Gov. Andy Beshear released an executive order this week in response to rising vehicle valuation prices.
In response to Gov. Andy Beshear’s executive order, Kenton County Clerk Gabrielle Summe released an email demonstrating how citizens can prepare to file their tax returns in relation to vehicle valuations. The four bullet points are listed below. Currently, the Department of Revenue and the Department of Transportation are currently working together on a refund plan.
- If a citizen hasn’t paid their taxes yet, then call the PVA office at (859) 392-1750 prior to your visit to the Covington or Independence locations of the County Clerk’s office.
- If a citizen hasn’t had time to call the Property Valuation Administrator prior to their visit, then the Deputy County Clerk will call the PVA for you. This could take a few minutes, so the clerk’s office appreciates everyone’s patience during this time.
- If a citizen doesn’t have time to contact the PVA prior to paying their car taxes in person, by check or online, then they will pay the taxes on the current value, but once the values are adjusted by Feb. 27, 2021, then they’ll be receiving a refund.
- If a citizen has already paid in person, by check or even online, then a refund check will be issued to them. The Department of Revenue and the Department of Transportation are currently working on that plan.
Summe provides more context in a second email. The email’s five bullet points are listed below.
- Gov. Beshear’s executive order states the County Clerk will be generating a refund. The Department of Revenue along with the Department of Transportation are reviewing the situation and will likely have the Kentucky State Treasury issue refund checks, not the County Clerks offices.
- While Property Valuation Administrators are working on adjusting vehicle values, the Kenton County Clerk’s office encourages everyone to continue to pay their taxes that are due in February so their registration doesn’t lapse or they incur any penalties or interest.
- Vehicle valuations are scheduled to be updated in AVIS by Sunday, Feb. 27.
- March notices have already been sent out to vehicle owners, a new notice will not be sent but AVIS will reflect the correct value at the time a customer is reviewing their car.
- April notices will be sent with the corrected value for each vehicle.
Campbell County Clerk Jim Luerson posted an update on the Campbell County Clerk’s Facebook page to inform the citizens of Campbell County on how to get their vehicle’s valuation assessment lowered provided it meets the proper criteria.
“There has been a lot of news lately dealing with car taxes and vehicle values. Keep in mind this is a very fluid situation, but here is the latest I know. Governor Beshear issued Executive Order 2022-096 which directs motor vehicles to be returned to their 2021 assessments for both 2022 and 2023 tax years.”
“On Monday, February 28, the new motor vehicle assessments will be loaded into the state automotive system and your taxable value will be automatically adjusted. The March postcards have already been processed with the higher values, but the corrected figures will already be in the system. If you renew online after February 28, the tax figures will be correct. If you renew by mail, you will need to call our office at 859 292-3850 to obtain the correct figure. The April postcards will have the correct values. If you come to our office between now and February 28, you can contact the PVA office to have your assessment lowered. You can do that by phone (859 292-3871) or in person at 1098 Monmouth Street, Newport, KY, Room 329.”
“You will not need to contact the PVA on February 28 or thereafter. If you have already paid the higher tax, you are entitled to a refund. You do not have to do anything to get this refund. It will be sent out from the State Treasurer’s office within the next 180 days. It is my understanding that the state will mail out all refund checks at the same time. I appreciate your patience in this matter. If we get anymore information I will pass it along.”
For more context on what Gov. Andy Beshear’s executive order directly stated, below are the order’s seven declarations.
- Available information warrants a deviation from the standard value of motor vehicles under KRS 132.485(1)(a) for the January 1, 2022, and the January 1, 2023, assessment dates.
- For the January 1, 2022 assessment date, the deviation from the standard value of motor vehicles under paragraph 1. of this order shall be to subtract any increase in the assessed value of the motor vehicle from January 1, 2021.
- For the January 1, 2023, assessment date, the deviation from the standard value of motor vehicles under paragraph 1. of this order shall be to subtract any increase in the assessed value of the motor vehicle from January 1, 2021.
- The deviation from the standard value of a motor vehicle for which there is no assessment on January 1, 2021, shall be to subtract any increase in the value of the motor vehicle from January 1, 2021, as determined by the property valuation administrator.
- The deviation from the standard value of a motor vehicle for which there is no record of assessment on January 1, 2022, shall be to subtract any increase in the value of the motor vehicle from January 1, 2021, as determined by the property valuation administrator.
- The property valuation administrator may adjust the value of a motor vehicle when the registrant has provided evidence that the standard value does not reflect the motor vehicle’s condition, options, mileage, or certificate of title issued.
- Taxpayers who paid motor vehicle property taxes prior to the effective date of this order shall be entitled to a refund of the overpayment of property taxes credited from the retroactive application of this order. The Kentucky Department of Revenue and local taxing jurisdictions shall establish procedures that allow taxpayers to receive refunds of state and local ad valorem property taxes. Refunds shall be issued by the county clerk, as collector of the ad valorem taxes on motor vehicles, within 180 days of the effective date of this order.
