Laserfiche WebLink
ITioinas J. Barrett, Esq. <br />June 27,1995 <br />r*acc Two <br />I believe we all afree *Jiat the important questions that have to be ans'wered arc as follov-s. <br />1. Was there a record that 1 authorized the ccmbination tor tax <br />ptirposesV <br />2. Did I receive a tax saving with this alleged combination? <br />I was unable to find any record that 1 was inN'OIved in combining these Lots for tax purposes or <br />any other purposes. Instead of relying on my memcrv-, I contacted the City of Orono Assessor s <br />Office, the Hennepin County Assessor ’s Office and the Hennepin Countv- Tax Payers Service <br />Office to sec if there is some sort of record that would support the claim that I requested a <br />combination of mv Lots for tax purposes. They all reported that no such document exists. In <br />addition, the City of Orono A.ssessor ’s Office, who is verv- familiar with this property and our <br />dispute believed that a combination of properry ’ of this size and value would not be wise. I <br />agree. This has been my position. '.Vhy would I ever wish to lose a Mot or record designation <br />and essentially lose the potential value of my lots as buildable lots wiihout something of value in <br />return? <br />The City has suggested that i was motivated to combine the iot.s because ! received some tax <br />benefit from combination, i.c.. tnat the ’•combination was for tax purposes.”! have searc’ncd <br />Uirough my records for the last }0 years and located most of my real estate tax statements tor that <br />period. They clearly show that Lhcre was no tax savings to me, after my lots were allegedly <br />combined. I was receiving the maximum homestead tax credit against the real estate taxes <br />charued auainsi Lot 4. on which my personal residence is located. The real estate tax credit for <br />the owner'of a homestead in .Minnesota in 1965. when I purchased ray homestead on Lot 4, was <br />the lesser of 25'lo of the general lax or $250.00. The homestead tax credit remained the same <br />until 1974 when the credit was increased to 5325.00. Since the general tax on Lot 4 has always <br />reen over $1,000.00. while I 'nave owned ±e property from 1965 tlirough 1973 (in 1972 the <br />general tax on Lot 4 was SI.201.25). I -.vas ahvays entitled to and received the maximum <br />homestead *ax credit of $250.00 ever:.- year without a combination of my lots. That was also true <br />after 1974 when the homestead tax credit was increased to a maximum of $325.00, and in 1980 <br />when the credit was raised to $550.00, and when su’esequent increases were made in the amount <br />of tne homestead credit. There was no economic reason for me to request combination of my <br />Lots into a larger hom.csteau, because increasing ±e aggregate market value, aggregate assessed <br />value, and aggregate general tax did not entitle me to a l.irger homestead tax credit. There was <br />no advantage to me to combine the lots for real esmie rax puzposes, and there was no <br />disadv.antage to the Ciiy if I had combined the lots.