Rules and Regulations of the State of Georgia
 

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These specific procedures are designed to provide fair market value under normal circumstances. When unusual circumstances are affecting value, they should be considered. In all instances, the appraisal staff will apply Georgia law and generally accepted appraisal practices to the basic appraisal values required by this manual and make any further valuation adjustments necessary to arrive at the fair market values.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.01(3)">(3)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B> Board of tax assessors. </B>The county board of tax assessors shall require the appraisal staff to observe the procedures in this manual when performing their appraisals. The county board of tax assessors may not adopt local procedures that are in conflict with Georgia law or the procedures required by this manual. The county board of tax assessors must consider the appraisal staff information in the performance of their duties. In each instance, however, the assessment placed on each parcel of property shall be the assessment established by the county board of tax assessors as provided in Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-306&amp;title=48#" target="_newtab">48-5-306</a>.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.01(4)">(4)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B> Other appraisal procedures. </B>The appraisal staff may use those generally accepted appraisal practices set forth in the Uniform Standards of Professional Appraisal Practice, published by the Appraisal Foundation, and the standards published by the International Association of Assessing Officers, as they may be amended from time to time, to the extent such practices do not conflict with this manual and Georgia law.</td> </tr> </table> <h2><a href="/GAC/560-11-10-.02" name="560-11-10-.02" title="560-11-10-.02">Rule 560-11-10-.02 Definitions</a></h2> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)">(1)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Definitions. When used in this Chapter, the definitions found in this Rule shall apply. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(a)">(a)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Absorption rate. "Absorption rate" means the rate at which the real estate market can absorb real property of a given type.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(b)">(b)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Appraiser. "Appraiser" means a member of the county appraisal staff, who serves the board of tax assessors and whose position was created pursuant to Part 1 of Article 5 of Chapter 5 of Title 48 of the Official Code of Georgia Annotated. This term does not limit its meaning to a single appraiser and may mean one or more members of the county appraisal staff.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(c)">(c)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Basic cost approach. "Basic cost approach" means a cost approach procedure, used in the mass appraisal of personal property, which uses standard estimates of the most common factors affecting the value of such property. The basic cost approach is intended to provide a uniform estimate of personal property value.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(d)">(d)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Depreciation. "Depreciation" means the loss of value due to any cause. It is the difference between the market value of a structural improvement or piece of equipment and its reproduction or replacement cost as of the date of valuation. Depreciation is divided into three categories, physical deterioration, functional obsolescence, and economic obsolescence. Depreciation may be further characterized as curable or incurable depending upon the difficulty or practicality of restoring the lost value through repair or maintenance.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(e)">(e)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Economic life. "Economic life" means the period during which property may reasonably be expected to perform the function for which it was designed or intended.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(f)">(f)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Economic obsolescence. "Economic obsolescence" means a form of depreciation that measures a loss of value from negative influence external to the real or personal property. It results when the desirability or useful life of real or personal property is impaired due to forces such as changes in optimum use, legislative enactment that restricts or impairs productivity, and changes in supply and demand relationships. Economic obsolescence is normally incurable.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(g)">(g)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Effective age. "Effective age" means the age of an improvement to property as compared with other property performing like functions. It is the actual ageless the age that has been taken off by face-lifting, structural reconstruction, removal of functional inadequacies, modernization of equipment, and similar repairs and overhauls. It is an age that reflects a true remaining life for the property, taking into account the typical life expectancy of buildings or equipment of its class and usage.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(h)">(h)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Fair market value. "Fair market value" means fair market value as defined in Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-2&amp;title=48#48-5-2(3)" target="_newtab">48-5-2(3)</a>.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Final assessment. "Final assessment" means the assessed value of real property as stated on the Annual Notice of Assessment as approved by the Board of Assessors. Amendments to "Final assessment" for real property are prohibited absent a clerical error or some other lawful basis; and in the case of personal property, the appraisal staff has completed its audit of the personal property pursuant to Rule <a title="560-11-10-.08(4)(d)" href="560-11-10-.08#560-11-10-.08(4)(d)">560-11-10-.08(4)(d)</a> within the three year statute of limitations.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(j)">(j)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Functional obsolescence. "Functional obsolescence" means a form of depreciation that measures a loss of value from a design deficiency or appearance in the market of a more innovative design. Some functional obsolescence may be curable and some functional obsolescence may be incurable.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(k)">(k)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Inventory. "Inventory", means goods held for sale or lease or furnished under contracts for service; also, supplies, packing materials, spare parts, raw materials, work in process or materials used or consumed in a business.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(l)">(l)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Large acreage tract. "Large acreage tract" means a rural land tract that is greater in acreage than the small acreage break point.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(m)">(m)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Mass appraisal. "Mass appraisal" means the process of valuing a universe of properties as of a given date using standard methodology, employing common data and allowing for statistical testing.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(n)">(n)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Most Recent Arm's Length Sale. As referenced in OCGA 48-5-2(3), transactions must occur prior to the statutory date of valuation to become eligible for the value limitations imposed in 48-5-2(3). Furthermore, where the exchange of property is defined as an arm's length transaction, the sum of the value of the exchanged real estate property components, land and improvements, in the year following the property exchange shall not exceed the transaction's sale price adjusted for non-real estate values such as but not limited to, timber, personal property, etc. The adjustment to the value of the real estate shall remain in effect for at least the digest year following the transaction. With respect to changes in the exchanged real estate property components since the time of exchange (sale date), the value of new improvements, value of additions to existing improvements (footprint of exchanged structure has been altered), major remodeling or renovations to existing structures (footprint of exchanged structure has not been altered), and adjustments to land due to consolidation of tracts, new surveys, zoning changes, land use changes, etc. shall be added to the sales price adjusted values. In the event an exchanged real estate property structure is renovated or remodeled, the term major shall be construed such that both the property owner and BOA would reasonably conclude a major renovation/remodeling has occurred. If either party, acting reasonably, could debate that the renovation/remodeling effort was not major in nature, the renovation/remodeling effort does not qualify and shall not be added to the sales price adjusted values. Any modifications made to the exchanged real estate property after the sale date that result in a lower value of the exchanged property shall be considered in the final valuation of property for the digest.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(o)">(o)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Original cost. "Original cost" means, in the case of machinery, equipment, furniture, personal fixtures, and trade fixtures in the hands of the final user, all the direct costs associated with acquiring, transporting and installing such property at the site where it is to be used. This includes the cost of the property to the property owner, the cost of transporting the property to its present site, the cost of any on-site assembly or customized modification of the property, the cost of installing the property, the cost of installing personal fixtures and trade fixtures necessary for the proper operation of the property, and any sales or use tax paid on the property. Original cost is equivalent to original cost new if the property owner was the first to put the personal property into service.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(p)">(p)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Original cost new. "Original cost new" means, in the case of machinery, equipment, furniture, personal fixtures, and trade fixtures in the hands of the final user, all the direct costs associated with acquiring, transporting and installing such property at the site where it is to be used. This includes the historical cost of the property at the time it was first put into service new, the cost of transporting the property to its present site, the cost of any on-site assembly or customized modification of the property, the cost of installing the property, the cost of installing personal fixtures and trade fixtures necessary for the proper operation of the property, and any sales or use tax paid on the property. Original cost new is equivalent to original cost if the property owner was the first to put the personal property into service.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(q)">(q)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Paired sales analysis. "Paired sales analysis" means the comparing of the sale prices of similar properties, some with and some without a particular characteristic, in order to determine what portion of the difference in sales price might be attributable to such characteristic.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(r)">(r)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Personal fixtures. "Personal fixtures" means personal property that has been set-up or installed on land or in a building or in a group of buildings and is not permanently attached to such land or buildings. A consideration for whether personal property is a personal fixture is whether its removal would cause significant damage to such property or to the real property on which it has been set-up or installed. The term personal fixtures shall not include trade fixtures. Personal fixtures are classified as personal property. Examples of personal fixtures are desks, shelving, display cases and gondolas.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(s)">(s)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Personal property. "Personal property" means tangible personal property that may be seen, weighed, measured, felt, or touched or which is in any other manner perceptible to the senses. Personal property shall include trade fixtures. For the purposes of this Rule, personal property shall not include the capital stock of all corporations; money, notes, bonds, accounts, or other credits, secured or unsecured; patent rights, copyrights, franchises, and any other classes and kinds of property defined by law as intangible personal property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(t)">(t)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Physical deterioration. "Physical deterioration" means a form of depreciation that measures the loss of utility of real or personal property over time from wear and tear, age, and exposure to the elements. Some physical deterioration may be curable and some physical deterioration may be incurable.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(u)">(u)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Ready market. "Ready market" means a market, possibly global, where exchanges of machinery, equipment, personal fixtures and trade fixtures occur with such regularity and under such conditions as to provide a reliable measure of fair market value. Five conditions that may indicate a ready market are: the items of personal property being sold within the market are reasonable substitutes for each other; there are an adequate number of buyers and sellers of the personal property in the market, no one of whom can measurably affect price; there is an absence of artificial restraints and unusual incentives in the market; the item of personal property is reasonably free to be moved where it will receive the greatest return and buyers are reasonably free to buy where the price is lowest; and buyers and sellers are knowledgeable and informed about market conditions.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(v)">(v)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Real estate. "Real estate" means the physical parcel of land, improvements to the land, improvements attached to the land, real fixtures and appurtenances such as easements.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(w)">(w)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Real fixtures. "Real fixtures" means personal property that has been installed or attached to land or a building or group of buildings and is intended to remain permanently in its place. A consideration for whether personal property is a real fixture is whether its removal would cause significant damage to such property or to the real property to which it is attached. The term real fixtures shall not include trade fixtures. Real fixtures are classified as real property. Examples of real fixtures are plumbing, heating and cooling, and lighting fixtures.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(x)">(x)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Real property. "Real property" means the bundle of rights, interests, and benefits connected with the ownership of real estate. Real property does not include the intangible benefits associated with the ownership of real estate, such as the goodwill of a going business concern.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(y)">(y)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Replacement cost. "Replacement cost" for real property means the cost required to construct a similar structure with like utility as the subject property using modern design, materials, and workmanship. Replacement cost for personal property means the current cost of a similar new item having the nearest equivalent utility as the subject property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(z)">(z)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Reproduction cost. "Reproduction cost" for real property means the cost required to construct an identical or exact replica structure of the subject property. Reproduction cost for personal property means the current cost of duplicating an identical new item.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(aa)">(aa)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Residual value. "Residual value" means the value of personal property that is at the end of its normally expected economic life but still in use.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(bb)">(bb)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Rural land. "Rural land" means any land that normally lies outside corporate limits, planned subdivisions, commercial sites, and industrial sites.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(cc)">(cc)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Salvage value. "Salvage value" means the value of personal property that is at the end of its normally expected economic life and has been taken out of use.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(dd)">(dd)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Small acreage break point. "Small acreage break point" means the point, expressed as a number of acres, at which the slope of a trend line, drawn through the plotted qualified sales of rural land on a graph, reflects a distinct and pronounced change. Such graph uses the dollars per acre on the vertical axis and numbers of acres on the horizontal axis. The small acreage break point should show the point below which the market factors of accessibility and desirability of the land primarily influence value, and above which the productivity of the soil and suitability for timber growth primarily influence value.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(ee)">(ee)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Small acreage tract. "Small acreage tract" means a rural land tract that is equal to or smaller in acres than the small acreage break point.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(ff)">(ff)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Tax situs. "Tax situs" means the location of personal property for ad valorem tax purposes.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(gg)">(gg)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Trade fixtures. "Trade fixtures" means fixtures that are owned and temporarily installed or attached to a rented space or building by a tenant and used in conducting a business. For personal property to be classified as trade fixtures the lease or rental agreement has to show intent for the fixtures to be removed by the owner at the termination of the lease. Fixtures that revert to the landlord when the lease is terminated are not trade fixtures. Property shall not be classified as a trade fixture when the cost of removal, or damage that removal would cause to the realty, or to the fixture itself, clearly indicates that a tenant is unlikely to remove such fixture at the termination of the lease. Trade fixtures shall be classified as personal property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(hh)">(hh)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Transitional real property. "Transitional real property" means any real property that is undergoing a change in use, such as residential, agricultural, commercial, or industrial, and has not been firmly established in its new use. Change in use may be evidenced by recent zoning changes, purchase by a known developer, affidavits of intent, or close proximity to property exposed to these market factors.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.02(1)(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Trend. "Trend" means an observable tendency of behavior such as stable economic direction over extended periods despite temporary fluctuations.</td> </tr> </table> </td> </tr> </table> <h2><a href="/GAC/560-11-10-.03" name="560-11-10-.03" title="560-11-10-.03">Rule 560-11-10-.03 Reserved</a></h2> <h2><a href="/GAC/560-11-10-.04" name="560-11-10-.04" title="560-11-10-.04">Rule 560-11-10-.04 Reserved</a></h2> <h2><a href="/GAC/560-11-10-.05" name="560-11-10-.05" title="560-11-10-.05">Rule 560-11-10-.05 Reserved</a></h2> <h2><a href="/GAC/560-11-10-.06" name="560-11-10-.06" title="560-11-10-.06">Rule 560-11-10-.06 Reserved</a></h2> <h2><a href="/GAC/560-11-10-.07" name="560-11-10-.07" title="560-11-10-.07">Rule 560-11-10-.07 Reserved</a></h2> <h2><a href="/GAC/560-11-10-.08" name="560-11-10-.08" title="560-11-10-.08">Rule 560-11-10-.08 Personal Property Appraisal</a></h2> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)">(1)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Personal property identification.</B> The appraisal staff shall identify personal property, determine its taxability, and classify it for addition to the county ad valorem tax digest in accordance with this paragraph. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(a)">(a)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Distinguishing personal property. </B>The appraiser shall be required to correctly identify personal property and distinguish it from real property where the proper valuation procedures, as set forth in this Rule, may be followed. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(a)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Examples.</B> As used in this Chapter, personal property shall be that property defined in Rule <a title="560-11-10-.02(1)(r)" href="560-11-10-.02#560-11-10-.02(1)(r)">560-11-10-.02(1)(r)</a>. This Rule shall provide illustrations to assist the appraiser in the proper interpretation of the definition. However, these illustrations should not be construed in a manner that conflicts with the definition. Examples of personal property are tangible items such as aircraft; boats and motors; inventories of retail stock, finished manufactured or processed goods, goods in process, raw materials and supplies; furniture, personal fixtures, trade fixtures, machinery and equipment.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(a)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Identification of trade fixtures. </B>When property the appraiser believes is a trade fixture has not been returned by the tenant, the appraiser shall require the tenant to produce their lease agreement and shall carefully review the agreement before making a recommendation to the board of tax assessors regarding the classification of the property in question. The appraiser shall inform the tenant that they may redact, at their option, any information relating to the payments that are required by the lease agreement. </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(b)">(b)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Assessment date.</B> Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-10&amp;title=48#" target="_newtab">48-5-10</a> provides that each return by a property owner shall be for property held and subject to taxation on January 1 of the tax year. The appraisal staff shall base their decisions regarding the taxability, tax situs, uniform assessment, and valuation of personal property on the circumstances of such property on January 1 of the tax year for which the assessment is being prepared. When personal property is transferred to a new owner or converted to a new use, the circumstances of such property on January 1 shall nevertheless be considered as controlling.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(c)">(c)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Freeport exemptions.</B> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(c)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Mailing applications.</B> The appraisal staff shall, by U. S. mail, send a new freeport exemption application to any person, firm or corporation that was approved for freeport exemption by the board of tax assessors for the tax year proceeding the tax year for which the application is to be made. The application provided by the appraisal staff shall be deposited with the local post office no later than the 15th day after the official who is responsible for receiving returns has opened the books for returns. The failure of the appraisal staff to comply with this requirement shall not relieve a person, firm or corporation from the responsibility to timely file a freeport application.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(c)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Reviewing applications.</B> The appraisal staff shall, upon receipt of a freeport application, reconcile the figures reported on such form to any inventory totals that may have been returned by the property owner. The appraisal staff may obtain relevant information as is available from financial records or other records of the property owner when needed to reconcile the figures reported on the application. Once the appraisal staff has completed the reconciliation of the freeport application, they shall forward the application and their recommendations, along with any supporting documentation, to the board of tax assessors. When the appraisal staff recommends the freeport application be denied, in whole or in part, they shall include the reasons for their recommendation.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(d)">(d)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Tax situs.</B> The appraisal staff shall inquire into the proper tax situs of personal property before preparing the proposed assessment to ensure that the property owner is made subject to only those taxes that may legally be levied. The tax situs inquiry shall be sufficiently specific to determine whether the property is subject to tax by each of the authorities authorized to levy taxes in the county. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(d)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>General tax situs.</B> Unless otherwise provided in subparagraph (d) of this paragraph, the appraisal staff shall consider the tax situs of personal property to be as provided in this subparagraph. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(d)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Tax situs of personal property of Georgia residents.</B> The appraisal staff shall consider the tax situs of personal property owned by a Georgia resident as being the domicile of the owner unless such property has acquired a business situs elsewhere. The appraisal staff shall consider the tax situs of personal property owned by a Georgia resident and used in connection with a business as being the location of the business. In making the determination of tax situs, the appraisal staff shall consider such factors as the principal location of the personal property, the base from which its operations normally originate and whether the personal property is connected with some business enterprise that is situated more or less permanently in the county, as distinguished from an enterprise whose location is merely transitory or temporary. When personal property used in connection with a business is moved about in such a manner that it is not predominantly located during the year in one place, the appraisal staff shall consider the headquarters of the business as the tax situs.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(d)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Tax situs of personal property of non-residents.</B> The appraisal staff shall consider the tax situs of personal property owned by non-residents as being where the property is located. The appraisal staff shall recommend to the board of tax assessors a "no tax situs" status for any personal property owned by a nonresident who does not maintain a place of business in Georgia and who gives the personal property to a commercial printer in Georgia for printing services to be performed in Georgia.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(d)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Tax situs of boats.</B> In accordance with Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-16&amp;title=48#48-5-16(d)" target="_newtab">48-5-16(d)</a>, the appraisal staff shall consider the tax situs of a boat to be the tax district wherein lies the domicile of the owner, even when the boat is located within another tax district in the county. When the boat is functionally located for recreational or convenience purposes for 184 days or more in a county other than where the owner is domiciled, the appraisal staff shall consider the tax situs of the boat to be where it is functionally located.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(d)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Tax situs of aircraft.</B> In accordance with Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-16&amp;title=48#48-5-16(e)" target="_newtab">48-5-16(e)</a>, the appraisal staff shall consider the tax situs of an aircraft to be the tax district wherein lies the domicile of the owner, even when the aircraft is located within another tax district in the county. When the aircraft's primary home base is in a county other than where the owner is domiciled, the appraisal staff shall consider the tax situs of the aircraft to be where it is principally hangered or tied down and out of which its flights normally originate.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(d)4.">4.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Tax situs of foreign merchandise in transit.</B> The appraisal staff shall recommend to the board of tax assessors a "no tax situs" status for foreign merchandise that is in transit through this state. The recommendation of "no tax situs" shall be made regardless of the fact that while the foreign merchandise is in the warehouse it is assembled, bound, joined, processed, disassembled, divided, cut, broken in bulk, relabeled, or repackaged. The grant of "no tax situs" status shall be liberally construed. In deciding whether goods are foreign, the appraisal staff shall determine if the point of origin is a non-domestic shipping port. In deciding whether goods are in transit, the appraisal staff shall consider whether the interruption in the transport of the goods may be characterized as having a business purpose or advantage, rather than just being an incidental interruption in the continuity of transit.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(e)">(e)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Assessments of personal property used on state contracts.</B> Under Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=50-17-29&amp;title=50#50-17-29(e)(1)" target="_newtab">50-17-29(e)(1)</a>, the appraisal staff shall not propose an assessment upon the personal property of any contractor or subcontractor as a condition to or result of the performance of a contract, work, or services by such contractor or subcontractor in connection with any project being constructed, repaired, remodeled, enlarged, serviced, or destroyed for, or on behalf of, the state or any of its agencies, boards, bureaus, commissions, and authorities. The appraisal staff shall inquire into the nature of the use of such property and prepare their proposed assessment in accordance with this Subparagraph. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(e)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Personal property located in headquarters' county.</B> When the tax situs of the personal property being used on state projects is in the same county as where the property owner's permanent business headquarters and administrative offices are located, and such property is not used exclusively for the state projects contemplated by Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=50-17-29&amp;title=50#50-17-29(e)(1)" target="_newtab">50-17-29(e)(1)</a>, the appraisal staff shall not apportion their proposed assessment of the property. When such property is used exclusively for such state projects, such property is made exempt by Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=50-17-29&amp;title=50#50-17-29(e)(1)" target="_newtab">50-17-29(e)(1)</a> from ad valorem taxation by the county and the appraisal staff shall treat such property as exempt property is treated.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(e)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Personal property not located in headquarters' county.</B> When the tax situs of the personal property being used on state projects is in a county other than where the property owner's permanent business headquarters and administrative offices are located, and such property would not be located in the county absent the state projects, then the appraisal staff shall apportion their proposed assessment of such property as follows: The exempt portion of the personal property being used on state projects shall be that pro rata portion of the total value of such property that represents the percentage the contractor or subcontractor can reasonably demonstrate is likely to represent the portion of their business that will result from state projects during the tax year. The appraisal staff may consider the percentage of income, production output, or time attributable to state projects during the preceding year. The appraisal staff shall consider any information submitted by the property owner regarding the basis for the apportionment. The appraisal staff shall not apportion the personal property when the property owner fails to provide reasonable evidence necessary to determine the portion of the property owner's business that will result from state projects during the year.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(1)(f)">(f)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Partial assessments.</B> Unless specifically provided by law and this Rule, the appraisal staff shall not prepare a partial appraisal based on the fact that personal property is owned or used during the year in a manner that would make it exempt part of the year and taxable part of the year.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(2)">(2)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Classification.</B> The appraisal staff shall classify personal property as provided in Rule <a title="560-11-2-.21" href="560-11-2-.21">560-11-2-.21</a> for inclusion in the county tax digest.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)">(3)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Return of personal property.</B> In accordance with Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-299&amp;title=48#48-5-299(a)" target="_newtab">48-5-299(a)</a>, the appraisal staff, on behalf of the board of tax assessors, shall investigate diligently and inquire into the property owned in the county for the purpose of ascertaining what real and tangible personal property is subject to taxation in the county and to require the proper return of the property for taxation. The appraisal staff shall make such investigation as may be necessary to determine the value of any property upon which for any reason all taxes due the state or the county have not been paid in full as required by law. In all cases where taxes are assessed against the owner of property, the appraisal staff shall prepare a proposed assessment on the property according to the best information obtainable. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(a)">(a)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Information sources. </B>The appraisal staff should develop and maintain information sources for the discovery of unreturned personal property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(b)">(b)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Returns.</B> Property owners shall use Department of Revenue authorized return forms when returning personal property. No other forms shall be provided for this purpose to property owners by the county official responsible for receiving returns unless previously approved in writing by the Revenue Commissioner. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(b)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Authorized return forms.</B> The returns described in this subparagraph shall be authorized for use when returning personal property. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(b)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Form PT-50P.</B> The return form PT-50P, entitled "Business Personal Property Tax Return," may be used for the return of business personal property</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(b)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Form PT-50PF.</B> The return form PT-50PF, entitled Application for Freeport Exemption," may be used for the application for freeport exemption.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(b)1.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Form PT-50MA.</B> The return form PT-50MA, entitled "Marine / Aircraft Personal Property Tax Return," may be used for the return of boats or aircraft.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(b)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Obtaining returns from receiver. </B>Each year, after the deadline for filing returns, the appraisal staff shall secure the returns from the official responsible for receiving returns on or before the tenth day following such deadline.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(b)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Automatic returns.</B> In accordance with Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-20&amp;title=48#" target="_newtab">48-5-20</a>, the appraisal staff shall deem any property owner that does not file a return by the deadline as returning for taxation the same property as was returned or deemed to have been returned in the preceding tax year at the same valuation as the property was finally determined to be subject to taxation in the preceding year.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(c)">(c)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Reporting schedules. </B>Property owners shall use Department of Revenue authorized reporting schedules when reporting supporting information for authorized return forms. No other reporting schedules shall be provided for this purpose to property owners by the county official responsible for reviewing returns unless previously approved in writing by the Revenue Commissioner. A property owner may attach other schedules or documents that provide further support for the value they have placed on their personal property return. The appraisal staff shall consider all additional information submitted by the property owner with the return and reporting schedules. The reporting schedules required by Rule <a title="560-11-10-.08(3)(c)" href="560-11-10-.08#560-11-10-.08(3)(c)">560-11-10-.08(3)(c)</a> and appropriate for the type of personal property being returned and any other information submitted with the return by the property owner are made confidential by Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-314&amp;title=48#" target="_newtab">48-5-314</a> and shall be treated as such by the appraisal staff. The appraisal staff shall not consider as fully returned any property that is omitted, misrepresented, or undervalued on the supporting reporting schedules and accompanying property owner documents, as these provide the basis for the property owner's declarations of value on the return and are necessary for the board of assessors to carry out their responsibility under Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-299&amp;title=48#" target="_newtab">48-5-299</a> to, through their appraisal staff, ascertaining what personal property is subject to taxation in the county and to require the proper return of the property for taxation. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(c)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Authorized reporting schedules. </B>The reporting schedules described in this subparagraph shall be authorized for use when reporting information to support the return of personal property. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(c)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Schedule A.</B> The reporting schedule entitled "Schedule A" may be used to list and describe any furniture, trade fixtures, personal fixtures, machinery and equipment that is included on the property owner's return.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(c)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Schedule B.</B> The reporting schedule entitled "Schedule B" may be used to list and describe any inventory that is included on the property owner's return.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(c)1.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Schedule C.</B> The reporting schedule entitled "Schedule C" may be used to list and describe any construction in progress that is included on the property owner's return.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(3)(c)1.(iv)">(iv)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Schedule D. </B>The reporting schedule entitled "Schedule D" may be used to list and describe any boats or aircraft that are included on the property owner's return.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)">(4)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Verification.</B> The appraisal staff shall review and audit the returns in accordance with policies and procedures set by the county board of tax assessors consistent with Georgia law and this Rule. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(a)">(a)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Omissions and undervaluations.</B> If not otherwise prohibited by law or this Rule, the appraisal staff shall recommend an additional assessment to the board of tax assessors when any review or audit reveals that a property owner has omitted from their return any property that should be returned or has failed to return any of their property at its fair market value. The appraisal staff shall recommend a reduced assessment to the board of tax assessors when any review or audit reveals that a property owner has overstated the amount of personal property subject to taxation.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(b)">(b)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Reassessments.</B> The appraisal staff shall recommend to the board of tax assessors a new assessment when the property owner has omitted personal property from their return or failed to return personal property at its fair market value, when such omission or undervaluation has been discovered by an audit conducted pursuant to Rule <a title="560-11-10-.08(4)(d)" href="560-11-10-.08#560-11-10-.08(4)(d)">560-11-10-.08(4)(d)</a>. The appraisal staff shall not be precluded from conducting such an audit merely because a change of assessment has been made on the personal property as a result of a review conducted pursuant to Rule <a title="560-11-10-.08(4)(c)" href="560-11-10-.08#560-11-10-.08(4)(c)">560-11-10-.08(4)(c)</a>. However, the appraisal staff may not recommend to the board of tax assessors a reassessment of the same personal property for which an audit has been conducted pursuant to Rule <a title="560-11-10-.08(4)(d)" href="560-11-10-.08#560-11-10-.08(4)(d)">560-11-10-.08(4)(d)</a> and a final assessment has already been made by the board.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(c)">(c)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Review.</B> The purpose of a review is to determine if a property owner has correctly and fully completed their return and reporting schedules. It is based upon the good-faith disclosures of the property owner and information that is readily ascertainable by the appraisal staff. The review of an owner's return may consist of, but is not limited to, an analysis of any improper omissions or inclusions, improperly applied or omitted depreciation, and improperly applied or omitted inflation or deflation of the value of the owner's property. The examination should include a comparison of the current return information with return information from prior years. The appraiser should contact the owner or their agent by an on-site visit, telephone call, or written correspondence to attempt to resolve any questionable items. Returns with unresolved discrepancies, unexpected values, or incomplete information should be escalated to an audit.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(d)">(d)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Audits.</B> The purpose of an audit is to gather information that will allow the appraiser to make an accurate determination of the fair market value of the property owned by the property owner and subject to taxation. An audit is an examination of the records of the property owner to make an independent determination of the fair market value of such property where such determination does not solely depend upon the good-faith disclosures of the property owner and information that is readily ascertainable by the appraisal staff. The appraisal staff shall perform, consistent with Georgia Law and policies that are established by the board of tax assessors, audits of the records of the property owners to verify the returns of personal property. These audits may take place at any time within the seven-year statute of limitations, which begins on the date the personal property was required by law to be returned. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(d)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Scope of audit.</B> The audit may be an advanced desk audit of certain additional property owner records that are voluntarily submitted or obtained by subpoena from the property owner or a complex on-site detailed audit of the property owner's books and records combined with a physical inspection of the personal property. The documents the appraisal staff should secure include, but are not limited to, schedules A, B, and C of form PT-50P; a balance sheet or other type of financial record that for a particular location reflects the business' book value as of January 1 of the tax year being audited; a ledger of capitalized personal property items held on January 1 of the tax year being audited; and an income statement. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(d)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Use of subpoena.</B> The appraiser should request the board of tax assessors to subpoena, within the limitations of their subpoena powers, any existing documents the property owner fails to provide voluntarily, when these documents are deemed by the appraiser to be critical to the audit. Since the appraiser may not request a subpoena for documents that do not presently exist in the format needed, the appraiser should seek existing documents held by the property owner and solicit the owner's voluntary cooperation in obtaining these documents.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(d)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Contracts with auditing specialists.</B> The appraiser shall secure non-disclosure statements from any contracted audit specialist to ensure that such specialist shall conform with the confidentiality provisions of Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-314&amp;title=48#" target="_newtab">48-5-314</a> and shall not disclose the property owner's confidential records to unauthorized persons or use such confidential records for purposes other than the county's review for ad valorem tax purposes of the tax return and supporting documentation. The appraisal staff shall provide a copy of such non-disclosure statement to the property owner upon such owner's request. The appraiser shall not recommend to the board of tax assessors any contract or agreement with an audit specialist that provides for such specialist to contingently share a percentage of the tax collected as a result of any audits such specialist may perform. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(d)2.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Notice to property owner. </B>The lead appraiser shall ensure the property owner is sent a notice they have been selected for an audit of their personal property holdings for ad valorem tax purposes. The notice shall, at a minimum, indicate the following: the purposes and goals of the audit and the law authorizing the audit; the name of the lead appraiser who is primarily responsible for the conduct of the audit; the names of the members of the audit team that will be performing the audit; the number of years that will be audited; a description of the type records that should be made available; a description of how the audit will be conducted; the range of dates desired for the audit; and contact information should the property owner wish to contact the lead appraiser. The notice shall contain a statement that the lead appraiser will be contacting the property owner by telephone to establish the date and time of the audit and to determine the availability and location of records. At the conclusion of the audit, if there is sufficient evidence to warrant a recommended change of assessment, the lead appraiser shall have prepared a list of preliminary audit findings and provide such list to the property owner to afford them an opportunity to meet and discuss the findings and view any supporting schedules and documents relied upon by the individuals conducting the audit. After any such meeting requested by the property owner, the lead appraiser shall have prepared the final audit report and proposed assessment and provide a copy to the property owner and the board of tax assessors.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(e)">(e)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Audit selection criteria. </B>The appraisal staff shall recommend to the board of tax assessors a review and audit selection criteria, and the appraisal staff shall follow such criteria when adopted by the board. The criteria should be designed to maximize the number of personal property returns that may be reviewed or audited with existing resources. The criteria should be fair, unbiased, and developed consistent with the requirements of Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-299&amp;title=48#" target="_newtab">48-5-299</a>. All personal property accounts should be reviewed or audited at least once every three years.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(f)">(f)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Property owner records.</B> The appraisal staff should first endeavor to obtain the records necessary to substantiate the information returned or reported by the property owner through the voluntary cooperation of the property owner. When such voluntary cooperation is not forthcoming, and the records requested from the property owner are believed by the appraiser to be critical to a proper appraisal of the personal property, the appraiser may request that the board of tax assessors issue an appropriate subpoena for such records. The appraiser may request that the board of tax assessors issue an appropriate subpoena for the testimony of any individuals the appraiser believes poses knowledge critical to determination of the fair market value of the property owner's personal property. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(f)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Record types.</B> The types of records the appraisal staff may request the board of tax assessors to issue subpoenas for include, but are not limited to, the following: chart of accounts, general ledger, detailed subsidiary ledgers, journals of original entry, balance sheet, income statement, annual report, Securities Exchange Commission Form 10K. The types of records the appraisal staff may not request the board of tax assessors to issue subpoenas for include the following: <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(f)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Income tax returns.</B> Forms and schedules authorized by the Internal Revenue Service or the revenue collecting agencies of the several states for use in filing income tax returns to those agencies;</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(f)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Property appraisals.</B> A property appraisal that the property owner has obtained prior to any appeal that is filed as a result of a change of assessment being made to the property owner's personal property;</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(f)1.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Insurance policies.</B> An insurance policy that may contain valuation estimates of the insured personal property; or</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(4)(f)1.(iv)">(iv)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Tenant sales information.</B> A rent roll or document containing the individual tenant sales information on the property owner's rented or leased personal property.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)">(5)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Valuation procedures.</B> The appraisal staff shall follow the provisions of this paragraph when performing their appraisals. Irrespective of the valuation approach used, the final results of any appraisal of personal property by the appraisal staff shall in all instances conform to the definition of fair market value in Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-2&amp;title=48#" target="_newtab">48-5-2</a> and this Rule. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(a)">(a)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>General procedures.</B> The appraisal staff shall consider the sales comparison, cost, and income approaches in the appraisal of personal property. The degree of dependence on any one approach will change with the availability of reliable data and type of property being appraised. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(a)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Information presented by property owner.</B> The appraisal staff shall consider any timely information presented by the property owner that may have reasonable relevance to the appraisal of the owner's personal property. The appraisal staff shall consider the effect of any factors discovered during the review or audit of the return or directly presented by the property owner that may reduce the value of the owner's personal property, including, but not limited to all forms of depreciation, shrinkage, theft and damage.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(a)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Selection of approach.</B> With respect to machinery, equipment, personal fixtures, and trade fixtures, the appraisal staff shall use the sales comparison approach to arrive at the fair market value when there is a ready market for such property. When no ready market exists, the appraiser shall next determine a basic cost approach value. When the appraiser determines that the basic cost approach value does not adequately reflect the physical deterioration, functional or economic obsolescence, or otherwise is not representative of fair market value, they shall apply the approach or combination of approaches to value that, in their judgment, results in the best estimate of fair market value. All adjustments to the basic cost approach shall be documented to the board of tax assessors.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(a)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Rounding. </B>The appraisal staff may express the final fair market value estimate to the board of tax assessors in numbers that are rounded to the nearest hundred dollars.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(b)">(b)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Special procedures.</B> The appraisal staff shall observe the procedures in this Subparagraph when appraising inventory and construction in process. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(b)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Valuation of inventory. </B>When appraising inventory, the appraisal staff shall consider the value of inventory to consist of all the charges incurred from its original state as raw material to its final resting place for ultimate consumption, including such items as freight and other overhead charges, with the exception of the cost of the final sale The appraisal staff shall also consider factors contributing to any loss of value including, but not limited to, obsolescence, shrinkage, theft and damage.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(b)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Construction in progress. </B>Property owners who are constructing or installing a large piece or line of production equipment may be required by generally accepted accounting principles to accrue the total costs associated with such equipment in a holding account until the construction or installation is complete and the equipment is ready for production, at which time, the property owner is permitted by such principles to post the total cost to a fixed asset account, taking appropriate depreciation. If such holding account is maintained by the property owner, the appraisal staff shall consider the total cost reported in the property owner's holding account when appraising such property. Construction in progress shall be appraised in the same manner as other similar personal property taking into account that there may be little or no physical deterioration on such property and that the fair market value may be diminished due to the incomplete state of construction. If comparable sales information of personal property under construction is generally not available and there is no other specific evidence to measure the probable loss of value if the property is sold in an incomplete state of construction, the appraisal staff may multiply the identified total cost of construction by a uniform market risk factor of .75.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(b)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Overhauls. </B>When appraising machinery, equipment, furniture, personal fixtures, and trade fixtures, the appraisal staff shall consider the cost of all expenditures, both direct and indirect, relating to any efforts to overhaul an asset to modernize, rebuild, or otherwise extend the useful life of such asset. The following procedure is to be used by the appraisal staff to estimate the value of an overhauled asset: An adjustment to the original cost of the asset is made to reflect the cost of the components that have been replaced. The cost of the overhaul is divided by an index factor representing the accumulated inflation or deflation from the year of acquisition of the asset on which the overhaul was performed to the year of the overhaul. This amount is then subtracted from the original cost of the asset being overhauled. The remainder is then multiplied by the composite conversion factor for the year of the original acquisition as specified in Rule <a title="560-11-10-.08(5)(f)(4)(iii)" href="560-11-10-.08#560-11-10-.08(5)(f)(4)(iii)">560-11-10-.08(5)(f)(4)(iii)</a> of this section. The current year's composite conversion factor is then applied to the cost of the overhaul, and these two figures are combined to represent the estimate of value for the overhauled asset.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(c)">(c)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Level of trade.</B> The appraisal staff shall recognize three distinct levels of trade: the manufacturing level, the wholesale level, and the retail level. The appraiser shall take into account the incremental costs that are added to a product as it advances from one level to another that may increase its value as a final product. The appraisal staff shall value the property at its level of trade.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(d)">(d)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Ready markets. </B>When the appraiser lacks sufficient evidence to demonstrate the existence of a ready market, he or she shall consider any evidence submitted by the property owner demonstrating that a ready market is available. When the property owner cannot prove the existence of a reliable ready market, the appraiser may use other valuation approaches as authorized by law and Rule <a title="560-11-10-.08(5)" href="560-11-10-.08#560-11-10-.08(5)">560-11-10-.08(5)</a>. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(d)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Liquidation sales.</B> The appraisal staff should recognize that those liquidation sales that do not represent the way personal property is normally bought and sold may not be representative of a ready market. For such sales, the appraisal staff should consider the structure of the sale, its participants, the purchasers, and other salient facts surrounding the sale. After considering this information, the appraisal staff may disregard a sale in its entirety, adjust it to the appropriate level of trade, or accept it at face value.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)">(e)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Sales comparison approach. </B>The sales comparison approach uses the sales of comparable properties to estimate the value of the subject property being appraised. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Widely used pricing guides. </B>The appraisal staff should make a reasonable effort to obtain and use generally accepted pricing guides that are published and widely used within the market. When using such a guide to estimate the comparative sales approach value, the appraiser shall begin with the listed retail price and then make any value adjustments as provided in the guide instructions, based on the best information available about the subject property being appraised.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Lesser-known pricing guides. </B>The property owner may submit, and the appraisal staff shall consider, lesser known publications, periodicals and price lists of the specific types of personal property being returned. Such lists should be regularly consulted by buyers of the type personal property reported, and should list prices at which sellers, who regularly deal in the types of property reported, typically offer such property for sale. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)2.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Validation of lesser pricing guides.</B> In all cases where unpublished, unrecognized, or unverified sales data are submitted by the property owner, the steps the appraiser may take to validate such data include, but are not limited to, the following: <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)2.(i)(I)">(I)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Arm's length transactions.</B> as defined in OCGA 48-5-2(.1): "'Arm's length, bona fide sale' means a transaction which has occurred in good faith without fraud or deceit carried out by unrelated or unaffiliated parties, as by a willing buyer and a willing seller, each acting in his or her own self-interest, including but not limited to a distress sale, short sale, bank sale, or sale at public auction." Transactions where the lien holder receives or repossesses the property, and deed under power of sale transactions are not to be applied as an arm's length transaction.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)2.(i)(II)">(II)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Representativeness.</B> Verify that the sales data submitted is either all-inclusive or has been randomly selected, so as to be unbiased and fairly represent the market for the personal property being appraised. This may be accomplished by contacting known dealers of the subject personal property to determine whether other significant market data exists that supports the data submitted by the property owner.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)2.(i)(III)">(III)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Financing.</B> Adjust the sale price of the subject property for non-conventional financing.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)2.(i)(IV)">(IV)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Time of sale.</B> Adjust the sale price of the subject property for the date of sale in order to estimate the value as of the January 1 assessment date.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)2.(i)(V)">(V)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Discounts.</B> Adjust the sale price to remove trade and cash discounts.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)2.(i)(VI)">(VI)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Comparability.</B> Adjust the sale price of the subject property for characteristics of the subject not found in the sales to which it is being compared, such as condition, use, and extra or missing features.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(e)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Other factors.</B> To finalize the sales comparison approach, the appraiser shall consider any other factors, appropriate to the approach, which may be affecting the value. When the comparative sales approach is used as the basis for the appraisal of personal property, the appraiser shall not make further adjustments to the value to reflect economic obsolescence, functional obsolescence, or inflation.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)">(f)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Cost approach.</B> The cost approach arrives at an estimate of value by taking the replacement or reproduction cost of the personal property and then reducing this cost to allow for physical deterioration, functional and economic obsolescence. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>General procedure. </B>In applying the cost approach to personal property during a review or audit of a return, the appraiser shall identify the year acquired, and total acquisition costs, including installation, freight, taxes, and fees. The acquisition costs shall then be adjusted for inflation and deflation and then depreciated as appropriate to reflect current market values.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Book value.</B> The appraiser should recognize that the appraisal and accounting practices for depreciating personal property might differ. Accounting practices provide for recovery of the cost of an asset, whereas appraisal practices strive to estimate the fair market value related to the current market. The appraiser should consider depreciation in the forms of physical deterioration, functional obsolescence, and economic obsolescence, which may not necessarily be reflected in the book value. The appraiser should consider that accounting practices of property owners might also differ.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Valuation as a whole.</B> The appraiser may arrange the individual items of personal property into groups with similar valuation characteristics and value such group as a whole when the itemized appraisals of each item of personal property will not add substantially to the accuracy of the determination of the cost approach value.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.">4.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Basic cost approach. </B>The appraisal staff shall determine the basic cost approach value of machinery, equipment, furniture, personal fixtures, and trade fixtures using the following uniform four-step valuation procedures: Determine the original cost new of the item of personal property to the property owner; determine the uniform economic life group for the item of personal property; and multiply the original cost new times the uniform composite conversion factor appropriate for the economic life group and actual age of the item of personal property. Then determine a salvage value of any item of personal property when it is taken out of use at the end of its expected economic life. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Original cost new.</B> The appraisal staff shall determine the original cost new of the item of machinery, equipment, furniture, personal fixtures, and trade fixtures. Any real improvements to the real property, including real fixtures that had to be installed for the proper operation of the property, shall be included in the appraisal of the real property and not included in the basic cost approach value of the personal property. Those portions of transportation costs and installation costs that do not represent normal and customary costs for the type personal property being appraised shall be excluded from the original cost new when determining the basic cost approach value.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Economic life groups.</B> When determining the basic cost approach value of machinery, equipment, furniture, personal fixtures, and trade fixtures, the appraisal staff shall separate the individual items of property into four economic life groupings that most reasonably reflect the normal economic life of such property as specified in this subparagraph. The appraiser shall use Table B-1 and B-2 of Publication 946 of the U.S. Treasury Department Internal Revenue Service, as revised in 1998, to classify the individual asset into the appropriate economic life group. For property that does not appear in such publication, the appraisal staff may determine the appropriate economic life group based on the best information available, including, but not limited to, the property owner's history of purchases and disposals. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(ii)(I)">(I)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Group I. </B>The appraisal staff shall place into Group I any assets that have a typical economic life between five and seven years.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(ii)(II)">(II)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Group II.</B> The appraisal staff shall place into Group II any assets that have a typical economic life between eight and twelve years.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(ii)(III)">(III)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Group III.</B> The appraisal staff shall place into Group III any assets that have a typical economic life of thirteen years or more.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(ii)(IV)">(IV)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Group IV.</B> The appraisal staff shall place into Group IV any assets that have a typical economic life of four years or less. The appraisal staff shall also place into Group IV those assets classified as Asset Class 00.12 in Publication 946 of the U.S. Treasury Internal Revenue Service, Table B-1, as revised in 1998.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Composite conversion factors.</B> The appraisal staff shall, in accordance with this Rule, use the composite conversion factors as provided in this subparagraph and apply the appropriate factor to the original cost new of personal property to arrive at the basic cost approach value. The last composite conversion factor in each economic life group shall not be trended and shall represent the residual value. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(iii)(I)">(I)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Group I composite conversion factors.</B> The following composite conversion factors shall be applied to Group I assets to arrive at the basic cost approach value for years one through seven: Y1-.87, Y2-.74, Y3-.58, Y4-.43, Y5-.32, Y6-.26, Y7-.21. Thereafter the residual composite conversion factor shall be .20.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(iii)(II)">(II)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Group II composite conversion factors.</B> The following composite conversion factors shall be applied to Group II assets to arrive at the basic cost approach value for years one through eleven: Y1-.92, Y2-.85, Y3-.78, Y4-.70, Y5-.63, Y6-.54, Y7-.44, Y8-.34, Y9-.28, Y10-.25, Y11-.25. Thereafter the residual composite conversion factor shall be .20.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(iii)(III)">(III)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Group III composite conversion factors.</B> The following composite conversion factors shall be applied to Group III assets to arrive at the basic cost approach value for years one through sixteen: Y1-.95, Y2-.91, Y3-.87, Y4-.82, Y5-.79, Y6-.75, Y7-.70, Y8-.63, Y9-.57, Y10-.52, Y11-.47, Y12-.41, Y13-.35, Y14-.31, Y15-.29, Y16-.28. Thereafter the residual composite conversion factor shall be .20.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(iii)(IV)">(IV)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Group IV composite conversion factors.</B> The following composite conversion factors shall be applied to Group IV assets to arrive at the basic cost approach value for years one through three: Y1-.67, Y2-.54, Y3-.31. Thereafter the residual composite conversion factor shall be .10.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(iv)">(iv)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Basic cost approach value. </B>The basic cost approach value shall be determined by multiplying the composite conversion factor times the original cost new of operating machinery, equipment, furniture, personal fixtures, and trade fixtures.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)4.(v)">(v)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Salvage value.</B> Once personal property is taken out of service at or after the end of its typical economic life, it shall be considered salvage until disposed of and the appraiser shall determine a basic cost approach value by taking ten percent of the original cost new of such property. The basic cost approach value for property withdrawn from active use but retained as backup equipment shall be one-half the basic cost approach value otherwise applicable for such property.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)5.">5.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Further depreciation to basic cost approach value.</B> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)5.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Physical deterioration.</B> The appraiser shall consider any evidence presented by the property owner demonstrating physical deterioration that is unusual for the type of personal property being appraised.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)5.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Functional obsolescence. </B>The appraisal staff shall consider any evidence presented by the property owner demonstrating functional obsolescence for the type of personal property being appraised. One method the appraisal staff may use to determine the amount of functional obsolescence is to trend the original cost new for inflation to arrive at the reproduction cost new, and then deduct the cost of a newer replacement model with similar or improved functionality.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(f)5.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Economic obsolescence.</B> The appraisal staff shall consider any evidence presented by the property owner demonstrating economic obsolescence for the type of personal property being appraised. One method the appraisal staff may use to determine the amount of economic obsolescence is to capitalize the difference between the economic rent of an item of personal property before and after the occurrence of the adverse economic influence.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(g)">(g)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Income approach.</B> The income approach to value estimates the value of personal property by determining the current value of the projected income stream. This approach is most applicable to machinery, equipment, furniture, personal fixtures, and trade fixtures. The approach should only consider the income directly attributable to the personal property being valued and not the income attributable to the real or intangible personal property forming the same business. The appraisal staff may use one of the following methods when using the income approach for the appraisal of applicable personal property: <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(g)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Straight-line capitalization method. </B>The straight-line capitalization method estimates the income approach value of personal property by computing the investment necessary to produce the net income attributable to the personal property. In essence, it is determined by first computing the potential gross income for a subject property by taking the monthly rent, when that is the rental basis, and multiplying that total by twelve months. The potential gross income is then adjusted to a net operating income by subtracting any expenses that legitimately represent the costs necessary for production of that income. The net operating income will represent the amount of revenue left after operating expenses that is available to return the investment, pay property tax on the property, and return a profit to the owner. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(g)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Income and expense analysis.</B> While complete data is not required on each individual property, there must be sufficient data to develop typical unit rents, typical collection loss ratios, and typical expense ratios for various type properties. Income and expense figures used in the income approach must reflect current market conditions and typical management. Actual figures may be used when they meet this criterion. When actual figures are not available or appear to be unrepresentative, typical figures should be used. Income and expense analysis builds upon the following important components: typical unit rent, potential gross rent, collection loss, typical gross income, typical expenses, and typical net income. Excluded are expenses such as depreciation charges, debt service, income taxes, and business expenses not associated with the property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(g)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Capitalization.</B> Capitalization involves the conversion of typical net income into an estimate of value. The estimated income is divided by the capitalization rate to arrive the estimated income approach value. The capitalization rate consists of three components. The discount rate, the recapture rate, and the effective tax rate. The discount rate represents the amount of return a prudent investor could reasonably expect on an investment in the subject property. The recapture rate represents the return of the potential investment. The effective tax rate represents the portion of the income stream allocated to pay resulting ad valorem taxes on the property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(g)1.(I)">(I)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Discount rate.</B>The appraiser should calculate the appropriate discount rate through a method known as the band of investment. The band of investment represents the weighted-average cost of the money needed to purchase the applicable personal property. The appraiser determines the percentage of the cost typically borrowed and multiplies this percentage times the typical cost of borrowing. The appraiser then determines the remaining percentage of the cost typically contributed by an investor and multiplies this percentage times the expected rate of return to the investor. An analysis of similar properties might reveal the discount rate typical for a property of a given type.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(g)1.(II)">(II)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Recapture rate.</B> The appraiser should calculate the recapture rate by dividing one by the number of years remaining in the economic life of the subject property. The resulting percentage is the current year's recapture rate.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(g)1.(III)">(III)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Effective tax rate.</B> The appraiser should calculate the effective tax rate by multiplying the forty percent assessment level times the tax rate in the jurisdiction in which the subject property is located. The effective tax rate is included in the capitalization rate because market value is yet unknown and property taxes can be addressed as a percentage of that unknown value in lieu of their inclusion as an expense in calculation of net annual income.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(g)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Direct sales analysis method.</B> The direct sales analysis method estimates the income approach value of personal property by computing the relationship between income and sales data. This relationship is expressed as a factor. The method represents a blend of the sales comparison and income approaches because it involves application of income data in conjunction with sales data. Sales of items similar to the subject property are divided by the gross rents, for which they or identical properties are leased, to develop gross income multipliers. A gross income multiplier is selected as typical for the market, and multiplied against the gross income of the subject, or that of an identical property, to result in an estimated value. Limiting the income to rental income only produces a gross rental multiplier. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(g)2.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Gross income or rent multiplier.</B> The appraiser should compute the gross income multiplier by dividing the typical gross income on the personal property by the typical sales price of the personal property. The appraiser should compute the gross rent multiplier by dividing the typical gross rent on the personal property by the typical sales price of the personal property. The appraiser must identify the specific item of personal property to be valued and determine the typical gross income as gross income is determined in Rule <a title="560-11-10-.08(5)(g)(1)(i)" href="560-11-10-.08#560-11-10-.08(5)(g)(1)(i)">560-11-10-.08(5)(g)(1)(i)</a>. The item is then stratified according to its typical use. Typical use strata may include, but are not limited to, office equipment, light-duty manufacturing equipment, heavy-duty manufacturing equipment, retail sales equipment, furniture, personal fixtures, trade fixtures, restaurant equipment, or any other stratum the appraiser believes will have similar sensitivity to market fluctuations as the subject item. The appraiser may develop an individual multiplier on a single item of personal property when there are sufficient sales and rent information. This multiplier may then be used for similar items of personal property for which there may be limited sales and rent information. The income approach value estimate is computed by multiplying the estimated gross income times the gross income multiplier or the gross rent times the gross rent multiplier. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(5)(g)2.(i)(I)">(I)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Adjustments.</B>Income data and sales prices used in the development of income multipliers should be reasonably current. Older sales may be matched against recent income figures when the sales are adjusted for time. Sales must also be adjusted for financing, condition, optional equipment, and level-of-trade.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.08(6)">(6)</a></td> <td valign="top" style="text-align:left" class="leftalign"><B>Final estimate of fair market value.</B> After completing all calculations, considering the information supplied by the property owner, and considering the reliability of sales, cost, income and expense information, the appraiser will correlate any values indicated by those approaches to value that are deemed to have been appropriate for the subject property and form their opinion of the fair market value. The appraisal staff shall present the resulting proposed assessment, along with all supporting documentation, to the board of tax assessors for an assessment to be made by that board.</td> </tr> </table> <h2><a href="/GAC/560-11-10-.09" name="560-11-10-.09" title="560-11-10-.09">Rule 560-11-10-.09 Real Property Appraisal</a></h2> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(1)">(1)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Real property - Introduction. The appraisal staff shall follow the provisions of this Rule when performing their appraisals of real property. Irrespective of the valuation approach used, the result of any appraisal of real property by the appraisal staff shall conform to the definition of fair market value. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(1)(a)">(a)</a></td> <td valign="top" style="text-align:left" class="leftalign"> General valuation procedures. The appraisal staff shall consider the sales comparison, cost, and income approaches in the appraisal of real property. The degree of dependence on any one approach will change with the availability of reliable data and type of property being appraised. The appraisal staff may express the final fair market value estimate to the board of tax assessors in numbers that are rounded to the nearest hundred dollars.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(1)(b)">(b)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Real property identification. The appraisal staff shall identify real property, determine its taxability, and classify it for addition to the county ad valorem tax digest in accordance with this subparagraph. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(1)(b)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Distinguishing real property. The appraiser shall be required to correctly identify real property and distinguish it from personal property where the proper valuation procedures, as set forth in this Rule, may be followed. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(1)(b)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Real property examples. As used in this Rule, real property shall be that property defined in Rule <a title="560-11-10-.02(1)(w)" href="560-11-10-.02#560-11-10-.02(1)(w)">560-11-10-.02(1)(w)</a>. This Rule shall provide illustrations to assist the appraiser in the proper interpretation of the definition. However, these illustrations should not be construed in a manner that conflicts with the definition. Examples of real property are tangible items such as land, all improvements attached to land, real fixtures, and leasehold interests in real property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(1)(b)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Identification of real fixtures. When property the appraiser believes to be a real fixture has not been returned by the landlord, the appraiser shall require the landlord to produce their lease agreement and shall carefully review the agreement before making their recommendation to the board of tax assessors regarding the classification and taxability of the property in question. The appraiser shall inform the landlord that they may redact, at their option, any information relating to the payments that are required by the lease agreement.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(1)(b)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Assessment date. Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-10&amp;title=48#" target="_newtab">48-5-10</a> provides that each return by a property owner shall be for property held and subject to taxation on January 1 of the tax year. The appraisal staff shall base their decisions regarding the taxability, uniform assessment, and valuation of real property on the circumstances of such property on January 1 of the tax year for which the assessment is being prepared. When real property is transferred to a new owner or converted to a new use, the circumstances of such property on January 1 shall nevertheless be considered as controlling.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(1)(b)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Classification. The appraisal staff shall classify real property as provided in Rule <a title="560-11-2-.21" href="560-11-2-.21">560-11-2-.21</a> for inclusion in the county tax digest. Real property may be further stratified and categorized as appropriate for aggregating comparable properties for an appraisal.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)">(2)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Return of real property. In accordance with Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-299&amp;title=48#48-5-299(a)" target="_newtab">48-5-299(a)</a>, the appraisal staff, on behalf of the board of tax assessors, shall investigate diligently and inquire into the property owned in the county, for the purpose of ascertaining what real and tangible personal property is subject to taxation in the county and to require the proper return of the property for taxation. The appraisal staff shall make such investigation as may be necessary to determine the value of any property upon which for any reason all taxes due the state or the county have not been paid in full as required by law. In all cases where taxes are assessed against the owner of property, the appraisal staff shall prepare a proposed assessment on the property according to the best information obtainable. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(a)">(a)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Information sources. The appraisal staff should develop and maintain information sources for the discovery of unreturned real property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)">(b)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Returns. The county appraisal staff shall review the returns in accordance with policies and procedures set by the county board of tax assessors consistent with Georgia law and this Rule. Each year, after the deadline for filing returns, the appraisal staff shall secure the returns from the official responsible for receiving returns on or before the tenth day following such deadline. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> New returns. Department of Revenue form PT-50R is authorized for use by property owners when returning real property. No other form shall be provided for this purpose to property owners by the county official responsible for receiving returns unless previously approved in writing by the Revenue Commissioner.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Automatic returns. In accordance with Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-20&amp;title=48#" target="_newtab">48-5-20</a>, the appraisal staff shall deem any property owner that does not file a return by the deadline as returning for taxation the same property as was returned or deemed to have been returned in the preceding tax year at the same valuation as the property was finally determined to be subject to taxation in the preceding year.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Real estate transfer declaration forms. The Department of Revenue has established Form PT-61 for owners to declare the real estate transfer tax due when property is transferred from one owner to another. The appraisal staff shall review all PT-61 forms filed with the clerk of superior court to discover new owners of property and to ascertain if their property has been returned for taxation. When a property owner acquires real property by transfer in the preceding tax year and does not file a return on such property for the current tax year, the appraisal staff shall follow the procedures of this subparagraph to determine if the newly acquired property has been properly returned for taxation. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)3.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> When real estate transfer tax declaration form properly completed. For the purposes of subparagraph (2)(b)(3) of this Rule, the PT-61 form shall be deemed properly completed when all applicable information required by the instructions on the form has been entered on the form, it has been signed by the new owner and filed in quadruplicate with the clerk of superior court. A PT-61 form shall not be deemed properly completed when the appraisal staff determines any of the required information on the form is omitted, false, or misleading.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)3.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> When transferred property deemed returned. When a property owner acquires by transfer real property that has not been subdivided from the preceding tax year, and such owner properly completes a real estate transfer tax PT-61 form and pays any real estate transfer tax that may be due as provided in Article 1 of Chapter 6 of Title 48 of the Code, the appraisal staff shall deem the owner as having returned the property acquired by transfer at the same value finally determined to be applicable to such property for the preceding year.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)3.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> When transferred property deemed unreturned. The appraisal staff shall not deem as returned any property: <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)3.(iii)(I)">(I)</a></td> <td valign="top" style="text-align:left" class="leftalign"> That is an improvement made since January 1 of the preceding tax year to property that has been transferred;</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)3.(iii)(II)">(II)</a></td> <td valign="top" style="text-align:left" class="leftalign"> That has been transferred and for which the real estate transfer tax PT-61 form has not been properly completed;</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)3.(iii)(III)">(III)</a></td> <td valign="top" style="text-align:left" class="leftalign"> That has been transferred and for which the real estate transfer tax PT-61 form has not been filed with the clerk of superior court on or before the deadline for returning property in the year following the year the property is transferred; and</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(b)3.(iii)(IV)">(IV)</a></td> <td valign="top" style="text-align:left" class="leftalign"> That has been transferred and for which the real estate transfer tax has not been paid.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(c)">(c)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Reassessments. The appraisal staff may not recommend to the board of tax assessors a reassessment of the same real property for which a final assessment has already been made by the board. For the purposes of this subsection, the appraisal staff shall presume that a final assessment on real property includes both the land and any improvements to the land. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(c)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Recently appealed real property. The appraisal staff shall observe the provisions of Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-299&amp;title=48#48-5-299(c)" target="_newtab">48-5-299(c)</a> and this subparagraph before recommending a change to the assessment of real property that was the subject of an appeal on either the immediately preceding tax digest or the next immediately preceding tax digest. Such property shall be designated in the appraisal staff's records as recently appealed property for the two tax years following the year of the appeal. This subparagraph shall not apply when such property has been returned by the taxpayer at a value different from the appeal-established value.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(c)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Changing assessment of recently appealed real property. In the two tax years following an appeal, the appraisal staff may not recommend an increase of assessment for the sole purpose of changing the valuation established or decision rendered in an appeal to the board of equalization, hearing officer, arbitration, or superior court. Rather a new appraisal must be accompanied by an on-site inspection to determine the occurrence of any substantial additions, deletions, or improvements to such property, errors in the appraisal staff's records or material factors that substantially affect the current fair market value of such property since the appeal was heard that established the value of the property. The appraisal staff may recommend, consistent with the provisions of this subparagraph, to the board of tax assessors a change of assessment on the property that was the subject of the appeal when an appraisal based on current market conditions indicates the value has changed substantially from the value established by the recent appeal. Such appraisal shall be accompanied by a written statement attesting to the fact that an appraiser has conducted the required on-site inspection of the subject property and setting forth the reasons why the appraiser believes that a change of assessment is authorized under Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-299&amp;title=48#48-5-299(c)" target="_newtab">48-5-299(c)</a> and this subparagraph. The written statement shall attest to at least one of the following: substantial additions, deletions, or improvements to such property has occurred since January 1 of the appeal year; an error has been discovered in the property records regarding the description or characteristics of the subject property; or an occurrence of other material factors that substantially affect the current fair market value of the subject property. With respect to the term 'substantial'; when making determinations of whether to increase a recently appealed property the appraiser shall consider the subject property components since the time of appeal (appeal hearing date), such as the value of new improvements, value of additions to existing improvements (footprint of exchanged structure has been altered), major remodeling or renovations to existing structures (footprint of exchanged structure has not been altered), and adjustments to land due to consolidation of tracts, new surveys, zoning changes, land use changes. In the event an appealed property is renovated or remodeled, the term 'substantial' shall be construed such that both the property owner and BOA would reasonably conclude a major renovation/remodeling has occurred. Any modifications made to the appealed property after the appeal hearing date that result in a lower value of the appealed property shall be considered in the final valuation of property for the subsequent January 1 assessment.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)">(d)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Collecting and maintaining property information. The appraisal staff shall keep a record of information relevant to the ownership and valuation of all real property in the county and shall follow the procedures in this subparagraph when collecting and maintaining such real property data. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Description of property information. The type of information the appraisal staff shall maintain includes, but is not limited to, property ownership, location, size, use, physical characteristics, sales prices, construction costs, rents, and operating expenses to the extent such information is available. The appraisal staff shall, consistent with this subparagraph, recommend to the board of tax assessors a uniform policy regarding the information to be included in their records. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Geographic information. Cadastral maps or computerized geographic information systems are to be maintained by the appraisal staff for all real property located in the county. In the event the county governing authority has established a separate mapping office and the maps maintained by such office conform with the requirements of this subparagraph, the appraisal staff may provide relevant information to such mapping office and still be in compliance with this subparagraph. Minimum mapping specifications shall include the following: all streets and roads plotted and identified; property lines delineated for each real property parcel; unique parcel identifier for each parcel; and physical dimensions or acreage estimate for each parcel. The appraisal staff shall use the parcel identifiers to link the real property records to the maps. The appraisal staff shall notify the Revenue Commissioner of all proposed changes to existing parcel-numbering systems before implementing such changes.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Sales information. The appraisal staff shall maintain a record of all sales of real property that are available and occur within the county. The appraisal staff should also familiarize themselves with overall market trends within their immediate geographical area of the state. They should collect and analyze sales data from other jurisdictions having market and usage conditions similar to their county for consideration when insufficient sales exist in the county to evaluate a property type, especially large acreage tracts. The Real Estate Transfer Tax document, Department of Revenue Form PT-61, shall be a primary record source. However, the appraisal staff may also review deeds of transfer and security deeds recorded in the Office of the Superior Court Clerk, and probated wills recorded in the Office of the Probate Judge to maintain a record of relevant information relating to the sale or transfer of real property. Records required to be maintained shall include at a minimum the following information: map and parcel identifier; sale date; sale price; buyer's name; seller's name; deed book and page number; vacant or improved; number of acres or other measure of the land; representativeness of sale using the confirming criteria provided in Rule <a title="560-11-2-.56(1)(d)" href="560-11-2-.56#560-11-2-.56(1)(d)">560-11-2-.56(1)(d)</a>; any income and expense information reasonably available from public records; property classification as provided in Rule <a title="560-11-2-.21" href="560-11-2-.21">560-11-2-.21</a>, and; when available, the appraised value for the tax year immediately following the year in which the sale occurred</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)1.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Property characteristics. The appraisal staff shall maintain a record of real property characteristics. This record shall include, but not be limited to, sufficient property characteristics to classify and value the property. In addition, the following criteria may be considered when determining which characteristics should be gathered and maintained: factors that influence the market in the location being considered; requirements of the valuation approach being employed; digest classification and stratification; requirements of other governmental and private users; and marginal benefits and costs of collecting and maintaining each property characteristic.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)1.(iv)">(iv)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Land and location characteristics. The appraisal staff shall maintain a record of the land and location characteristics. The record should include, but not be limited to, location, frontage, width, depth, shape, size, topography, landscaping, slope, view, drainage, hydrology, off-site improvements, soil condition, soil productivity, zoning, absorption, nuisances, use, covenants, neighborhood, corner influence, proximity to recreational water, and quality of access.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)1.(v)">(v)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Improvement characteristics. The appraisal staff shall maintain a record of the characteristics of the improvements to land. The record shall include, but not be limited to, the location, size, actual use, design, construction quality, construction materials, age and observed condition.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Collecting property information. The appraisal staff shall, consistent with the policies of the board of tax assessors and this subparagraph, physically inspect properties when necessary to gather the information required by Rule <a title="560-11-10-.09(2)(d)" href="560-11-10-.09#560-11-10-.09(2)(d)">560-11-10-.09(2)(d)</a>. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)2.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Field inspections. The appraisal staff shall develop and present to the board of tax assessors for approval procedures that provide for periodic field inspections to identify properties and ensure that property characteristics information is complete and accurate. The procedures shall include guidelines for the physical inspection of the property by either appraisers or specially trained data collectors. The format should be designed for standardization, consistency, objectivity, completeness, easy use in the field, and should facilitate later entry into a computer assisted mass appraisal system, when one is used. When interior information is required, the procedures shall include guidelines on how and when to seek access to the property along with alternative procedures when such access is not permitted or feasible.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Maintaining property characteristics information. The appraisal staff shall systematically update the property characteristics information in response to changes brought about by new construction, new parcels, remodeling, demolition, and destruction. The appraisal staff shall physically measure and update their records to reflect all such changes to real properties in the county.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)4.">4.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Records retention schedules. The appraisal staff shall develop, in accordance with the provisions of Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=50-18-99&amp;title=50#" target="_newtab">50-18-99</a>, records retention schedules for each series of documents maintained in their office and have such schedules approved by the board of tax assessors before submitting the schedules to the State Records Committee for official approval pursuant to Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=50-18-92&amp;title=50#" target="_newtab">50-18-92</a>. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)4.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Building permits. In counties that issue building permits, no appraisal shall be based solely on declarations of proposed construction cost made by the person obtaining such building permits.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)4.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Aerial photographs. New aerial photographs should be compared to previous aerial photographs, if such photographs exist, to discover new or previously unrecorded construction.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(2)(d)4.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Field review frequency. All real property parcels should be physically reviewed at least once every three years to ascertain that property information records are current.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)">(3)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Land valuation. The appraisal staff shall estimate land values by use of the sales comparison or income approach to value as provided in this subparagraph giving preference to the sales comparison approach when adequate land sales are available. The appraisal staff shall identify and describe the property, collect site-specific information, make a study of trends and factors influencing value and obtain a physical measurement of the site. Once the subject is analyzed, the appraisal staff shall classify the land for valuation. Once land values have been estimated, such appraisals should be regularly reviewed and updated. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(a)">(a)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Land analysis and stratification. The appraisal staff shall appraise land separately from the improvements both to consider the trends and factors affecting each and to arrive at a separate assessment for the digest. In no event, however, may the separate appraisals of the land and improvements exceed the fair market value of the land and improvements when considered as a whole. For appraisal purposes, land shall be separated into different categories based on its use and sales within the market. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(a)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Site analysis. The appraisal staff shall utilize the trends and factors affecting the value of the subject property, such as its accessibility and desirability. The existing zoning, existing use, existing covenants and use restrictions in the deed and in law shall be applied. The other factors the appraiser shall apply include, but are not limited to, environmental, economic, governmental, and social factors. Site-specific information that may be considered includes, but is not limited to, location, frontage, width, depth, shape, size, topography, landscaping, slope, view, drainage, hydrology, off-site improvements, soil condition, soil productivity, zoning, absorption, nuisances, use, covenants, neighborhood, corner influence, proximity to recreational water, and the quality of access.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(a)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Market research and verification. The appraisal staff shall build and maintain an up-to-date file system of qualified sales as provided in Rule <a title="560-11-10-.09(2)(d)(1)(ii)" href="560-11-10-.09#560-11-10-.09(2)(d)(1)(ii)">560-11-10-.09(2)(d)(1)(ii)</a>. Other preferred information to be considered is the motivations of the buyer and seller, as obtained from actual interviews of the parties to the sales. Adjustments to the sales to be considered by the appraiser include, but are not limited to, time of sale; location; physical characteristics; partial interest not conveyed; trades or exchanges included; personal property included; leases assumed; incomplete or unbuilt community property; atypical financing; existing covenants; deed restrictions; environmental, economic, governmental and social factors affecting the sale property and the subject parcel. These adjusted qualified sales may then be used to appraise the subject property.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)">(b)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Acreage tract valuation. The appraisal staff shall determine the small acreage break point to differentiate between small acreage tracts and large acreage tracts and develop or acquire schedules for the valuation of each. When this small acreage break point cannot easily be determined, the appraisal staff shall recommend to the board of tax assessors a reasonable break point of not less than five acres nor more than twenty-five acres. The base land schedules should be applicable to all land types in a county. The documentation prepared by the appraisal staff should clearly demonstrate how the land schedule is applied and explain its limitations. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Small acreage tract valuation schedule. After the appraisal staff has performed the site analysis, as provided in Rule <a title="560-11-10-.09(3)(a)(1)" href="560-11-10-.09#560-11-10-.09(3)(a)(1)">560-11-10-.09(3)(a)(1)</a>, they shall analyze the market to identify groups of comparable properties that may be combined in the valuation process, as provided in Rule <a title="560-11-10-.09(4)(b)(3)" href="560-11-10-.09#560-11-10-.09(4)(b)(3)">560-11-10-.09(4)(b)(3)</a>. The appraisal staff shall then analyze the sales to establish a representative base price per acre, and adjustment factors for reflecting value added by the characteristics discovered in the site analysis. Using such base value and the adjustment factors, the appraisal staff shall develop the small acreage schedule for all acreage levels through the small acreage break point.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Large acreage tract valuation schedule. After the appraisal staff has performed the site analysis, as provided in Rule <a title="560-11-10-.09(3)(a)(1)" href="560-11-10-.09#560-11-10-.09(3)(a)(1)">560-11-10-.09(3)(a)(1)</a>, they shall analyze the market to identify groups of comparable properties that may be combined in the valuation process, as provided in Rule <a title="560-11-10-.09(4)(b)(3)" href="560-11-10-.09#560-11-10-.09(4)(b)(3)">560-11-10-.09(4)(b)(3)</a>. The appraisal staff shall then analyze the sales to establish a representative benchmark price per acre, and adjustment values for reflecting incremental value associated with different productivity levels, sizes, and locations, as discovered in the site analysis. Using such benchmark values and adjustment values, the appraisal staff shall develop the large acreage schedule for all acreage levels above the small acreage break point. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Land productivity values. The appraisal staff should analyze sales of large acreage tracts to extract the value of all improvements, crop allotments, standing timber, and any other factors that influence the value above the base land value. The appraisal staff should then stratify the sales into two categories of open land and woodland. The base land values should be further stratified into up to nine productivity grades for each category of land, with grade one being the best, using the productivity classifications of the United States Department of Agriculture Natural Resources Conservation Service, where available. Where soil productivity information is not available, the appraisal staff may consult with the local United States Department of Agriculture Natural Resources Conservation Service Supervisor. Alternately, the appraisal staff may use any acceptable means by which to determine soil productivity grades including, but not limited to, aerial and infrared photography, historical soil productivity information, and present use. The appraisal staff should analyze sales within the strata and determine benchmark values for as many productivity grades as possible. The missing strata values are then determined by extrapolating between grades. In the absence of sufficient benchmark values, a system of productivity factors may be developed from crop or timber production based on ratings provided by the United States Department of Agriculture Natural Resources Conservation Service.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Pond values. The appraisal staff should analyze sales of large acreage tracts containing ponds to extract the value of ponds. The appraisal staff should develop up to three grades of ponds based upon the quality of construction with regard to the dam, the amount of tree clearing within the pond body, and the nature of the waterline around the pond.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Location and size adjustments. The appraisal staff should plot sales on an index map of the county where trends in sales prices based on size and location may be analyzed. From this analysis, the appraisal staff should develop adjustments for each homogeneous market area, which are based on a tract's location within the county. Within each identified homogeneous market area, sales should also be analyzed to develop adjustment factors for ranges of tract sizes where the market reflects a relationship between the value per acre and the number of acres in a tract. Such factors should be calculated to the fourth decimal place and should extend from the small acreage break point to the tract acreage point where size no longer appears to have a significant impact on the price paid per acre. The appraiser should select an acreage point between these two points that represents a typical agricultural use tract size and assign it an index factor value of 1.0000. Such adjustments should be supported by clearly identifiable changes in selling prices per acre. Finally, large acreage tracts that have sold within the most recent 24 months, unless no such sale has occurred in which case the look back period should be 48 months, should be appraised using the schedule of adjustment factors and a sales ratio study performed to test for uniformity and conformity of the schedule to Rule <a title="560-11-2-.56" href="560-11-2-.56">560-11-2-.56</a>, and if the schedule thus conforms, the adjustments shall then be applied to all other large acreage tracts that are within the scope of the schedule being tested.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(iv)">(iv)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Adjustments for absorption When insufficient large tract sales are available to create a reliable schedule of factors, the appraisal staff may use comparable sales to develop values for the size tracts for which comparables exist, and then adjust these values for larger tracts by (1) estimating a rate of absorption for the smaller tracts for which data exists, (2) dividing the large tract into smaller, marketable sections, (3) developing a sales schedule with estimated income by year reflecting the absorption rate and the value characteristics of each of the smaller tracts, (4) discounting the income schedule to the present using an appropriate discount rate, and (5) summing the resulting values to arrive at an estimated value for the property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)">(v)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Standing Timber Value Extraction. When determining the market value of land underlying standing timber, where such standing timber is taxed in accordance with Code section 48-5-7.5, the appraiser shall not rely exclusively on the sales prices of such land that has recently had the timber harvested. Rather he or she shall also consider sales of land with standing timber after the value of such standing timber has been determined in accordance with this subparagraph and deducted from the selling price. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)">(I)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Determine timber value from buyer and seller. For all types of timber, the value of the standing timber on recently sold land should be determined from reliable information from the buyer and seller clearly segregating the value of the standing timber from the underlying land. In the absence of such information, the appraiser may use one of the following methods to determine the value of the standing timber if in his or her judgment the results are reasonably consistent with other sales where buyer and seller information is known: <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)I.">I.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Calculate value of merchantable timber. For all types of merchantable timber, the value of the standing timber may be determined by multiplying estimated volumes by product class, such as softwood and hardwood pulpwood, chip and saw logs, saw timber, poles, posts, and fuel wood, of timber on the property by prices for each product class as obtained from the table of weighted average prices paid for harvested timber applicable to the year during which the sale occurred and prepared by the Commissioner pursuant to paragraph (g) of Code section 48-5-7.5. For the purposes of this subparagraph, merchantable timber shall include stands that have been in production for more than fifteen years. Estimated volumes by product class may be obtained by one of the following methods: reliable information from the buyer or seller or from specially trained data collectors who have estimated volumes from a visual on-site inspection or from an aerial survey.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)II.">II.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Calculate value of pre-merchantable planted pine timber. For pre-merchantable planted pine timber, the value of the standing timber may be determined by estimating the value of the timber at the age of merchantability and then prorating this value to the actual age of the pre-merchantable stand. The appraiser may arrive at this estimate using the following steps: <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)II.A.">A.</a></td> <td valign="top" style="text-align:left" class="leftalign"> For each applicable timber product class, multiply the estimated tons of timber volume yield per acre for each product class at the age of merchantability times the locally prevailing timber price per ton of such product classes. Sum the individual results of the timber product class calculations into a single result. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)II.A.(A)">(A)</a></td> <td valign="top" style="text-align:left" class="leftalign"> In the absence of reliable locally prevailing timber price per ton information, the appraiser may use timber price per ton from the table of weighted average prices paid for harvested timber prepared by the Commissioner pursuant to paragraph (g) of Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-7.5&amp;title=48#" target="_newtab">48-5-7.5</a>.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)II.A.(B)">(B)</a></td> <td valign="top" style="text-align:left" class="leftalign"> In the absence of specific yield information to the contrary, the appraiser may estimate timber volume yields at an average yield of 52.2 tons per acre or preferably by using the land productivity classifications established by Rule <a title="560-11-10-.09(3)(b)(2)(i)" href="560-11-10-.09#560-11-10-.09(3)(b)(2)(i)">560-11-10-.09(3)(b)(2)(i)</a> and the following tables of estimated yields of fully stocked planted timber stands at age fifteen, and then adjusting the yields according to the actual stocking density of the timber stand. <P> <TABLE border="1"> <TBODY> <TR> <TD colspan="6" rowspan="1"> <P align="center"><U>Loblolly Pine - Lower Coastal Plain </U></P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">Georgia Tax </P> <P align="center"> Productivity </P> <P align="center"> Rating </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Georgia Tax </P> <P align="center"> Adjusted Site </P> <P align="center"> Index Range </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Site Index Used </P> <P align="center"> For Growth </P> <P align="center"> Projections </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Tons/Acre @ Age </P> <P align="center"> 15 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center"> Pulpwood </P> </TD> <TD rowspan="1" colspan="1"> <P align="center"> Chip-n-Saw </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">1 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">90 - 101 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">96 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">139 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">125 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">14 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">2 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">85 - 89 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">87 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">110 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">99 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">11 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">3 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">81 - 84 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">83 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">98 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">88 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">10 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">4 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">80 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">80 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">90 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">81 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">9 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">5 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">75 - 79 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">77 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">81 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">73 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">6 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">70 - 74 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">72 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">69 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">66 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">3 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">7 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">60 - 69 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">65 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">53 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">51 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">2 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">10 - 59 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">45 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">19 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">19 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">9 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 - 9 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">- </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">- </P> </TD> </TR> </TBODY> </TABLE> </P> <P> <TABLE border="1"> <TBODY> <TR> <TD colspan="6" rowspan="1"> <P align="center"><U>Loblolly Pine - Upper Coastal Plain </U></P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">Georgia Tax </P> <P align="center"> Productivity </P> <P align="center"> Rating </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Georgia Tax </P> <P align="center"> Adjusted Site </P> <P align="center"> Index Range </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Site Index Used </P> <P align="center"> For Growth </P> <P align="center"> Projections </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Tons/Acre @ Age </P> <P align="center"> 15 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center"> Pulpwood </P> </TD> <TD rowspan="1" colspan="1"> <P align="center"> Chip-n-Saw </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">1 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">90 - 101 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">96 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">129 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">116 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">13 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">2 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">85 - 89 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">87 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">103 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">93 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">10 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">3 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">81 - 84 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">83 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">93 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">84 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">9 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">4 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">80 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">80 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">85 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">77 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">5 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">75 - 79 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">77 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">78 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">70 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">6 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">70 - 74 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">72 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">67 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">63 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">4 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">7 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">60 - 69 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">65 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">52 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">49 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">3 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">10 - 59 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">45 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">18 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">18 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">9 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 - 9 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">- </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">- </P> </TD> </TR> </TBODY> </TABLE> </P> <P> <TABLE border="1"> <TBODY> <TR> <TD colspan="6" rowspan="1"> <P align="center"><U>Loblolly Pine - Piedmont</U></P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">Georgia Tax </P> <P align="center"> Productivity </P> <P align="center"> Rating </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Georgia Tax </P> <P align="center"> Adjusted Site </P> <P align="center"> Index Range </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Site Index Used </P> <P align="center"> For Growth </P> <P align="center"> Projections </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Tons/Acre @ Age </P> <P align="center"> 15 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center"> Pulpwood </P> </TD> <TD rowspan="1" colspan="1"> <P align="center"> Chip-n-Saw </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">1 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">90 - 101 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">96 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">123 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">111 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">12 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">2 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">85 - 89 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">87 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">98 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">88 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">10 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">3 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">81 - 84 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">83 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">88 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">79 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">9 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">4 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">80 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">80 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">81 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">73 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">5 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">75 - 79 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">77 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">74 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">66 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">6 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">70 - 74 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">72 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">62 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">59 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">3 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">7 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">60 - 69 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">65 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">48 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">46 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">2 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">10 - 59 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">45 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">17 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">17 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">9 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 - 9 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">- </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">- </P> </TD> </TR> </TBODY> </TABLE> </P> <P> <TABLE border="1"> <TBODY> <TR> <TD colspan="6" rowspan="1"> <P align="center"><U>Slash Pine - Lower Coastal Plain </U></P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">Georgia Tax </P> <P align="center"> Productivity </P> <P align="center"> Rating </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Georgia Tax </P> <P align="center"> Adjusted Site </P> <P align="center"> Index Range </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Site Index Used </P> <P align="center"> For Growth </P> <P align="center"> Projections </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Tons/Acre @ Age </P> <P align="center"> 15 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center"> Pulpwood </P> </TD> <TD rowspan="1" colspan="1"> <P align="center"> Chip-n-Saw </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">1 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">90 - 101 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">96 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">155 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">139 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">16 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">2 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">85 - 89 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">87 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">114 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">103 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">11 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">3 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">81 - 84 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">83 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">98 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">88 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">10 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">4 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">80 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">80 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">87 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">78 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">9 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">5 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">75 - 79 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">77 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">77 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">69 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">6 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">70 - 74 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">72 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">61 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">58 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">3 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">7 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">60 - 69 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">65 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">42 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">40 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">2 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">10 - 59 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">45 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">11 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">11 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">9 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 - 9 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">- </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">- </P> </TD> </TR> </TBODY> </TABLE> </P> <P> <TABLE border="1"> <TBODY> <TR> <TD colspan="6" rowspan="1"> <P align="center"><U>Slash Pine - Upper Coastal Plain </U></P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">Georgia Tax </P> <P align="center"> Productivity </P> <P align="center"> Rating </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Georgia Tax </P> <P align="center"> Adjusted Site </P> <P align="center"> Index Range </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Site Index Used </P> <P align="center"> For Growth </P> <P align="center"> Projections </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">Tons/Acre @ Age </P> <P align="center"> 15 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center"> Pulpwood </P> </TD> <TD rowspan="1" colspan="1"> <P align="center"> Chip-n-Saw </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">1 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">90 - 101 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">96 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">150 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">135 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">15 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">2 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">85 - 89 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">87 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">113 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">102 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">11 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">3 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">81 - 84 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">83 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">99 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">89 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">10 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">4 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">80 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">80 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">87 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">78 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">9 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">5 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">75 - 79 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">77 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">77 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">69 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">6 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">70 - 74 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">72 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">62 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">59 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">3 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">7 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">60 - 69 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">65 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">43 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">41 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">2 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">8 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">10 - 59 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">45 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">12 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">12 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> </TR> <TR> <TD rowspan="1" colspan="1"> <P align="center">9 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 - 9 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">0 </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">- </P> </TD> <TD rowspan="1" colspan="1"> <P align="center">- </P> </TD> </TR> </TBODY> </TABLE> </P> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)II.A.(C)">(C)</a></td> <td valign="top" style="text-align:left" class="leftalign"> In the absence of reliable local information on typical timber product class volume yields at the age of merchantability, the appraiser may assume that ninety percent (90%) of the timber will be pulpwood and ten percent (10%) will be chip-n-saw.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)II.B.">B.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Multiply the result in subparagraph A. by the number of acres of pre-merchantable timberland.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)II.C.">C.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Deduct from the result in subparagraph B. the normal cost to establish a timber stand on cut over woodland, which shall be known as the base value. Normal cost may be determined from planters, local site preparation and planning contractors and other reliable sources.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)II.D.">D.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Divide the result in subparagraph C. by the age of merchantability to determine the average annual timber growth value. In the absence of reliable local information to the contrary, the age of merchantability shall be fifteen years.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)II.E.">E.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Multiply the result in subparagraph D. by the actual age of the standing timber to arrive at the value of the accumulated timber growth.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)II.F.">F.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Add back the base value deducted in subparagraph C. to the result in subparagraph E. to yield the total value of the pre-merchantable standing timber.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)III.">III.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Determine value of other pre-merchantable timber. <P>For types of pre-merchantable timber other than planted pine, the value of the standing timber may be determined from the best information available. In the absence of local reliable information to the contrary, the value of other pre-merchantable timber may be estimated as follows:</P> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)III.A.">A.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Natural stands less than five years of age should be assigned no value.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(b)2.(v)(I)III.B.">B.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Natural pre-merchantable stands five years of age and older should be valued in the same manner as planted pine timber is valued, except the appraiser should make no adjustments for the base cost of establishing the timber stand; yields for natural pine stands should be estimated at fifty percent of the volume determined for a planted pine stand; and yields for hardwood stands should be estimated at forty percent of the value determined for a planted pine stand.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)">(c)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Site valuation. The appraisal staff may use the valuation methods in this subparagraph to appraise sites that have been developed for residential, commercial or industrial use. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Valuation methods with sufficient sales. The appraisal staff shall use one, or a combination of more than one, of the valuation methods in this subparagraph when sufficient sales are available to reliably support the appraisal. These methods may be used to value the land directly. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Comparative unit method. To use the comparative unit method, the appraisal staff shall stratify the land sales into a stratum comparable in market area or use type to the subject parcel. The appraiser then determines a land comparison unit by which the subject parcel is normally bought and sold in the market place and converts the sales price of the comparable properties to a typical per comparison unit value, using the median measure of central tendency. Per-measurement-unit, lump sum, and percentage adjustments are then made as needed to reflect the value of subject land features that differ from the base land features. The appraiser may use one of the following five basic comparison units: front foot, square foot, acre, site or lot, and units buildable. The appraisal staff may rely upon the comparative unit method for areas where parcels vary in size but are fairly homogeneous in other aspects, as opposed to areas where the sites are similar in size but vary substantially in site characteristics. The reliability of the analysis should be verified by a calculation of the coefficient of dispersion and the price related differential. These statistical indicators should fall within the standards of Rule <a title="560-11-2-.56" href="560-11-2-.56">560-11-2-.56</a> before the appraiser relies upon the selected sales to appraise the subject parcel.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Base lot method. To use the base lot method, the appraisal staff shall appraise the base parcel in each stratum using the comparative unit method, with the base lot serving as the subject parcel. Once the base-lot's appraised value is established, it is used as a benchmark to appraise other individual parcels. The appraiser may use the base-lot method when the site characteristics are generally similar. Adjustments shall be developed using paired-sales analysis or other forms of market research. Then, the appraiser shall adjust the comparables to the base lot, calculate the measure of central tendency, and select a representative base-lot appraised value. The reliability of the analysis may be verified by a calculation of the coefficient of dispersion and the price related differential. These statistical indicators should fall within the standards of Rule <a title="560-11-2-.56" href="560-11-2-.56">560-11-2-.56</a> before the appraiser relies upon the selected sales to select a base-lot appraised value.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)1.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Cost-of-development method. To use the cost-of-development method, the appraisal staff shall estimate the total development costs and subtract these costs from the projected sales prices of the developed lots to indicate the appraised value for the raw land. The projected improvements must represent the most probable use of the land. Estimated costs should include the direct costs of site preparation, utility hookups, all indirect costs, and a reasonable allowance for owner profit. The appraiser may use this method to directly value land in transition from agricultural use to residential or commercial use when there are insufficient sales to apply the comparative unit or base lot methods.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Valuation methods with insufficient sales. When vacant land sales are limited, the appraisal staff may use alternative methods to determine residual land values. These residual land values may be used in the same way as vacant land sales in order to establish comparative unit or base lot values. The appraisal staff shall not use these methods to establish land values directly. The alternative methods that may be used are allocation, abstraction, capitalization of ground rent, and land residual capitalization. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)2.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Allocation method. Using this method, the appraisal staff estimates the typical percentage of combined land and improvement value attributable to the land alone. This land percentage estimate should be based on knowledge of the market for properties of the class being appraised and the appraiser should take into consideration the site value in previous years before being improved, the land-to-improvement ratios in similar neighborhoods, and an analysis of new construction on similarly classified sites.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)2.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Abstraction method. Using this method, the appraisal staff estimates the land residual value by subtracting the depreciated replacement cost of improvements from the sale price of an improved property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)2.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Capitalization of ground rents method. Using this method, the appraisal staff determines the market rent of the subject site, computes a net income, selects a capitalization rate, and computes the present worth of the future benefits of the subject parcel. The appraiser should not use this method when there is insufficient market information available to estimate the income potential of the subject parcel.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)2.(iv)">(iv)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Land residual capitalization method. Using this method, the appraisal staff develops the annual net operating income attributable to the property and develops capitalization rates for both the land and the improvements to the land. The estimated improvement value is multiplied by the improvement capitalization rate and the result is deducted from the forecasted annual net operating annual income. The remaining income, the residual amount attributable to the land, is then capitalized, using the land capitalization rate, into a value indicator for the land. The appraiser should only use the land residual capitalization method on new income-producing improved properties either when the improvement has little or no observed depreciation of any kind and a well-supported improvement value can be developed, or when an improvement can be hypothesized and its cost and net operating income reliably estimated.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Special procedures. The appraisal staff shall observe the special procedures contained in this subparagraph when appraising the described property types. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)3.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Transitional land. The appraisal staff shall analyze any unusual sale amount for a single parcel of land that seems to indicate a transition from one type land use to another type land use, such as from agricultural to residential or from residential to commercial and conversely. The appraisal staff should consider that a single sale might not necessarily indicate a changing market. The appraisal staff should analyze such sales to ensure that the new use is clearly indicated by a pattern of sales before qualifying and adjusting such sales for use as comparables for appraising the remaining comparable land.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(3)(c)3.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Absorption rates. When appraising a subdivision, the appraisal staff shall use discounted cash-flow analysis in conjunction with the cost-of-development method to appraise the unsold parcels when it is anticipated that the parcels will require several more years of exposure to the market to sell. The appraisal staff may consider typical holding periods, marketing, and management practices when estimating anticipated revenues and allowable expenses.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)">(4)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Improvement valuation. Except as provided in subparagraph (a) of this subparagraph, the appraisal staff will use the following three approaches when appraising real property: the direct sales comparison approach, the cost approach, and the income approach. In determining the reliability and representativeness of each approach or combination of approaches, the appraisal staff shall consider those factors most likely to influence buyers and sellers when those buyers and sellers are determining exchange prices in the market place, and the sufficiency of available sales, cost, income and expense information to reliably quantify those factors. However, irrespective of the valuation approach used, the final results of any appraisal of real property by the appraisal staff shall in all instances comply with the definition of fair market value in Code section <a href="https://links.casemakerlegal.com/states/ga/books/Code_of_Georgia/browse?ci=25&amp;id=gasos&amp;codesec=48-5-2&amp;title=48#" target="_newtab">48-5-2</a>. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)">(a)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Cost approach. The appraisal staff shall use the following three steps when applying the cost approach: Estimate the cost new of the improvements, subtract accrued depreciation, and add the value of the land. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Estimating cost new. In estimating the cost new of any buildings, structures, or other improvements to land, the appraisal staff shall consider the following: <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Types of costs. The appraisal staff shall include both direct and indirect costs that would be incurred to build and market the property, including normal overhead and profit. The approach would normally produce the replacement cost. The appraisal staff may consider the reproduction cost, and adjust for depreciation accordingly, when appraising an unusual or special-purpose property. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)1.(i)(I)">(I)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Comparative unit method. Unless otherwise provided under Rule <a title="560-11-10-.09(4)(a)(1)(i)" href="560-11-10-.09#560-11-10-.09(4)(a)(1)(i)">560-11-10-.09(4)(a)(1)(i)</a>, the appraisal staff shall determine benchmark per-square-foot, per-cubic-foot, or other per-measurement-unit costs for base structures using cost guides or local cost information. Such benchmark per-measurement-unit costs may then be applied to the subject improvements to determine typical replacement cost new. Per-measurement-unit, lump sum, and percentage adjustments are then made as needed to reflect the value of subject improvements features that differ from the base structures. All forms of depreciation are then applied as a lump sum factor based on the age and useful life of the subject improvements.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)1.(i)(II)">(II)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Unit-in-place method. The appraisal staff may use the unit-in-place method when making adjustments in the comparative unit method. This method determines costs of individual construction components on a per-measurement-unit, in-place basis. The total cost of each component of the subject improvement is then found by multiplying the various per-measurement-unit costs by the number of actual measurement units installed in the subject improvement. The appraisal staff may also use this method when estimating costs for unusual or special-purpose improvements, in which case the component costs would be summed and combined with applicable indirect costs to obtain an estimate of the total replacement cost new of the subject improvements. All forms of depreciation are then applied as a lump sum factor based on the age and useful life of the subject improvements</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)1.(i)(III)">(III)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Quantity survey method. The appraisal staff may separately itemize all various labor, material, and indirect costs when it is desirable to produce the reproduction cost new. All forms of depreciation are then applied separately based on the physical deterioration, functional obsolescence, and economic obsolescence observed by the appraiser. The appraisal staff may use this method in the development and trending of comparative unit and unit-in-place costs.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)1.(i)(IV)">(IV)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Trended original cost method. When determining the cost of structures where the comparative unit or unit-in-place methods are inapplicable, the appraisal staff may trend the original costs over time by factors obtained from a construction cost index guide. The appraisal staff shall not use this method when the original cost figures are not accurate or complete.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Sources of cost information. The appraisal staff may obtain cost information by directly collecting information from contractors, builders, developers, property owners, and other market place participants. Cost information may be obtained from firms that compile and publish construction information, with the appraisal staff supplementing or modifying such information with locally gathered cost information. The appraisal staff may obtain cost manuals specifically developed for the county by construction cost services and mass appraisal firms.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)1.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Updating costs. Cost information shall be updated by the appraisal staff as necessary to reasonably reflect current construction costs for the various construction classes. Indexing may be used in the short term to update cost information, but in no event shall the appraisal staff rely on indexing alone for more than three years.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)1.(iv)">(iv)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Location modifiers. The appraisal staff shall develop base construction cost tables. Modifiers, in the form of factors to be applied to the cost tables, may then be developed for areas to reflect local market conditions. Different sets of modifiers may be necessary to reflect the market for different property types within a county.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)1.(v)">(v)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Cost models. The appraisal staff shall develop or acquire representative cost models that contain the manual or automated cost factor tables used in the cost approach. The models should be applicable to all building types in a county and be based on actual updated costs as defined in Rule <a title="560-11-10-.09(4)(a)(1)(iii)" href="560-11-10-.09#560-11-10-.09(4)(a)(1)(iii)">560-11-10-.09(4)(a)(1)(iii)</a>. The models should clearly identify included indirect costs, contain depreciation estimation guidelines, and provide for systematic cost estimation on manual or automated forms. The documentation prepared by the appraisal staff should clearly demonstrate how the cost model is applied and explain its limitations.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Estimating depreciation. The appraisal staff shall estimate the depreciation by determining the difference between replacement or reproduction cost new and the current market value of an improvement. This determination shall require an analysis by the appraiser of physical deterioration, functional obsolescence and economic obsolescence present, keeping in mind that physical deterioration and functional obsolescence may include curable and incurable components. The appraiser may estimate depreciation as a total amount or as a percentage of replacement or reproduction cost new. Improvements with special circumstances may be treated on an exception basis. The appraisal staff shall use the effective age of improvements, when different from the actual age, when estimating depreciation. The methods the appraisal staff may use to estimate depreciation include, but are not limited to, the following four methods: <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)2.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Sales comparison method. To apply the sales comparison method, the appraisal staff develops estimates of total depreciation from market-derived schedules. To develop such schedules, the appraiser stratifies the sales information by type of construction and other relevant features. The appraiser then computes building residuals by deducting estimated land values from the sales prices and expressing the building residuals as a percentage of replacement cost new. The resulting "percent good" factors are then plotted against the effective ages of the properties to develop the depreciation tables. This method may be used when current representative and adequate sales information is readily available.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)2.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Age/Life method. To apply the age/life method, the appraisal staff develops estimates of physical deterioration and normal functional obsolescence using a simple sliding scale or straight-line calculation and then applies any necessary adjustments for additional functional or economic obsolescence. This method may be used when current representative and adequate sales information is not readily available. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)2.(ii)(I)">(I)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Capitalization of income method. To apply the capitalization of income method, the appraisal staff uses income-based appraisals in place of sales and applies these appraisals to the sales comparison method to develop estimates of total depreciation.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(a)2.(ii)(II)">(II)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Observed condition method. To apply the observed condition method, the appraisal staff breaks down depreciation into all its various component parts. This method requires detailed analysis of all forms of depreciation and is generally reserved for "model building," special use properties, or when raised by a property owner during the course of an appeal.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(b)">(b)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Sales comparison approach. When using the sales comparison approach, the appraisal staff shall estimate value by comparing the subject property to similar properties that have recently sold. The appraisal staff shall use the following four steps when applying the sales comparison approach: market research and verification, selecting appropriate units of comparison, making reasonable adjustments based on the market, and applying the adjusted comparison units to the subject of the appraisal. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(b)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> General considerations. The appraisal staff shall consider the following when applying the sales comparison approach: <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(b)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Bona fide sales preferred. A bona fide sale of a subject property should be carefully analyzed by the appraisal staff to determine if it is an accurate indicator of such subject property's fair market value. When such a sale is supported by sufficient other sales of similar property to reasonably estimate the market, the appraisal staff shall consider the sale as the best evidence of fair market value. In the absence of such a sale of the subject, sales prices of comparable properties shall be considered the best evidence of fair market value.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(b)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Economic principles affecting approach. When applying the sales comparison approach, the appraisal staff shall rely upon the economic principles of supply and demand, substitution, and contribution. The interaction of supply and demand factors determines property prices. The principle of substitution states that a prudent buyer will pay no more for a property than for a comparable property with similar utility. The principle of contribution as applied to the sales comparison approach means the value of a property component is measured by its contribution to the whole rather than by its cost.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(b)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Market research and verification. The appraisal staff shall build and maintain an up-to-date file system of qualified sales as provided in Rule <a title="560-11-10-.09(2)(d)(1)(ii)" href="560-11-10-.09#560-11-10-.09(2)(d)(1)(ii)">560-11-10-.09(2)(d)(1)(ii)</a>. Other preferred information to be considered is the motivations of the buyer and seller, as obtained from actual interviews of the parties to the sales. Adjustments to the sales to be considered by the appraiser include, but are not limited to, time of sale; location; physical characteristics; partial interest not conveyed; trades or exchanges included; personal property included; leases included; incomplete or unbuilt community property; atypical financing; existing covenants; deed restrictions; environmental, economic, governmental and social factors affecting the sale property and the subject parcel. These adjusted qualified sales may then be used to appraise the subject parcel.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(b)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Market analysis and stratification. The appraisal staff shall analyze the market to identify groups of comparable properties that may be combined in the valuation process. Properties may be combined and classified to reflect use, location, neighborhood, or other comparison criteria that have been shown to reflect the interest of buyers and sellers.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(b)4.">4.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Comparable sales analysis. When applying the analysis, the appraisal staff should identify a representative number of comparable properties that have recently sold, apply the adjustments indicated by the market research and verification process to such comparables, and then adjust such comparables for physical differences from the subject property. The appraiser may then develop an estimated value of the subject property from the adjusted sales prices of the comparable properties. This process may be computer assisted in a mass appraisal environment.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(b)5.">5.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Sales ratio applications. The appraisal staff shall conduct sales ratio studies to periodically measure the quality of their appraisals relative to the market. Such studies should be designed to measure whether appraisals meet the overall legal standards provided in Rule <a title="560-11-2-.56" href="560-11-2-.56">560-11-2-.56</a> and provide more precise analysis of the quality of appraisals within and between market strata used by the appraisal staff to compare properties. When sales ratio studies reveal excessive inequities within a stratum, the appraisal staff should consider reappraising the properties in the stratum. When such studies reveal excessive inequities between strata, and there is acceptable uniformity within the strata, the appraisal staff should consider trending to correct this uniformity problem. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(b)5.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Trending. The appraisal staff shall use the procedures in this subparagraph when applying trend factors to improve uniformity. Stratify properties by property type and neighborhood. Determine the measure of central tendency by computing the median assessment ratio, substituting the aggregate ratio when the properties in the stratum tend to be heterogeneous. Then divide the legal assessment ratio by the calculated measure of central tendency to calculate the trend factor. The appraisal staff should not apply trending factors in excess of 1.15. In such instances, the appraisal staff should correct intra-strata differences by reappraising the properties within the affected strata. Before finalizing the application of trending factors, the appraisal staff should calculate the coefficient of dispersion to verify that uniformity among assessments will be improved by trending.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)">(c)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Income approach. When using the income approach, the appraisal staff shall estimate value by determining the present value of the projected income stream from the use of the subject property in the future. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Income and expense analysis. The appraisal staff shall analyze the income stream and project a future income stream that reflects typical management and current market conditions. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)1.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Components of income and expense analysis. The appraisal staff may consider the following components when performing the income and expense analysis: typical unit rent, potential gross income, miscellaneous income, effective gross income, vacancy and collection loss, typical expenses, replacement reserves, and net operating income. Expenses such as depreciation charges, debt service, ad valorem taxes, income taxes, and business expenses not associated with the property should not be considered. While complete information is not required on each individual property, the appraisal staff should secure sufficient information to develop typical unit rents, typical vacancy and collection loss ratios, and typical expense ratios for various type properties before applying the income approach.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)1.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Analyzing reported data. The appraisal staff may use actual income and expense information when they reflect typical management and current market conditions; otherwise, typical figures should be used. The appraiser may stratify properties and develop typical unit rents, vacancy and collection loss ratios, and expense ratios to evaluate the reasonableness of reported figures for individual properties and to substitute for unreported figures. The appraiser may also use multiple regression analysis to estimate typical rents as a function of such variables as construction quality, age, location, size of building, and other relevant factors. Multiple regression analysis may also be used to estimate typical expense ratios, and other income and expense components. The appraiser should not consider outdated or non-market leases. Percentage leases should be expressed in actual dollar amounts and averaged over a period of years. Periodic expenditures for replacements should be pro-rated over their economic lives.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Capitalization methods. The appraisal staff shall use the procedures in this subparagraph to capitalize the income into an estimate of value. The appraisal staff may utilize the following rates while using the income approach and its various methods and techniques. The discount rate is the annual return on the investment in the property. It is a component of a total capitalization rate. The interest rate is the rate of return on borrowed funds. It is a component of the discount rate. The equity yield rate is the annual return on the equity portion of the investment in the property. It is a component of the total capitalization rate in the mortgage equity technique. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(i)">(i)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Direct capitalization. The appraisal staff shall, when applying this method, use either overall rates or income multipliers. Both require adequate sales data and accurate estimates of potential annual gross income, effective annual gross income, or annual net operating income. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(i)(I)">(I)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Overall rates. Using the most common version of this method, the appraisal staff develops the annual net operating income of a sample of properties that have sold. The individual annual net operating incomes are divided by the individual sale prices resulting in the individual overall rates. A representative overall rate is then selected from the sample and applied to the subject property by dividing its annual net operating income by the selected overall rate resulting in an estimate of value for the property. The appraisal staff may also employ other techniques to develop an overall rate, such as the weighted land to improvement ratio method; the net income ratio method, and the debt coverage ratio method.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(i)(II)">(II)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Income multipliers. Using this method, the appraisal staff may use potential gross income, effective gross income, or annual net operating income from a sample of properties that have sold. Individual sale prices are divided by the selected level of income resulting in individual multipliers. A representative multiplier is then selected from the sample and applied to the subject property by multiplying the selected level of income by the multiplier appropriate to the level of income selected resulting in an estimate of value for the property.</td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(ii)">(ii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Annuity capitalization. Annuity capitalization may be used to apply the income approach when the subject property is under a long-term lease. The appraisal staff develops capitalization rates for both land and improvements to the land. The appropriate residual technique is selected based on the known value of either land or improvement. The land or improvement value is multiplied by the appropriate capitalization rate, and the result is deducted from the annual net operating income. The remaining residual income to either land or improvement is then capitalized by the appropriate rate resulting in an estimate of value for either land or improvement.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(iii)">(iii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Sinking fund capitalization. Sinking fund capitalization may be used to apply the income approach when periodic reserves for replacement are set aside in equal amounts, at a safe rate, in order to restore or rebuild the improvements in the future. It is applied in the same manner as annuity or straight-line capitalization.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(iv)">(iv)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Straight-line capitalization. Straight-line capitalization may be used to apply the income approach when the appraisal staff uses straight-line depreciation schedules. It is applied in the same manner as annuity capitalization and sinking fund capitalization.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(v)">(v)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Discounted cash flow analysis. Discounted cash flow analysis may be used to apply the income approach when the appraisal staff is valuing a lease and the residual value of the property at the end of the lease term. Each year's income stream is discounted by applying a present-value factor to the cash flow expected for each year. The estimated property value at the end of the lease term is also discounted. The discounted amounts are summed resulting in an estimate of value for the property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(vi)">(vi)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Mortgage equity analysis. Mortgage equity analysis may be used when the appraisal staff can reliably determine mortgage terms and cash flow and reliably estimate the holding period and the percentage by which the property will appreciate or depreciate over the holding period. The appraisal staff computes a constant annual payment from the interest rate and amortization term and selects an appropriate equity yield rate. The estimated cash flow over the holding period is discounted at the equity yield rate, as is the anticipated selling price of the property. The two discounted amounts are added to the present mortgage balance resulting in an estimate the value for the property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(vii)">(vii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Residual capitalization techniques. The appraisal staff may use a residual technique to apply the income approach when either the improvement or land component of the property value can be reliably estimated or documented by sales.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(viii)">(viii)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Building residual technique. The appraisal staff may use a building residual technique when the land value of the subject property is known and documented by comparable sales. The appraisal staff develops the total annual net operating income attributable to the property and develops capitalization rates for land and improvements to the land. The land value is multiplied by the land capitalization rate and the result is deducted from the total annual net operating income. The remaining residual income to the improvement is capitalized using the improvement capitalization rate into an indicator of value for the improvement. This is added to the land value resulting in an estimate of value for the property.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(c)2.(ix)">(ix)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Land residual technique. The appraisal staff may use this technique when the improvement value is known and documented by current cost figures. It is applied in the same manner as the building residual technique except a residual land income is capitalized into an indication of land value and added to the improvement value resulting in an estimate of value for the property.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(d)">(d)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Special procedures. The appraisal staff shall observe the special procedures contained in this subparagraph when appraising the described property types. <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(d)1.">1.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Valuation of common areas. The appraisal staff shall take into account the extent that the fair market value of individually owned units in a residential subdivision, planned commercial development, or condominium also represents the fair market value of any ownership interest in any common area that is conveyed with the individually owned units. When the appraisal staff determines that the fair market value of the common area is included in the fair market value of the individually owned units, the appraisal staff may recommend a nominal assessment of the common area parcel. When the appraisal staff makes such a determination, the fair market value of residual interests not conveyed to the owners of the individually owned units shall be appraised and an assessment recommended to the board of tax assessors.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(d)2.">2.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Construction in progress. Construction in progress shall be appraised in the same manner as other similar real property taking into account that there may be little or no physical deterioration on such property and that the fair market value may be diminished due to the incomplete state of construction. The appraisal staff should attempt to value construction in progress by forecasting the future cash flow a project would generate and discounting at a rate that reflects the risk and uncertainty of that cash flow. If the construction in progress is being financed by a lending institution that has established an account from which funds may be drawn by the builder as construction progresses, the appraisal staff may consider the percentage of such funds expended as of January 1 as a possible indication of percentage completion of construction in progress. In the absence of sufficient information to perform such an analysis, the appraisal staff should estimate the percentage of completion of all construction in progress as of January 1 of the tax year using the best information available. The appraisal staff should then estimate the fair market value of the improvement upon completion. The appraisal staff should then estimate the fair market value as of January 1 as being the estimated fair market value upon completion multiplied by the percentage of completion on January 1. If comparable sales information of real property under construction is generally not available and there is no other specific evidence to measure the probable loss of value if the property is sold in an incomplete state of construction, the appraisal staff may multiply the identified total cost of construction by a uniform market risk factor of .75.</td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(d)3.">3.</a></td> <td valign="top" style="text-align:left" class="leftalign"> Assemblage. The county appraisal staff shall not combine multiple rural parcels into a single taxable rural parcel unless all the following have been satisfied: <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(d)3.(1)">(1)</a></td> <td valign="top" style="text-align:left" class="leftalign"> parcels must be contiguous or separated by only a stream, creek, non-navigable river, road, street, highway, railroad or other recognized thoroughfare, </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(d)3.(2)">(2)</a></td> <td valign="top" style="text-align:left" class="leftalign"> parcels must be titled in exactly the same name, </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(d)3.(3)">(3)</a></td> <td valign="top" style="text-align:left" class="leftalign"> parcels must fall entirely within the same taxing district, and </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(4)(d)3.(4)">(4)</a></td> <td valign="top" style="text-align:left" class="leftalign"> parcels that are contiguous but lie in different taxing districts and are otherwise eligible for combination shall be valued in the same manner as the total acreage of the combined parcels would dictate.</td> </tr> </table> </td> </tr> </table> </td> </tr> </table> </td> </tr> </table> <table border="0" width="100%" cellspacing="4" cellpadding="4"> <tr> <td valign="top" width="1%" style="white-space:nowrap;text-align:left;width:18px;"><a style="white-space:nowrap;" name="560-11-10-.09(5)">(5)</a></td> <td valign="top" style="text-align:left" class="leftalign"> Final estimate of fair market value. After completing all calculations, considering the information supplied by the property owner, and considering the reliability of sales, cost, income and expense information, the appraisal staff will correlate any values indicated by those approaches to value that are deemed to have been appropriate for the subject property and form their opinion of the fair market value. The appraisal staff shall present the resulting proposed assessment, along with all supporting documentation, to the board of tax assessors for an assessment to be made by that board.</td> </tr> </table> <h2><a href="/GAC/560-11-10-.10" name="560-11-10-.10" title="560-11-10-.10">Rule 560-11-10-.10 Reserved</a></h2> </div> </div> </HTML> </div> <div id="toc" class="sidebar noprint"> <ul id="toc-children" class="children"><li><a href="/GAC/560-11-10-.01" name="560-11-10-.01" title="560-11-10-.01">Rule 560-11-10-.01 Purpose and Scope</a></li><li><a href="/GAC/560-11-10-.02" name="560-11-10-.02" title="560-11-10-.02">Rule 560-11-10-.02 Definitions</a></li><li><a href="/GAC/560-11-10-.03" name="560-11-10-.03" title="560-11-10-.03">Rule 560-11-10-.03 Reserved</a></li><li><a href="/GAC/560-11-10-.04" name="560-11-10-.04" title="560-11-10-.04">Rule 560-11-10-.04 Reserved</a></li><li><a href="/GAC/560-11-10-.05" name="560-11-10-.05" title="560-11-10-.05">Rule 560-11-10-.05 Reserved</a></li><li><a href="/GAC/560-11-10-.06" name="560-11-10-.06" title="560-11-10-.06">Rule 560-11-10-.06 Reserved</a></li><li><a href="/GAC/560-11-10-.07" name="560-11-10-.07" title="560-11-10-.07">Rule 560-11-10-.07 Reserved</a></li><li><a href="/GAC/560-11-10-.08" name="560-11-10-.08" title="560-11-10-.08">Rule 560-11-10-.08 Personal Property Appraisal</a></li><li><a href="/GAC/560-11-10-.09" name="560-11-10-.09" title="560-11-10-.09">Rule 560-11-10-.09 Real Property Appraisal</a></li><li><a href="/GAC/560-11-10-.10" name="560-11-10-.10" title="560-11-10-.10">Rule 560-11-10-.10 Reserved</a></li></ul> </div> </div> <!--content ends here--> <div id="footer" class="noprint"><span class="footer">Copyright &copy; 2017 Lawriter LLC - All rights reserved.</span>| <a href="mailto:support@casemakerlegal.com?subject=Rules and Regulations of the State of Georgia">Email Us</a> | 844-838-0769 | <a href="http://livechat.casemakerlegal.com/client.php?locale=en" target="_blank" onclick="if(navigator.userAgent.toLowerCase().indexOf('opera') != -1 && window.event.preventDefault)window.event.preventDefault();this.newWindow = window.open('http://livechat.casemakerlegal.com/client.php?locale=en&url='+escape(document.location.href)+'&referrer='+escape(document.referrer), 'webim','toolbar=0,scrollbars=0,location=0,status=1,menubar=0,width=640,height=480,resizable=1');this.newWindow.focus();this.newWindow.opener=window;return false;">Live Chat</a> </div> </div> </body> </html>