POLICY:

1. All property shall be assessed at full-and-true market value as of the legal date of assessment.

· market value: amount the property would probably sell if sold on the open market

  (SDCL 10-6-1.3)

· SDCL 10-6-2 defines November 1st as " the legal date of assessment."

· SDCL 10-6-33: "All property shall be assessed at true and full value..."

· SDCL 10-6-33: Director of Equalization prohibited from adopting a "lower or different standard of value because it is to serve as a basis for taxation."

2. Appropriate consideration of the cost approach, market approach and income approach to appraisal will be used to determine value.

· SDCL 10-6-33: Basis for determining valuation for tax purposes.

· South Dakota Real Estate Appraisal Manual (pp 13-19).

3. Attempts to falsify or make fraudulent property statements will be reported.

· SDCL 10-6-21 requires the Director of Equalization to report evidence of property tax evasion to the State's Attorney.

· SDCL 10-6-21: Persons guilty of making "false or fraudulent" property statements for the purpose of "evading the payment of taxes" are guilty of a Class 2 misdemeanor.

· SDCL 10-6-20: "in addition to any and all other penalties" persons who attempt to evade, deceive, or fail to list property will be subject to having the "amount not listed and an additional penalty of fifty percent of the amount not listed: added to assessment.

4. An assessor will inspect each site to collect accurate measurements and relevant site data.

· SDCL 10-3-23 empowers the Director of Equalization and his deputies to "enter upon and inspect all property for the purpose of determining the value thereof..."

· South Dakota Real Estate Appraisal Manual (pp 13-19)

5. Sales data will be recorded, and reported to the Dept. of Revenue, as part of the sales ratio study.

· SDCL 10-11-54 through SDCL 10-11-60 outlines the sales ratio study

· SDCL 10-11-56 specifies only arms-length transactions will be included in the sales study

· SDCL 10-11-56 defines arms-length: "property...on the open market for a reasonable period of time...a willing seller...a willing buyer...no coercion or advantage taken by either party."

6. After value is determined, public records will be updated and maintained by the office of the Director of Equalization. An annual notice of assessed value will be mailed to property owners.

· SDCL 10-6-50

· South Dakota Real Estate Appraisal Manual (pp 13-19)