United Enterprises, Ltd. v. Assessment Appeals Board

—In this tax refund case the County of San Diego (County) appeals from the judgment of the trial court which ordered County to reduce the assessment on certain property. The primary issue on appeal involves the proper application of Revenue and Taxation Code section 1604. Under section 1604, when a taxpayer applies for reduction of an assessment, the Assessment Appeals Board (the AAB) must hear and decide the matter within two years, subject to certain extensions and/or exceptions discussed hereafter. If the AAB fails to meet those time limits, the taxpayer’s opinion of value becomes the assessed value. The trial court ruled the AAB’s decision here was untimely and ordered that the taxpayer’s opinion of value be enrolled as required by section 1604. This appeal followed.

I. Factual Background

The dispute arose because County contended, and United Enterprises, Ltd. (taxpayer) denied, that certain property owned by taxpayer was subject to reassessment due to a “change in ownership.” In 1987 the county assessor notified taxpayer that its property would be reassessed based on an alleged change of ownership of its property in 1983. Because this appeal turns on whether the…