LOS ANGELES — Los Angeles County Assessor Jeff Prang, Treasurer and Tax Collector Elizabeth Buenrostro Ginsberg, Auditor-Controller Oscar Valdez, and Department of Consumer and Business Affairs Director Rafael Carbajal are warning seniors and other property owners about a property tax scam circulating through social media, online videos, and telephone solicitations.
The fraudulent claims tell homeowners they can reduce or freeze their property taxes by filing a supposed federal IRS “Form 1098-SR.” No such IRS form or federal property tax relief program exists.
The scam reportedly promotes a supposed federal program that can freeze property taxes for seniors, reduce property tax bills, or allow homeowners to avoid certain local taxes or school bonds.
Property taxes in California are governed by state law and administered locally. The federal government does not determine, cap, or freeze local property tax assessments.
Legitimate California Property Tax Relief Programs
California property owners may qualify for several established programs, including:
- Proposition 13 — Generally limits annual increases in a property’s assessed value to no more than 2 percent, except when there is a change in ownership, new construction or another event requiring reassessment under state law.
- Proposition 19 — Allows eligible homeowners who are age 55 or older, severely disabled, or victims of wildfire or other natural disasters to transfer their taxable base-year value to a replacement principal residence, subject to eligibility requirements.
- Homeowners’ Exemption — Provides a $7,000 reduction in assessed value for an owner-occupied principal residence.
- Disabled Veterans’ Exemption — Provides property tax relief for qualifying disabled veterans and, under certain circumstances, their surviving spouses.
- Property Tax Postponement — A program administered by the California State Controller that allows certain eligible seniors and blind or disabled homeowners who meet income, equity and other requirements to postpone payment of current-year property taxes. The postponed taxes must ultimately be repaid and a lien is placed on the property.
Know Which County Office to Contact
Property owners should also understand the different responsibilities of Los Angeles County agencies involved in property taxes:
- Office of the Assessor — Determines the assessed value of taxable property and administers qualifying property tax exemptions and exclusions.
- Auditor-Controller — Calculates property tax rates and tax amounts, allocates collected property tax revenue among local taxing agencies, and processes taxpayer refunds due to tax roll corrections.
- Treasurer and Tax Collector — Issues property tax bills and collects property tax payments.
- Department of Consumer and Business Affairs — Provides consumer education and assistance and investigates consumer fraud, scams, identity theft and other consumer protection complaints.
Residents who believe they have received a fraudulent solicitation should not provide personal or financial information and should not send money. Those who believe they have been victimized should contact law enforcement and report the matter to the appropriate consumer protection authorities.
Los Angeles County property owners can obtain official property tax information through the County’s Assessor, Auditor-Controller and the Treasurer and Tax Collector.