“Tax Day” is December 31^st.  Any new construction that is in place as of ‘Tax Day’ will be represented on the following year’s assessment roll.  New construction does not “UNCAP” the property.  Only the new improvement is added to the roll.

EXAMPLE:  An owner decides to build an addition and the true cash value (TCV) of the addition is determined to be $60,000.  Half of the TCV is added to the assessment roll.

Therefore, a property receiving the PRE (Principal Residence Exemption) would incur an additional $ 810 tax per year as a result of the new construction ($30,000 (1/2 of TCV ) x 0.027 annual millage rate).   Similarly, a property NOT receiving the PRE would incur an additional $1,350 per year as a result of the new construction ($30,000 (1/2 TCV) x 0.045 annual millage rate).