THE VIRGINIAN-PILOT
Copyright (c) 1997, Landmark Communications, Inc.
DATE: Wednesday, January 29, 1997 TAG: 9701290465
SECTION: LOCAL PAGE: B3 EDITION: FINAL
SOURCE: BY LINDA MCNATT, STAFF WRITER
DATELINE: SUFFOLK LENGTH: 79 lines
Owners of high-mileage motor vehicles could be in store for an unexpected break on their personal property taxes.
For the first time, Suffolk this year offered discounts on motor vehicles with more than 100,000 miles. But few residents knew about the discounts before paying personal property taxes in December because the discounts weren't advertised.
``We've just this past year gotten the capability to do this,'' said Revenue Commissioner Thomas A. Hazelwood. ``. . . There was no way to apply it to the whole system this first year, but anybody who has come and asked about it has been told.''
The refund would apply mostly to '80s vehicles with more than 100,000 miles, Hazelwood said.
Other Hampton Roads cities have been giving the high-mileage discount, which reduces the value of the vehicle - and therefore the taxes - for years. Hazelwood said his office was unable to do so before this year because of computer limitations.
Word about the discount has spread slowly.
But it could affect residents ready to purchase city stickers. The stickers are due on motor vehicles registered in Suffolk by Feb. 17, two days past the regular due date of Feb. 15, a Saturday. Proof of payment of personal property taxes is required before they can be purchased.
One man, who asked not to be identified, said a neighbor told him of possible savings after he already had paid more than $600 in personal property taxes for three vehicles. He took inspection slips from all three to the Commissioner of Revenue's office.
``A couple of weeks ago, I got a check for $108 back from the city.''
Hazelwood said the city isn't obligated to give the discount. But once his computer system was upgraded to figure the discount, he said, he thought it was the fair thing to do even though it is an ``administrtive nightmare.''
He said, ``We can use the book value and stand hard and fast. This is a decision I made on my own. State law allows us to take into account the condition of the vehicle.''
Cities use the guide issued by the National Association of Automobile Dealers, called the ``blue book,'' to assess the value of cars and trucks. The book also offers a guide for reducing the value of high mileage vehicles.
In Suffolk, motor vehicles are assessed in Hazelwood's office, and bills are sent out and money collected through the treasurer's office.
Richard R. Harris, a former city councilman, said he has pushed for the personal property tax break for several years. He was one of the first to take advantage of it.
``A lot of people in this city live here and work elsewhere,'' Harris said. ``There are a lot of high-mileage vehicles around. Mr. Hazelwood has been very fair about this, and it's a definite advantage for the citizens of Suffolk.''
Harris said the personal property tax bill for vehicles used in his auto parts business was reduced by the new tax formula by about $600. A 1990 Nissan that Harris owns, for example, was originally valued at $4,150 and taxed for $180.53. When Harris inquired, the value of that vehicle alone was reduced to $2,425, and the tax to $103.06.
The city does give residents one personal property tax break. There is no charge for vehicles manufactured before 1979. Norfolk charges a minimum of $10 for all vehicles, no matter how old they are. ILLUSTRATION: JOHN H. SHEALLY II
The Virginian-Pilot
Richard Harris of Suffolk holds the inspection sticker receipt
required to adjust personal property tax charges.
TO SEEK A REFUND
Take your most recent inspection slips to the Commissioner of
Revenue's office in the municipal building, 441 Market St., in
downtown Suffolk, from 9 a.m. to 5 p.m. Monday through Friday. If
the personal property tax is less than you have paid, you may get a
refund - for this year. If you have not paid your personal property
tax - which must be done before you may buy city stickers for your
automobiles - the bill will be reduced. Stickers must be purchased
by Feb. 17.