2013 Assessment Limitations Order (Rollback)

November 1, 2013                     

2013 Assessment Limitations Order (Rollback)

Des Moines, Iowa -- Today the Iowa Department of Revenue issued an Assessment Limitations Order, or “rollback,” on property values in Iowa.  The Order adjusts the property values used by local governments to compute property taxes for agricultural, residential, commercial, and industrial property. 

While the Department issues an Assessment Limitations Order each year, this year’s Order is notable in that it implements the first phase of Governor Branstad’s 2013 Commercial Property Tax Reform package, 2013 Iowa Acts Senate File 295.  Prior to the 2013 legislation, state law allowed no more than a four percent increase from year to year in the taxable values for agricultural, residential, commercial, and industrial property classifications. 

Effective with the 2013 Assessment Limitations Order, the increase in taxable values for the agricultural and residential property classifications is limited to three percent.  Additionally, the 2013 law removed the assessment limitation for commercial, industrial, and railroad properties and replaced it with a five percent reduction in the taxable value, from 100 percent to 95 percent. In 2014, the taxable value will be reduced another five percent, from 95 percent to 90 percent.

The 2013 Order sets forth the following taxable values:

County auditors will apply the adjustments to each property classification to compute the taxable values used to establish property taxes. Tax liabilities based on the 2013 taxable values are payable in fiscal year 2014-15 and will not be determined until local taxing bodies establish their property tax needs early next year.

Additional information about the property tax rollback is available on the Department’s website at: http://www.state.ia.us/tax/locgov/propequalroll.html

The mission of the Iowa Department of Revenue is to serve Iowans and support state government by collecting all taxes required by law, but no more.

For more information contact:

Victoria L. Daniels                                                     
Iowa Department of Revenue                                              
(515) 281-8450                                                          
Victoria.daniels@iowa.gov                                                   
www.iowa.gov/tax