(1) "Residential property", all real property improved by a structure which is used or intended to be used for residential living by human occupants, vacant land in connection with an airport, land used as a golf course, manufactured home parks, bed and breakfast inns in which the owner resides and uses as a primary residence with six or fewer rooms for rent, and time-sharetime- share units as defined in section 407.600, except to the extent such units are actually rented and subject to sales tax under subdivision (6) of subsection 1 of section 144.020, but residential property shall not include other similar facilities used primarily for transient housing.

A single-familysingle- family home owned by a sole proprietor, individual, partnership, or limited liability company that is leased for a term of less than thirty consecutive days, in whole or in part, subject to sales tax under subdivision (6) of subsection 1 of section 144.020 shall be classified only as residential property.

the leasing of a single-family home, in whole or in part, HCS HB 2178 4 for a term of less than thirty consecutive days does not in itself constitute "transient housing";

Real property classified as forest croplands shall not be agricultural or horticultural property so long as it is classified as forest croplands and shall be taxed in Action Taken___________________________________________ Date __________________ Page 1 of 3 5348H02.09H accordance with the laws enacted to implement Section 7 of Article X of the Missouri Constitution.

For purposes of this section, loss in revenue shall include the difference between the revenue that would have been HCS HB 2178 5 collected on such property under its classification prior to enactment of this section and the amount to be collected under its classification under this section.

except that, where agricultural and horticultural property, as defined in this section, also contains a dwelling unit or units, the farm dwelling, appurtenant residential-related structures and up to five acres Page 2 of 3 5348H02.09H immediately surrounding such farm dwelling shall be residential property, as defined in this section, provided that the portion of property used or held for use as an urban and community garden shall not be residential property.

HCS HB 2178 6 6.

All lands classified as forest croplands shall not, for taxation purposes, be classified as subclass (1), subclass (2), or subclass (3) real property, as such classes are prescribed in Section 4(b) of Article X of the Missouri Constitution and defined in this section, but shall be taxed in accordance with the laws enacted to implement Section 7 of Article X of the Missouri Constitution.

137.115.

1.

(1) All other laws to the contrary notwithstanding, the assessor or the assessor's deputies in all counties of this state including the City of St.

Louis shall annually make a list of all real and tangible personal property taxable in the assessor's city, county, town or district.

(2) Except as otherwise provided in subsection 3 of this section and section 137.078, the assessor shall annually assess all personal property at thirty-three and one-third percent of its true value in money as of January first of each calendar year.

(3) The assessor shall annually assess all real property, including any new construction and improvements to real property, and possessory interests in real property at the percent of its true value in money set in subsection 5 of this section.

The true value in money of any possessory interest in real property in subclass (3), where such real property is on or lies within the ultimate airport boundary as shown by a federal airport layout plan, as defined by 14 CFR 151.5, of a commercial airport having a FAR Part 139 certification and owned by a political subdivision, shall be the otherwise applicable true value in money of any such possessory interest in real property, less the total dollar amount of costs paid by a party, other than the political subdivision, towards any new construction or improvements on such real property completed after January 1, 2008, and which are included in the above- mentioned possessory interest, regardless of the year in which such costs were incurred or whether such costs were considered in any prior year.

The assessor shall annually assess all real property in the following manner:

new assessed values shall be determined as of January first of each odd-numbered year and shall be entered in the assessor's books;

those same assessed values shall apply in the following even-numbered year, except for new construction and property improvements which shall be valued as though they had been completed as of January first of the preceding odd-numbered year.

The assessor may call at the office, place of doing business, or residence of each person required by this chapter to list property, and require the person to make a correct statement of all taxable tangible personal property owned by the person or under his or her care, charge or management, taxable in the county.

(4) On or before January first of each even-numbered year, the assessor shall prepare and submit a two-year assessment maintenance plan to the county governing body and the state tax commission for their respective approval or modification.

The county governing body shall approve and forward such plan or its alternative to the plan to the state tax commission by February first.

If the county governing body fails to forward the plan or its HCS HB 2178 7 alternative to the plan to the state tax commission by February first, the assessor's plan shall be considered approved by the county governing body.

If the state tax commission fails to approve a plan and if the state tax commission and the assessor and the governing body of the county involved are unable to resolve the differences, in order to receive state cost-share funds outlined in section 137.750, the county or the assessor shall petition the administrative hearing commission, by May first, to decide all matters in dispute regarding the assessment maintenance plan.

Upon agreement of the parties, the matter may be stayed while the parties proceed with mediation or arbitration upon terms agreed to by the parties.

The final decision of the administrative hearing commission shall be subject to judicial review in the circuit court of the county involved.

(5) In the event a valuation of subclass (1) real property or subclass (3) real property within any county with a charter form of government, or within a city not within a county, is made by a computer, computer-assisted method or a computer program, the burden of proof, supported by clear, convincing and cogent evidence to sustain such valuation, shall be on the assessor at any hearing or appeal.

In any such county, unless the assessor proves otherwise, there shall be a presumption that the assessment was made by a computer, computer-assisted method or a computer program.

Such evidence shall include, but shall not be limited to, the following:

[(1)] (a) The findings of the assessor based on an appraisal of the property by generally accepted appraisal techniques;

and [(2)] (b) The purchase prices from sales of at least three comparable properties and the address or location thereof.

As used in this subdivision, the word "comparable" means that:

[(a)]a.

Such sale was closed at a date relevant to the property valuation;

and [(b)] b.

Such properties are not more than one mile from the site of the disputed property, except where no similar properties exist within one mile of the disputed property, the nearest comparable property shall be used.

Such property shall be within five hundred square feet in size of the disputed property, and resemble the disputed property in age, floor plan, number of rooms, and other relevant characteristics.

2.

Assessors in each county of this state and the City of St.

Louis may send personal property assessment forms through the mail.

3.

The following items of personal property shall each constitute separate subclasses of tangible personal property and shall be assessed and valued for the purposes of taxation at the following percentages of their true value in money:

(1) Grain and other agricultural crops in an unmanufactured condition, one-half of one percent;

(2) Livestock, twelve percent;

HCS HB 2178 8 (3) Farm machinery, twelve percent;

(4) Motor vehicles which are eligible for registration as and are registered as historic motor vehicles pursuant to section 301.131 and aircraft which are at least twenty-five years old and which are used solely for noncommercial purposes and are operated less than two hundred hours per year or aircraft that are home built from a kit, five percent;

(5) Poultry, twelve percent;

(6) Tools and equipment used for pollution control and tools and equipment used in retooling for the purpose of introducing new product lines or used for making improvements to existing products by any company which is located in a state enterprise zone and which is identified by any standard industrial classification number cited in subdivision (7) of section 135.200, twenty-five percent;

and (7) Solar panels, racking systems, inverters, and related solar equipment, components, materials, and supplies installed in connection with solar photovoltaic energy systems, as described in subdivision (46) of subsection 2 of section 144.030, that were constructed and producing solar energy prior to August 9, 2022, five percent.

4.

The person listing the property shall enter a true and correct statement of the property, in a printed blank prepared for that purpose.

The statement, after being filled out, shall be signed and either affirmed or sworn to as provided in section 137.155.

The list shall then be delivered to the assessor.

5.

(1) All subclasses of real property, as such subclasses are established in Section 4 (b) of Article X of the Missouri Constitution and defined in section 137.016, shall be assessed at the following percentages of true value:

(a) For real property in subclass (1), nineteen percent;

(b) For real property in subclass (2), twelve percent;

and (c) For real property in subclass (3), thirty-two percent.

(2) A taxpayer may apply to the county assessor, or, if not located within a county, then the assessor of such city, for the reclassification of such taxpayer's real property if the use or purpose of such real property is changed after such property is assessed under the provisions of this chapter.

If the assessor determines that such property shall be reclassified, he or she shall determine the assessment under this subsection based on the percentage of the tax year that such property was classified in each subclassification.

ManufacturedAll homes,lands classified as definedforest incroplands sectionshall 700.010,not, whichfor aretaxation actuallypurposes, usedbe classified as dwellingsubclass units(1), shallsubclass be(2), assessedor atsubclass the(3) samereal percentageproperty, as such classes are prescribed in Section 4(b) of trueArticle valueX asof residentialthe realMissouri propertyConstitution forand defined in this section, but shall be taxed in accordance with the purposelaws enacted to implement Section 7 of taxation.Article X of the Missouri Constitution.";

Theand percentageFurther ofamend assessmentsaid ofbill trueby valueamending for such manufactured homes shall be the sametitle, asenacting forclause, residentialand realintersectional property.references accordingly.

IfPage the3 county collector cannot identify or find the manufactured home when attempting to attach the manufactured home for payment of taxes3 owed by the manufactured home owner, the county collector may HCS HB 2178 9 request the county commission to have the manufactured home removed from the tax books, and such request shall be granted within thirty days after the request is made;

however, the removal from the tax books does not remove the tax lien on the manufactured home if it is later identified or found.

For purposes of this section, a manufactured home located in a manufactured home rental park, rental community or on real estate not owned by the manufactured home owner shall be considered personal property.

For purposes of this section, a manufactured home located on real estate owned by the manufactured home owner may be considered real property.

7.

Each manufactured home assessed shall be considered a parcel for the purpose of reimbursement pursuant to section 137.750, unless the manufactured home is deemed to be real estate as defined in subsection 7 of section 442.015 and assessed as a realty improvement to the existing real estate parcel.

8.

Any amount of tax due and owing based on the assessment of a manufactured home shall be included on the personal property tax statement of the manufactured home owner unless the manufactured home is deemed to be real estate as defined in subsection 7 of section 442.015, in which case the amount of tax due and owing on the assessment of the manufactured home as a realty improvement to the existing real estate parcel shall be included on the real property tax statement of the real estate owner.

9.

The assessor of each county and each city not within a county shall use a nationally recognized automotive trade publication such as the National Automobile Dealers' Association Official Used Car Guide, Kelley Blue Book, Edmunds, or other similar publication as the recommended guide of information for determining the true value of motor vehicles described in such publication.

The state tax commission shall select and make available to all assessors which publication shall be used.

The assessor of each county and each city not within a county shall use the trade-in value published in the current October issue of the publication selected by the state tax commission.

The assessor shall not use a value that is greater than the average trade-in value in determining the true value of the motor vehicle without performing a physical inspection of the motor vehicle.

For vehicles two years old or newer from a vehicle's model year, the assessor may use a value other than average without performing a physical inspection of the motor vehicle.

In the absence of a listing for a particular motor vehicle in such publication, the assessor shall use such information or publications that, in the assessor's judgment, will fairly estimate the true value in money of the motor vehicle.

For motor vehicles with a true value of less than fifty thousand dollars as of January 1, 2025, the assessor shall not assess such motor vehicle for an amount greater than such motor vehicle was assessed in the previous year, provided that such motor vehicle was properly assessed in the previous year.

HCS HB 2178 10 10.

Before the assessor may increase the assessed valuation of any parcel of subclass (1) real property or any parcel of subclass (3) real property by more than fifteen percent since the last assessment, excluding increases due to new construction or improvements, the assessor shall conduct a physical inspection of such property.

For any general reassessment of property causing the assessed valuation to increase more than fifteen percent from the previous assessment, except for increase due to new construction or improvement, such increase shall be evenly divided between each of the next successive reassessment cycles in a manner that does not cause an increase of more than fifteen percent for any two-year reassessment period.

For the purposes of implementing this subsection, the county assessor and collector shall apply a credit to a taxpayer’s property tax bill in an amount that causes the taxpayer’s real property tax liability to increase by no more than fifteen percent for any two-year reassessment period.

11.

If a physical inspection is required, pursuant to subsection 10 of this section, the assessor shall notify the property owner of that fact in writing and shall provide the owner clear written notice of the owner's rights relating to the physical inspection.

If a physical inspection is required, the property owner may request that an interior inspection be performed during the physical inspection.

The owner shall have no less than thirty days prior to the physical inspection to notify the assessor of a request for an interior physical inspection.

12.

A physical inspection[, as] required by subsection 10 of this section[,] shall be completed prior to July first of the reassessment year and shall include, but not be limited to, an on-site personal observation and review of all exterior portions of the land and any buildings and improvements to which the inspector has or may reasonably and lawfully gain external access, and shall include an observation and review of the interior of any buildings or improvements on the property upon the timely request of the owner pursuant to subsection 11 of this section.

Mere observation of the property via a drive-by inspection or the like shall not be considered sufficient to constitute a physical inspection as required by this section.

13.

A county or city collector may accept credit cards as proper form of payment of outstanding property tax or license due.

No county or city collector may charge surcharge for payment by credit card which exceeds the fee or surcharge charged by the credit card bank, processor, or issuer for its service.

A county or city collector may accept payment by electronic transfers of funds in payment of any tax or license and charge the person making such payment a fee equal to the fee charged the county by the bank, processor, or issuer of such electronic payment.

14.

Any county or city not within a county in this state may, by an affirmative vote of the governing body of such county, opt out of the provisions of this section and sections 137.073, 138.060, and 138.100 as enacted by house bill no.

1150 of the ninety-first general HCS HB 2178 11 assembly, second regular session and section 137.073 as modified by house committee substitute for senate substitute for senate committee substitute for senate bill no.

960, ninety- second general assembly, second regular session, for the next year of the general reassessment, prior to January first of any year.

No county or city not within a county shall exercise this opt-out provision after implementing the provisions of this section and sections 137.073, 138.060, and 138.100 as enacted by house bill no.

1150 of the ninety-first general assembly, second regular session and section 137.073 as modified by house committee substitute for senate substitute for senate committee substitute for senate bill no.

960, ninety-second general assembly, second regular session, in a year of general reassessment.

For the purposes of applying the provisions of this subsection, a political subdivision contained within two or more counties where at least one of such counties has opted out and at least one of such counties has not opted out shall calculate a single tax rate as in effect prior to the enactment of house bill no.

1150 of the ninety-first general assembly, second regular session.

A governing body of a city not within a county or a county that has opted out under the provisions of this subsection may choose to implement the provisions of this section and sections 137.073, 138.060, and 138.100 as enacted by house bill no.

1150 of the ninety-first general assembly, second regular session, and section 137.073 as modified by house committee substitute for senate substitute for senate committee substitute for senate bill no.

960, ninety-second general assembly, second regular session, for the next year of general reassessment, by an affirmative vote of the governing body prior to December thirty-first of any year.

15.

The governing body of any city of the third classification with more than twenty- six thousand three hundred but fewer than twenty-six thousand seven hundred inhabitants located in any county that has exercised its authority to opt out under subsection 14 of this section may levy separate and differing tax rates for real and personal property only if such city bills and collects its own property taxes or satisfies the entire cost of the billing and collection of such separate and differing tax rates.

Such separate and differing rates shall not exceed such city's tax rate ceiling.

16.

Any portion of real property that is available as reserve for strip, surface, or coal mining for minerals for purposes of excavation for future use or sale to others that has not been bonded and permitted under chapter 444 shall be assessed based upon how the real property is currently being used.

Any information provided to a county assessor, state tax commission, state agency, or political subdivision responsible for the administration of tax policies shall, in the performance of its duties, make available all books, records, and information requested, except such books, records, and information as are by law declared confidential in nature, including individually identifiable information regarding a specific taxpayer or taxpayer's mine property.

For purposes of this subsection, "mine property" shall HCS HB 2178 12 mean all real property that is in use or readily available as a reserve for strip, surface, or coal mining for minerals for purposes of excavation for current or future use or sale to others that has been bonded and permitted under chapter 444.

137.180.

1.

Whenever any assessor shall increase the valuation of any real property he shall forthwith notify the record owner of such increase, either in person, or by mail directed to the last known address;

every such increase in assessed valuation made by the assessor shall be subject to review by the county board of equalization whereat the landowner shall be entitled to be heard, and the notice to the landowner shall so state.

2.

Effective January 1, 2009, for all counties with a charter form of government, other than any county adopting a charter form of government after January 1, 2008, whenever any assessor shall increase the valuation of any real property, he or she shall forthwith notify the record owner on or before June fifteenth of such increase and, in a year of general reassessment, the county shall notify the record owner of the projected tax liability likely to result from such an increase, either in person, or by mail directed to the last known address;

every such increase in assessed valuation made by the assessor shall be subject to review by the county board of equalization whereat the landowner shall be entitled to be heard, and the notice to the landowner shall so state.

Notice of the projected tax liability from the county shall accompany the notice of increased valuation from the assessor.

3.

For all calendar years prior to the first day of January of the year following receipt of software necessary for the implementation of the requirements provided under subsections 4 and 5 of this section from the state tax commission, for any county not subject to the provisions of subsection 2 of this section or subsection 2 of section 137.355, whenever any assessor shall increase the valuation of any real property, he or she shall forthwith notify the record owner on or before June fifteenth of the previous assessed value and such increase either in person, or by mail directed to the last known address and include in such notice a statement indicating that the change in assessed value may impact the record owner's tax liability and provide all processes and deadlines for appealing determinations of the assessed value of such property.

Such notice shall be provided in a font and format sufficient to alert a record owner of the potential impact upon tax liability and the appellate processes available.

4.

Effective January first of the year following receipt of software necessary for the implementation of the requirements provided under this subsection and subsection 5 of this section from the state tax commission, for all counties not subject to the provisions of subsection 2 of this section or subsection 2 of section 137.355, whenever any assessor shall increase the valuation of any real property, he or she shall forthwith notify the record owner on or before June fifteenth of such increase and, in a year of general reassessment, the county shall notify the record owner of the projected tax liability likely to result from such an increase, either in person, or by mail directed to the last known address;

every such increase HCS HB 2178 13 in assessed valuation made by the assessor shall be subject to review by the county board of equalization whereat the landowner shall be entitled to be heard, and the notice to the landowner shall so state.

Notice of the projected tax liability from the county shall accompany the notice of increased valuation from the assessor.

5.

The notice of projected tax liability, required under subsections 2 and 4 of this section, from the county shall include:

(1) The record owner's name, address, and the parcel number of the property;

(2) A list of all political subdivisions levying a tax upon the property of the record owner;

(3) The projected tax rate for each political subdivision levying a tax upon the property of the record owner, and the purpose for each levy of such political subdivisions;

(4) The previous year's tax rates for each individual tax levy imposed by each political subdivision levying a tax upon the property of the record owner;

(5) The tax rate ceiling for each levy imposed by each political subdivision levying a tax upon the property of the record owner;

(6) The contact information for each political subdivision levying a tax upon the property of the record owner;

(7) A statement identifying any projected tax rates for political subdivisions levying a tax upon the property of the record owner, which were not calculated and provided by the political subdivision levying the tax;

and (8) The total projected property tax liability of the taxpayer.

6.

In addition to the requirements provided under subsections 1, 2, and 5 of this section, effective January 1, 2011, in any county with a charter form of government and with more than one million inhabitants, whenever any assessor shall notify a record owner of any change in assessed value, such assessor shall provide notice that information regarding the specific assessment method and the basis of the computation of value for such property is available on the assessor's website and provide the exact website address at which such information may be accessed.

Such notification shall provide the assessor's contact information to enable taxpayers without internet access to request and receive information regarding the assessment method and computation of value for such property.

If any third- party documents, reports, or other data were relied upon by the assessor in the computation of assessed value, the same shall be disclosed to the record owner on the assessor's website.

137.355.

1.

If an assessor increases the valuation of any tangible personal property as estimated in the itemized list furnished to the assessor, and if an assessor increases the valuation of any real property, he shall forthwith notify the record owner of the increase either HCS HB 2178 14 in person or by mail directed to the last known address, and if the address of the owner is unknown notice shall be given by publication in two newspapers published in the county.

2.

For all calendar years prior to the first day of January of the year following receipt of software necessary for the implementation of the requirements provided under subsections 3 and 4 of this section from the state tax commission, whenever any assessor shall increase the valuation of any real property, he or she shall forthwith notify the record owner on or before June fifteenth of the previous assessed value and such increase either in person, or by mail directed to the last known address and include on the face of such notice, in no less than twelve-point font, the following statement:

NOTICE TO TAXPAYER:

IF YOUR ASSESSED VALUE HAS INCREASED, IT MAY INCREASE YOUR REAL PROPERTY TAXES WHICH ARE DUE DECEMBER THIRTY- FIRST.

IF YOU DO NOT AGREE THAT THE VALUE OF YOUR PROPERTY HAS INCREASED, YOU MUST CHALLENGE THE VALUE ON OR BEFORE ______ (INSERT DATE BY WHICH APPEAL MUST BE FILED) BY CONTACTING YOUR COUNTY ASSESSOR.

3.

Effective January first of the year following receipt of software necessary for the implementation of the requirements provided under this subsection and subsection 4 of this section from the state tax commission, if an assessor increases the valuation of any real property, the assessor, on or before June fifteenth, shall notify the record owner of the increase and, in a year of general reassessment, the county shall notify the record owner of the projected tax liability likely to result from such an increase either in person or by mail directed to the last known address, and, if the address of the owner is unknown, notice shall be given by publication in two newspapers published in the county.

Notice of the projected tax liability from the county shall accompany the notice of increased valuation from the assessor.

4.

The notice of projected tax liability, required under subsection 3 of this section, from the county shall include:

(1) The record owner's name, address, and the parcel number of the property;

(2) A list of all political subdivisions levying a tax upon the property of the record owner;

(3) The projected tax rate for each political subdivision levying a tax upon the property of the record owner, and the purpose for each levy of such political subdivisions;

(4) The previous year's tax rates for each individual tax levy imposed by each political subdivision levying a tax upon the property of the record owner;

(5) The tax rate ceiling for each levy imposed by each political subdivision levying a tax upon the property of the record owner;

HCS HB 2178 15 (6) The contact information for each political subdivision levying a tax upon the property of the record owner;

(7) A statement identifying any projected tax rates for political subdivisions levying a tax upon the property of the record owner, which were not calculated and provided by the political subdivision levying the tax;

and (8) The total projected property tax liability of the taxpayer.

5.

Whenever any assessor shall notify a record owner of any increase in assessed value as required by subsection 3 of this section, such assessor shall provide notice that information regarding the specific assessment method and the basis of the computation of value for such property is available on the assessor's website and shall provide the exact website address at which such information may be accessed.

Such notification shall provide the assessor's contact information to enable taxpayers without internet access to request and receive information regarding the assessment method and computation of value for such taxpayers' property.

If any third-party documents, reports, or other data were relied upon by the assessor in the computation of assessed value, the same shall be disclosed to the record owner on the assessor's website.

138.010.

1.

Except as otherwise provided by law, in every county in this state there shall be a county board of equalization consisting of the commissioners of the county commission, the county assessor as a nonvoting member, the county surveyor, and the county clerk who shall be secretary of the board without a vote.

The county commissioners shall also appoint two additional members to the board who shall be citizens of the county, but not officers of the county and, for such additional members appointed after August 28, 2007, not related to any member of the county board of equalization within the third degree of consanguinity, who shall have some level of experience as determined by the county commission as a real estate broker, real estate appraiser, home builder, property developer, lending officer, or investor in real estate before such member's appointment to the board.

The assessor or a member of the assessor's staff shall be present at all board of equalization hearings, and shall have the right to present evidence pertaining to any assessment matter before the board.

2.

Except as provided in subsection 3 of this section, this board shall meet at the office of the county clerk on the third Monday of July of each year.

3.

Upon a finding by the board that it is necessary in order to fairly hear all cases arising from a general reassessment, the board may begin meeting after July first in any applicable year to timely consider any appeal or complaint resulting from an evaluation made during a general reassessment of all taxable real property and possessory interests in the county.

HCS HB 2178 16 4.

Any cases arising from general reassessment involving property whose assessed valuation increased at least fifteen percent from the previous assessment, unless such increase is due to new construction or improvement, that were not heard and acted upon by the board of equalization by September thirtieth in any applicable year shall be dismissed, the assessor's increased assessed valuation shall be void in its entirety, and the previous assessed valuation shall be applied to the property in place of the increased assessed valuation.

A dismissal of a case under this section shall not preclude any taxpayer from an appeal to the state tax commission of his or her assessment within thirty days of the date of dismissal.

138.060.

1.

(1) The county board of equalization shall, in a summary way, determine all appeals from the valuation of property made by the assessor, and shall correct and adjust the assessment accordingly.

There shall be no presumption that the assessor's valuation is correct.

(2) In any county with a charter form of government with a population greater than two hundred eighty thousand inhabitants but less than two hundred eighty-five thousand inhabitants, in any county with a charter form of government with greater than one million inhabitants, in any city not within a county, and in any other county for any property whose assessed valuation increased at least fifteen percent from the previous assessment unless the increase is due to new construction or improvement, the assessor shall have the burden to prove that the assessor's valuation does not exceed the true market value of the subject property.

In such county or city, in the event a physical inspection of the subject property is required by subsection 10 of section 137.115, the assessor shall have the burden to establish the manner in which the physical inspection was performed and shall have the burden to prove that the physical inspection was performed in accordance with section 137.115.

In such county or city, in the event the assessor fails to provide sufficient evidence to establish that the physical inspection was performed in accordance with section 137.115, the property owner shall prevail on the appeal as a matter of law, the assessor's increased assessed valuation shall be void in its entirety, and the previous assessed valuation shall be applied to the property in place of the increased assessed valuation.

(3) At any hearing before the state tax commission or a court of competent jurisdiction of an appeal of assessment from a first class charter county or a city not within a county, the assessor shall not advocate nor present evidence advocating a valuation higher than that value finally determined by the assessor or the value determined by the board of equalization, whichever is higher, for that assessment period.

2.

The county clerk shall keep an accurate record of the proceedings and orders of the board, and the assessor shall correct all erroneous assessments, and the clerk shall adjust the tax book according to the orders of such board and the orders of the state tax commission, HCS HB 2178 17 except that in adding or deducting such percent to each tract or parcel of real estate as required by such board or state tax commission, [he] the clerk shall add or deduct in each case any fractional sum of less than fifty cents, so that the value of any separate tract shall contain no fractions of a dollar.

3.

If a taxpayer submits a written appraisal report prepared by a Missouri appraiser certified by the Missouri real estate appraisers commission to the board of equalization at least five days prior to the hearing date scheduled by the board of equalization to hear the taxpayer's appeal, the value of the property determined in the appraisal report shall presumptively determine the property's true value in money unless the assessor produces substantial and persuasive evidence as to why such value should not be adopted by the board of equalization.

138.135.

1.

Notwithstanding any other provision of law to the contrary, the county assessor of any county of the first classification with a population of at least nine hundred thousand inhabitants shall not be a member of the county board of equalization.

2.

In any county of the first classification with a population of at least nine hundred thousand inhabitants, when there is an order of the board of equalization or the state tax commission, including a settlement order, relating to the assessment of property, the assessment shall remain the same for the subsequent even-numbered year unless there has been new construction or property improvements between January first of the odd-numbered year and January first of the following even-numbered year.

However, in the event of a transfer of ownership of real property on or after January first of an even-numbered year, the new owner shall be entitled to appeal the assessed value directly to the state tax commission by no later than December thirty-first of the same year, even if the prior owner appealed the value in the previous odd-numbered year and the appeal resulted in an order of the board of equalization or state tax commission.

In any such appeal by a new owner, the state tax commission shall have authority to lower the assessed value for the even-numbered year.

3.

In any county of the first classification with a population of at least nine hundred thousand inhabitants, when a hearing is conducted by the board of equalization pursuant to this chapter, if the property owner requests to be heard by a majority of the board of equalization, and a majority of the board of equalization is not in attendance for any reason, the position of the property owner shall prevail without further action.

138.390.

1.

The state tax commission shall equalize the valuation of real and tangible personal property among the several counties in the state in the following manner:

with the abstracts of all the taxable property in the several counties of the state and the abstracts of the sales of real estate in such counties as returned by the respective county clerks and the assessor of the city of St.

Louis, the commission shall classify all real estate situate in cities, HCS HB 2178 18 towns, and villages, as town lots, and all other real estate as farming lands, and shall classify all tangible personal property as follows:

banking corporations, railroad corporations, street railroad corporations, all other corporations, horses, mares and geldings, mules, asses and jennets, neat cattle, sheep, swine, goats, domesticated small animals and all other livestock, poultry, power machinery, farm implements, other tangible personal property.

2.

The state tax commission shall equalize the valuation of each class or subclass of property thereof among the respective counties of the state in the following manner:

(1) It shall add to the valuation of each class, subclass, or portion thereof of the property, real or tangible personal, of each county which it believes to be valued below its real value in money such amount or percent as will increase the same in each case to its true value;

(2) It shall deduct from the valuation of each class, subclass, or portion thereof of the property, real or tangible personal, of each county which it believes to be valued above its real value in money such amount or percent as will reduce the same in each case to its true value.

3.

When the state tax commission equalizes the valuation of a class or subclass of property that results in an increase of more than fifteen percent in a single tax year, such increase shall be evenly divided between each of the next successive reassessment cycles in a manner that does not cause an increase of more than fifteen percent for any two- year reassessment period.

For the purposes of implementing this subsection, the county assessor and collector shall apply a credit to a taxpayer’s property tax bill in an amount that causes the taxpayer’s real property tax liability to increase by no more than fifteen percent for any two-year reassessment period.

138.430.

1.

Every owner of real property or tangible personal property shall have the right to appeal from the local boards of equalization to the state tax commission under rules prescribed by the state tax commission, within the time prescribed in this chapter or thirty days following the final action of the local board of equalization, whichever date later occurs, concerning all questions and disputes involving the assessment against such property, the correct valuation to be placed on such property, the method or formula used in determining the valuation of such property, or the assignment of a discriminatory assessment to such property.

The commission shall investigate all such appeals and shall correct any assessment or valuation which is shown to be unlawful, unfair, improper, arbitrary or capricious.

Any person aggrieved by the decision of the commission may seek review as provided in chapter 536.

2.

In order to investigate such appeals, the commission may inquire of the owner of the property or of any other party to the appeal regarding any matter or issue relevant to the valuation, subclassification or assessment of the property.

The commission may make its decision regarding the assessment or valuation of the property based solely upon its inquiry HCS HB 2178 19 and any evidence presented by the parties to the commission, or based solely upon evidence presented by the parties to the commission.

3.

Every owner of real property or tangible personal property shall have the right to appeal to the circuit court of the county in which the collector maintains [his] the collector's office from the decision of the local board of equalization not later than thirty days after the final decision of the board of equalization concerning all questions and disputes involving the exclusion or exemption of such property from assessment or from the tax rolls pursuant to the Constitution of the United States or the constitution or laws of this state, or of the taxable situs of such property.

The appeal shall be as a trial de novo in the manner prescribed for nonjury civil proceedings.

Upon the timely filing of the appeal, the clerk of the circuit court shall send to the county collector to whom the taxes on the property involved would be due a notice that an appeal seeking exemption has been filed, which notice shall contain the name of the taxpayer, the case number assigned by the court, and the parcel or locator number of the property being appealed.

The notice to the collector shall state that the taxes in dispute are to be impounded in accordance with subsection 2 of section 139.031.

4.

Upon the timely filing of an appeal to the state tax commission as provided in this section, or the transfer of an appeal to the commission in accordance with subsection 5 of this section, the commission shall send to the county collector to whom the taxes on the property involved would be due a notice that an appeal has been filed or transferred as the case may be, which notice shall contain the name of the taxpayer filing the appeal, the appeal number assigned by the commission, the parcel or locator number of the property being appealed, the assessed value by the board of equalization and the assessed value proposed by the taxpayer, if such values have been provided to the commission when the appeal is filed.

The notice to the collector shall state that the taxes in dispute are to be impounded in accordance with subsection 2 of section 139.031.

Notice to the collector of an appeal filed in an odd- numbered year shall also serve as notice to the collector to impound taxes for the following even-numbered year if no decision has been rendered in the appeal.

The state tax commission shall notify the collector once a decision has been rendered in an appeal.

5.

If the circuit court, after review of the appeal, finds that the appeal is not a proper subject for the appeal to the circuit court as provided in subsection 3 of this section, it shall transfer the appeal to the state tax commission for consideration.

6.

If an assessor classifies real property under a classification that is contrary to or in conflict with a determination by the state tax commission or a court of competent jurisdiction of said property, the taxpayer shall be awarded costs of appeal and reasonable attorney's fees on a challenge of the assessor's determination.

7.

If an assessor appeals the decision of the state tax commission to a court of competent jurisdiction on any grounds other than overvaluation and the taxpayer is the HCS HB 2178 20 prevailing party, the taxpayer shall be awarded costs of appeal and reasonable attorney's fees, whether paid directly by the taxpayer or paid by an attorney, tax agent, or other third party.

138.434.

In any [first class] charter county or a city not within a county [may require by ordinance or charter the reimbursement to], a taxpayer [for the amount of just and reasonable appraisal costs, attorney fees and court costs] shall be entitled to an award of all attorney's fees and costs of litigation resulting from an evidentiary hearing before the state tax commission or a court of competent jurisdiction including, but not limited to, attorney's fees, appraisal costs, witness fees, and court costs, whether paid directly by the taxpayer or paid by an attorney, tax agent, or other third party, if such appeal results in a final decision reducing the appraised value of residential property by at least fifteen percent or the appraised value of utility, industrial railroad and other subclass three property by at least twenty-five percent from the appraised value determined by the board of equalization for that tax year.

The commission or court awarding such fees and costs shall consider the reasonableness of the fees and costs within the context of the particular case.

Such fees and costs shall not exceed [one] five thousand dollars for a residential property appeal.

Such fees and costs for utility, industrial railroad or other subclass three property appeals shall not exceed the lesser of [four] five thousand dollars or twenty-five percent of the tax savings resulting from the appeal.

The provisions of this section shall only apply to the first contested year when cases are tried on a consolidated basis.

139.031.

1.

Any taxpayer may protest all or any part of any current taxes assessed against the taxpayer, except taxes collected by the director of revenue of Missouri.

Any such taxpayer desiring to pay any current taxes under protest or while paying taxes based upon a disputed assessment shall[, at the time of paying such taxes,] make full payment of the current tax bill before the delinquency date and file with the collector before the delinquency date a written statement setting forth the grounds on which the protest is based.

The statement shall include the true value in money claimed by the taxpayer if disputed.

An appeal before the state tax commission shall not be dismissed on the grounds that a taxpayer failed to file a written statement when paying taxes based upon a disputed assessment.

2.

Upon receiving [payment of current taxes under] written notice of protest under subsection 1 of this section or upon receiving from the state tax commission or the circuit court notice of an appeal from the state tax commission or the circuit court under section 138.430, [along with] and full payment of the current tax bill before the delinquency date, the collector shall disburse to the proper official all portions of taxes not protested or not disputed by the taxpayer and shall impound in a separate fund all portions of such taxes which are protested or in dispute.

Every taxpayer protesting the payment of current taxes under subsection 1 of this section shall, within ninety days after filing [his] such taxpayer's protest, HCS HB 2178 21 commence an action against the collector by filing a petition for the recovery of the amount protested in the circuit court of the county in which the collector maintains [his] the collector's office.

If any taxpayer so protesting [his] such taxpayer's taxes under subsection 1 of this section shall fail to commence an action in the circuit court for the recovery of the taxes protested within the time prescribed in this subsection, such protest shall become null and void and of no effect, and the collector shall then disburse to the proper official the taxes impounded, and any interest earned thereon, as provided above in this subsection.

3.

No action against the collector shall be commenced by any taxpayer who has, effective for the current tax year, filed with the state tax commission or the circuit court a timely and proper appeal of the assessment of the taxpayer's property.

The portion of taxes in dispute from an appeal of an assessment shall be impounded in a separate fund and the commission in its decision and order issued under chapter 138 or the circuit court in its judgment may order all or any part of such taxes refunded to the taxpayer, or may authorize the collector to release and disburse all or any part of such taxes.

4.

Trial of the action for recovery of taxes protested under subsection 1 of this section in the circuit court shall be in the manner prescribed for nonjury civil proceedings, and, after determination of the issues, the court shall make such orders as may be just and equitable to refund to the taxpayer all or any part of the current taxes paid under protest, together with any interest earned thereon, or to authorize the collector to release and disburse all or any part of the impounded taxes, and any interest earned thereon, to the appropriate officials of the taxing authorities.

Either party to the proceedings may appeal the determination of the circuit court.

5.

All the county collectors of taxes, and the collector of taxes in any city not within a county, shall, upon written application of a taxpayer, refund or credit against the taxpayer's tax liability in the following taxable year and subsequent consecutive taxable years until the taxpayer has received credit in full for any real or personal property tax mistakenly or erroneously levied against the taxpayer and collected in whole or in part by the collector.

Such application shall be filed within three years after the tax is mistakenly or erroneously paid.

The governing body, or other appropriate body or official of the county or city not within a county, shall make available to the collector funds necessary to make refunds under this subsection by issuing warrants upon the fund to which the mistaken or erroneous payment has been credited, or otherwise.

6.

No taxpayer shall receive any interest on any money paid in by the taxpayer erroneously.

7.

All protested taxes impounded under protest under subsection 1 of this section and all disputed taxes impounded under notice as required by section 138.430 shall be invested by the collector in the same manner as assets specified in section 30.260 for investment of state moneys.

A taxpayer who is entitled to a refund of protested or disputed taxes shall also HCS HB 2178 22 receive the interest earned on the investment thereof.

If the collector is ordered to release and disburse all or part of the taxes paid under protest or dispute to the proper official, such taxes shall be disbursed along with the proportional amount of interest earned on the investment of the taxes due the particular taxing authority.

8.

Any taxing authority may request to be notified by the county collector of current taxes paid under protest.

Such request shall be in writing and submitted on or before February first next following the delinquent date of current taxes paid under protest or disputed, and the county collector shall provide such information on or before March first of the same year to the requesting taxing authority of the taxes paid under protest and disputed taxes which would be received by such taxing authority if the funds were not the subject of a protest or dispute.

Any taxing authority may apply to the circuit court of the county or city not within a county in which a collector has impounded protested or disputed taxes under this section and, upon a satisfactory showing that such taxing authority would receive such impounded tax funds if they were not the subject of a protest or dispute and that such taxing authority has the financial ability and legal capacity to repay such impounded tax funds in the event a decision ordering a refund to the taxpayer is subsequently made, the circuit court shall order, pendente lite, the disbursal of all or any part of such impounded tax funds to such taxing authority.

The circuit court issuing an order under this subsection shall retain jurisdiction of such matter for further proceedings, if any, to compel restitution of such tax funds to the taxpayer.

In the event that any protested or disputed tax funds refunded to a taxpayer were disbursed to a taxing authority under this subsection instead of being held and invested by the collector under subsection 7 of this section, the taxpayer shall be entitled to interest on all refunded tax funds, from the date that the disputed taxes were distributed to a taxing authority through the date of the refund, at the [annual rate] rates calculated by the state treasurer and applied by the director of revenue under section 32.068.

This measure of interest shall only apply to protested or disputed tax funds actually distributed to a taxing authority pursuant to this subsection.

In the event of a refund of protested or disputed tax funds which remain impounded by the collector, the taxpayer shall instead be entitled to the interest actually earned on those refunded impounded tax funds under subsection 7 of this section.

Any sovereign or official immunity otherwise applicable to the taxing authorities is hereby waived for all purposes related to this subsection, and the taxpayer is expressly authorized to seek an order enforcing this provision from the circuit court that originally ordered the distribution of the protested or disputed funds, or directly from the state tax commission, if the tax appeal that resulted in the refund was heard and determined by the state tax commission.

9.

No appeal filed from the circuit court's or state tax commission's determination pertaining to the amount of refund shall stay any order of refund, but the decision filed by any HCS HB 2178 23 court of last review modifying that determination shall be binding on the parties, and the decision rendered shall be complied with by the party affected by any modification within ninety days of the date of such decision.

No taxpayer shall receive any interest on any additional award of refund, and the collector shall not receive any interest on any ordered return of refund in whole or in part.

In the event that a taxpayer is entitled to a refund, the collector shall issue the refund to the taxpayer within thirty days of the date that the circuit court's or state tax commission's determination establishing the amount of the refund becomes final, and if the collector does not issue the refund within thirty days, the taxpayer shall be entitled to interest on the refund at the rate established by the director of revenue under section 32.065 for the period of time after the expiration of the thirty days until the refund is issued, in addition to all other interest due to the taxpayer under this section.