Ariz. Admin. Code § 15-4-103

Current through Register Vol. 30, No. 24, June 14, 2024

Section R15-4-103 - Prorating Value for Classification Purposes

A. If the assessor determines that a parcel of property should have more than one assessment ratio due to multiple uses under A.R.S. § 42-15010, the assessor shall:

1. Calculate the assessment ratios according to subsections (B) and (C), and

2. Apply the ratios to the full cash value of the entire parcel.

B. For secondary tax purposes, the assessor shall calculate separate assessment ratios for land and improvements.

1. The assessment ratio for land is calculated by taking the full cash value of the land in each class divided by the total full cash value of the land. The resultant quotient for each class is then multiplied by the assessment ratio for the class. The sum of these products is the ratio for the land.

2. The assessment ratio for improvements is calculated by taking the full cash value of the improvements in each class divided by the total full cash value of the improvements. The resultant quotient for each class is then multiplied by the assessment ratio for the class. The sum of these products is the assessment ratio for improvements.

C. For primary tax purposes, the assessor shall calculate a single assessment ratio to apply to the limited value. The single assessment ratio is the sum of the factors calculated in subsections (C)(1) and (C)(2).

1. The full cash value of the land is divided by the total full cash value of land and improvements. The resultant quotient is then multiplied by the assessment ratio for land as calculated in subsection (B)(1).

2. The full cash value of improvements is divided by the total full cash value of land and improvements. The resultant quotient is then multiplied by the assessment ratio for improvements as calculated in subsection (B)(2).

Ariz. Admin. Code § R15-4-103

Former Rule 3. Former Section R15-4-03 renumbered as Section R15-4-103 without change effective December 10, 1985 (Supp. 85-6). Former Section R15-4-103 repealed, new Section R15-4-103 adopted effective September 16, 1987 (Supp. 87-3). Amended by final rulemaking at 7 A.A.R. 657, effective January 11, 2001 (Supp. 01-1).