West Virginia Code 36B-1-105(2), “Separate titles and taxation” (which pertains to taxation of planned communities), provides that “no separate tax or assessment may be rendered against any common elements for which a declarant has reserved no development rights.”
IN SUMMARY:
ADJUDGED AND ORDERED, that the appeal is granted, and the assessment against the Petitioner, Crystal Lakes Property Association, Inc., is hereby declared void and is set aside, commencing with the current calendar tax year, 2009.
The Honorable David H. Sanders, Circuit Court of Jefferson County, WV
WHAT DOES THIS MEAN TO CLOVERDALE?
Cloverdale is a planned community with common elements, e.g. roads, lamp posts, mailbox cluster, school bus shelters, culverts, landscaping, etc. that the membership at large maintains with their Annual Dues. Cloverdale was developed pursuant to WV Code 36B. Cloverdale’s individual members pay their own property real estate tax and they pay their annual membership dues. Cloverdale is exempt from paying another individual tax on common elements/areas.
However, the Jefferson County Tax Assessor specifically states 9/15/2010
“However, if the development was created pursuant to the Uniform Common Interest Ownership Act (UCIOA), then the common areas must be valued, then divided by the number of units (lots or condo units) and then proportionally added to each unit. In that case, there is not a separate assessment for the common areas, but rather the value is included in each lot owners value proportionally. The burden is on the taxpayer to prove that they were created pursuant to UCIOA.“
