Town Meeting in June. Typically, the taxes are due October 15 and April 15.
What causes property values to change?
The most frequent cause of value change is a change in the general real estate market. As demand for property goes up, prices tend to go up. As demand decreases, so do prices.
An individual property can also change in value due to changes to the property itself. If something is added, such as a garage, bedroom, or pool, the value increases. On the other hand, fire demolition, or depreciation from poor maintenance can decrease value.
Sometimes external economic forces can also change value. Times of general inflation also drive up property values.
Exemptions
There are several classes of exempt property. The following personal exemptions exist;
Homestead Exemption - The 1998 Maine Legislature enacted a new law giving homeowners property tax relief beginning in the spring of 1998. In 2003, the 121st legislature enacted changes in Maine's Homestead Exemption, and now homeowners are eligible for a reduction of up to $2,500, $5,000, or $7,000 in their permanent residence's assessed value, depending upon the assessed value of their eligible property. If you have owned a home in Maine for 12 months prior to April 1st, you may apply for this program.
Veteran's Exemption - Property owners may be eligible for a reduction in the valuation of their property if they:
* Own a residence in Bowdoinham on April 1 of the tax year applying for.
* Are a veteran who is not dishonorably discharged.
* Served during a recognized war period in the U.S. Armed Forces.
* Are over 62 or are an un-remarried widow of a qualifying veteran.
If the veteran is under 62 but is 100% disabled due to a service-connected disability, he/she might likewise qualify. In any case, the veteran must fill out a form and provide proof of service and discharge, such as a copy of their DD214 form.
For veterans who served during World War II or later, the exemption is up to the just value of $5,000. For veterans serving prior, the exemption is up to the just value of $7,000. Paraplegic veterans may receive an exemption of up to the just value of $47,500 for a specially-adapted housing unit.
Applications for these exemptions are as follows & must be in to the Assessor by April 1st:
Blind Exemption - The residential real estate of residents who are legally blind as determined by the Department of Education Division for the Blind and Visually Impaired may be exempt up to the just value of $4,000. Blind Exemption Forms available at the Town Office.
Tree Growth
As a matter of public policy, the State of Maine has set up a Tree Growth category of property which values land according to rated established by the State rather than market value. A property owner who wishes to maintain land for the planting, culture, and continuous harvesting of trees may apply for a Tree Growth classification. The owner should be intent on actual long-term tree cultivation as any change in use triggers a hefty penalty tax.
To apply, a landowner should:
1. Have at least 10 acres in forest production
2. Have a forest management and harvest plan
3. Fill out an application to be filed with the Town of Bowdoinham's Assessor
4. File by April 1st in the year for which the classification is requested.
Farm and Open Space
Farm land under this statute means land registered for long-term use in agricultural production.
Valuation -- The assessor establishes the 100% valuation per acre on a current use basis, i.e. reflecting
their value as agricultural land, not as developable land.
Requirements -- At least one of the applicant's tracts must be 5 contiguous acres which produces a
gross income of at least $2,000 per year in one of the two or three of the five calendar years preceding
the date of application. By April 1st of each fifth year, the owner must file an income report of the
gross agricultural income derived from the subject property.
Withdrawal -- Should the owner change the use of part or all of the property, a substantial penalty
is assessed.
Open Space land under this statute means registered land, the preservation or restriction of the use of which provides a defined public benefit.
Valuation -- Either market value of open space land or alternative percentage-based method is used.
In the percentage method, a reduction from market value is granted for each restriction placed on the
subject property:
* Ordinary open space land - 20%
* Permanently protected - 30%
* Forever wild - 20%
* Public access - 25%
In no case can the land be valued at less than the prevailing tree growth valuation.
Requirements -- A public benefit must be obtained in one or more of the following areas:
* Conserving scenic resources
* Enhancing public recreation opportunities
* Promoting game management
* Preserving wildlife or wildlife habitat
Withdrawal -- Should the owner change the use of part or all of the property, a substantial penalty
is assessed.
It should be noted that Tree Growth and Open Space land can have the effect of increasing the value of abutting property. If interested in either of these classifications, the property owner should contact the Town Office and make an appointment with the Assessor for more information and an application.
Abatements
Abatements are reductions in one's property tax bill. They are granted when the Assessor discovers an error in assessment or if the owner points such error out. If the owner believes that the current value placed on their property is inaccurate, unfair, or overvalued relative to the current real estate market, they may take the following steps, in order:
1. Review the property record card (available at the Town Office) to assure the accuracy of its data
2. Check sale prices of similar homes in the area.
3. Provide evidence to the Assessor that the property is overvalued.
4. Request a valuation review by the Assessor. Jim Phillips is in our office one day a month to do
assessing work. You may contact the Town Office to make an appointment.
5. Make a formal abatement request if not satisfied by the Assessor.
The property owner has 185 days from the commitment date to file a formal abatement request. The Assessor may go back one year in granting an abatement. The Board of Selectmen may go back three years, but only to correct an illegality, error, irregularity in assessment. They may not grant an abatement to correct an error in valuation of property.
In making a formal abatement appeal the assessment is presumed valid and the burden is on the taxpayer to show that it is manifestly wrong in relation to just value.
To download any of the above applications go to:
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