Higher Numbers of DC Vacant Properties Means Increase In Taxes

Vacant or blighted D.C. properties will cost owners “five to 10 times in taxes what it would have cost” had the buildings been in productive use, the Washington Business Journal reported on August 31, 2011. In second half 2011 bills mailed by the District, the Department of Consumer and Regulatory Affairs showed 1,115 properties are being billed at the Class 3 vacant rate of $5 per $100 of assessed value when there had been only 444 Class 3 properties in the first half of the year. Furthermore, an additional 243 properties “that are literally falling apart” will be billed at the Class 4 blighted rate of $10 per $100 of assessed value, according to the Journal.

The DCRA identified 2,257 D.C. properties as vacant before second half billing, but almost 900 property owners requested and received exemptions, “generally because the properties were under renovation or listed for sale or rent,” the Journal said. The standard residential property tax rate is 85 cents while the standard commercial rate is $1.65 for the first $3 million of assessed value and $1.85 above $3 million.

It is difficult enough to own property that is falling apart, but having to pay additional taxes on that property only makes the problem worse. A Washington DC bankruptcy lawyer can help supply you with the bankruptcy information you need to make an informed decision to help you tackle your debt. Whether you have questions about Chapter 13 bankruptcy rules or the Chapter 7 bankruptcy process, you can get answers today when you contact our office for a free phone consultation.

Law Firm of Kevin D. Judd – Washington DC bankruptcy attorney

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