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TC Ord. No. 2004-08 Amending chapter 3.12 Title 3 muni code of the TOA to provide a procedure for the refund of real estate transfer taxes paid in errorTOWN OF AVON, COLORADO ORDINANCE NO. 04-08 AN ORDINANCE AMENDING CHAPTER 3.12, TITLE 3, MUNICIPAL CODE OF THE TOWN OF AVON, TO PROVIDE A PROCEDURE FOR THE REFUND OF REAL ESTATE TRANSFER TAXES PAID IN ERROR. BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON,COLORADO: Section 1. Amendment. Chapter 3.12 of Title 2, Avon Municipal Code, is amended by the addition of a Section 3.12.140 as follows: 3.12.140 Refund of tax paid in error. If the full amount of the tax is paid in error in connection with a transfer as to which the first one hundred sixty thousand dollars ($160,000) of the consideration paid is exempt, the transferee may apply to the Town Manager for a refund of the tax paid in error, without interest. Any such application for refund must be filed within one year after the day of recording of the deed causing the transfer. A failure of the Town Manager to act upon the application within ten (10) business days after receipt of the application shall be conclusively deemed to constitute approval of such application. Any person whose application is denied may appeal to the Town Council in accordance with Section 1.12.070(b) of this Chapter. Section 2. Applicability. This ordinance shall apply to transfers occurring after January 1, 2004. INTRODUCED, APPROVED, PASSED ON FIRST READING AND ORDERED POSTED the 22nd day of June, 2004, and a public hearing on this ordinance shall be held at the regular meeting of the Town Council on the 13th day of July, 2004, at 5:30 P.M. in the Council Chambers, Avon Municipal Building, 400 Benchmark Road, Avon, Colorado. (3uaL Albert D. Reynolds, MaATT Patty'McKAnny, Town F)EjAL INTRODUCED, FINALLY APPROVED, PASSED ON SECOND READING AND ORDERED POSTED the 13th day of July, 2004. 0')L-L"~L M4'-q& Albert D. Reynolds, Mayo ATTEST: Q rqC Pa M envy, T wn Clerk APPROVED AS TO FORM: 1& 4-, Jo W. Dunn, Town Attorney Ordinance No. 04-08 Transfer Tax Refund Page 2 of 2 STATE OF COLORADO) COUNTY OF EAGLE ) SS TOWN OF AVON 1 NOTICE IS HEREBY GIVEN THAT THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO ADOPTED ON THE 13TH DAY OF JULY 2004 THE FOLLOWING ORDINANCE: Town of Avon Ordinance No. 04-08, Series of 2004, An Ordinance amending Chapter 3.12, Title 3, Municipal Code of the Town of Avon, to Provide a Procedure for the Refund of Real Estate Transfer Tax Paid in Error A copy of said Ordinance is attached hereto, and are also on file at the office of the Town Clerk, and may be inspected during regular business hours, Monday through Friday, 8 AM - 5 PM. This notice is given and posted by order of the Town Council of the Town of Avon, Colorado TOWN OF AVON, COLORADO BY: Patty McKenny Town Clerk POSTED AT THE FOLLOWING PUBLIC PLACES WITHIN THE TOWN OF AVON ON JULY 16, 2004 ✓ AVON MUNICIPAL BUILDING, MAIN LOBBY ✓ ALPINE BANK, MAIN LOBBY ✓ AVON RECREATION CENTER, MAIN LOBBY ✓ CITY MARKET, MAIN LOBBY STATE OF COLORADO ) COUNTY OF EAGLE ) SS TOWN OF AVON NOTICE IS HEREBY GIVEN OF A PUBLIC HEARING BEFORE THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO AT 5:30 P.M. ON JULY 13, 2004, AT THE TOWN OF AVON MUNICIPAL BUILDING FOR THE PURPOSE OF CONSIDERING THE ADOPTION OF THE FOLLOWING ORDINANCE: Town of Avon Ordinance No. 04-08, Series of 2004, An Ordinance amending Chapter 3.12, Title 3, Municipal Code of the Town of Avon, to Provide a Procedure for the Refund of Real Estate Transfer Tax Paid in Error A copy of said Ordinance is attached hereto, and is also on file at the office of the Town Clerk, and may be inspected during regular business hours, Monday through Friday, 8 AM - 5 PM. Following this hearing, the Council may consider final passage of this Ordinance. This notice is given and posted by order of the Town Council of the Town of Avon, Colorado TOWN OF AVON, COLORADO ' BY: Patty McKenny Town Clerk POSTED AT THE FOLLOWING PUBLIC PLACES WITHIN THE TOWN OF AVON ON JUNE 25, 2004. ✓ AVON MUNICIPAL BUILDING, MAIN LOBBY ✓ ALPINE BANK, MAIN LOBBY ✓ AVON RECREATION CENTER, MAIN LOBBY ✓ CITY MARKET, MAIN LOBBY MEMORANDUM TO: TOWN COUNCIL FROM: TOWN ATTORNEY RE: REAL ESTATE TRANSFER TAX REFUNDS DATE: June 15, 2004 As directed by council at your last meeting, an amendment to the real estate transfer tax has been prepared for consideration by you. The amendment will authorize refunds of portions of the transfer tax paid in error because the purchaser was unaware of the principal residence exemption from the tax. -Generally, the procedure for applying for the refund is the same as the procedure for applying for the exemption. The Town Manager is required to act on the application within ten days. If the application is denied, the applicant can appeal.the decision to the Town Council. Staff is recommending, and there is included in the ordinance, a time limit of one year for application for the refund. Staff is concerned that having no time limit could expose the Town to an unlimited liability. Although the liability likely would not be a large one, it would raise questions with respects to the Town's budget and the audit. One year seems to be an appropriate time limit. Also, making the ordinance effective January 1, 2004, limits budgetary considerations to the present budget year. JWD:ipse r~