BIL 218 Draft 01 2014-2016 - Laserfiche WebLink

Home

(B) If the dedicated property or any portion thereof is sold by way of a conveyance which is subject to conveyance tax under the terms of chapter 247, Hawai`i Revised Statutes, unless a notarized affidavit is signed by the owner stating that the land will continue to be subject to the full requirements of the dedication including any penalties for violation. The director shall record the notarized affidavit with the bureau of conveyances. (2) The rollback tax shall commence from the date of the failure to observe the restriction, condition or provision, or the property's conveyance retroactive to the date the assessment was made pursuant to paragraph (3)(C) of this subsection, but for not more than three years. (A) Failure to observe the restrictions on the use means failure for a period of six consecutive months to use the land in the manner requested in the petition or the overt act of changing the use for any period; provided that the petition by the owner for a change in use as provided in subsection (f), and the owner's subsequent change in use of such dedicated lands, shall not be deemed to constitute a failure of the owner to observe the restrictions on the use. (B) Any other provisions to the contrary notwithstanding, when a portion of the dedicated land is subsequently applied to a use other than the use set forth in the original petition, only such portion as is withdrawn from the dedicated use and applied to a use other than the short term commercial agricultural category shall be taxed as provided by this subsection. (3) Calculating rollback taxes. (A) The tax during the first three year dedicated agricultural use period shall commence from the date the conversion was made retroactive to the date the agricultural use period began. (B) Following the first three year dedicated agricultural use period, the rollback tax shall commence from the date the conversion was made retroactive to the date the current agricultural use period began. (C) The rollback tax shall be based on the difference between the assessed market value at highest and best use and the short term commercial agricultural use of the land at the rate applicable for the respective years. (D) All differences in the amount of taxes that were paid and those that would have been due from assessment in the higher use shall be due and payable with a ten percent penalty. (E) If the owner of dedicated land breaches a condition of the dedication before its completion, rollback taxes shall be imposed on the subject parcel from the end of the tax year in which the breach occurs retroactive to the date of dedication. 7