# Maui Timeshare Property tax rates to stay at $14/1000



## meatsss (May 4, 2008)

Maui County Council to keep current property tax rates http://www.mauinews.com/page/content.detail/id/503355.html?nav=10

You can see that the timeshare rate is almost $6 per $1000 assessed value higher than the next highest rate. Way to stick it to some of their most frequent and loyal visitors.


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## ricoba (May 4, 2008)

meatsss said:


> Why to stick it to some of their most frequent and loyal visitors.



Because, I guess they unfortunately can.


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## DeniseM (May 4, 2008)

Yep!  Taxation without representation...  Tea Party anyone?


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## Icarus (May 4, 2008)

Thank you.



> The proposed real property tax rates have not changed from this year: improved residential, $4.85; apartment, $4.55; commercial, $6.25; industrial $6.50; agricultural, $4.50; conservation, $4.75; hotel and resort, $8.20; unimproved residential, $5.35; homeowner, $2; and time share, $14.



If you really want to screw em, become a homeowner. Just think of all that tax money you would save.

-David


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## Mimi (May 5, 2008)

Let's look on the bright side...It's amazing they've proposed to keep tax rates unchanged for everyone, *including timeshare owners*.


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## ricoba (May 5, 2008)

Icarus said:


> If you really want to screw em, become a homeowner. Just think of all that tax money you would save.
> 
> -David



:rofl: :rofl: :rofl:


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## BocaBum99 (May 5, 2008)

What a collection of owners ought to do is sue the county of Maui for over assessment of property values.   What value do they use?  Developer prices or resale prices?  There is a due process for challenging assessments.


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## Kauai Kid (May 5, 2008)

BocaBum99 said:


> What a collection of owners ought to do is sue the county of Maui for over assessment of property values.   What value do they use?  Developer prices or resale prices?  There is a due process for challenging assessments.



From the 2008 Issue 1 of the Maui Schooner Scoop:  "We hired a local Maui attorney to appeal our property tax assessment.  *Maui county has had so many appeals filed that they are still hearing appeals from 2006.  Maui County suspended hearing appeals late last year and resumes the hearings in May.*

First:  The attorney has generated some different comparables to the ones used by the assessor.  

Second:  The attorney has researched court rulings of other states presenting some interesting approaches to how timeshares are valued for  property tax assessments.  

Third:  We have accumulated all of the intervals (48) that were sold from 7/5 to 6/6 by Trading Places.  That is the time frame that the tax assessor identified and used in completing our assessment valuation.  The average of those sales could lower our tax assessment by a minimum of $5,000,000 and/or $70K annually. "

Interesting (& not right) that the county just shuts down the appeals for a year when things get to hard for the County Government. 


Sterling


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## Icarus (May 5, 2008)

Kauai Kid said:


> Interesting (& not right) that the county just shuts down the appeals for a year when things get to hard for the County Government.



That's just the way things work on the islands, Sterling. As long as an appeal was filed on time, it will still be heard, and the property taxes can be adjusted retroactively assuming the appeal is successful.

-David


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## gorevs9 (May 5, 2008)

BocaBum99 said:


> What a collection of owners ought to do is sue the county of Maui for over assessment of property values.   What value do they use?  Developer prices or resale prices?



There was a similar situation here in Newport RI.  The city decided they could get a lot more tax money if they could change the way the resort is assessed.  

From a report by Colleen McGrath Newport City Council
_...the law requires the City to assess the implied value of the development as the construction cost (rarely market value) or "brick and mortar" value. The resulting tax is divided among all of the individual time-share owners. 
The City is prohibited from taking into account the fact that the individual weeks grow in value each year. 
_​For three consecutive years a bill was introduced to _
"permit the taxation of time-share development based on the resale value of interval weeks as well as any other identifiable and commonly accepted methods of appraisal as a basis of arriving at value consideration_".  Basically it gives Newport the right to assess in any way deemed necessary to get the highest value.

Fortunately, our Govenor has vetoed the bill each year.


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## daventrina (May 5, 2008)

We're in for a Tea Party.
A few years  back, the city of Monterey was planning on closing two prime dive sites and placing sever restriction on SCUBA diving activities in Monterey.

Divers stamped currency with dive flags to educate the local merchants as to where they money came from. The merchants went to bat for the dive community against the city council after it was clearly demonstrated as to the  large amount of $$$ that the dive community dumped into the local economy.


DeniseM said:


> Yep!  Taxation without representation...  Tea Party anyone?


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## Kauai Kid (May 5, 2008)

I think it is most unusual for timeshares to increase in value.  A few perhaps but not very many.

Sterling


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## reddiablosv (May 8, 2008)

*Class action lawsuit.*

What Maui is doing in its assesed valuation of timeshares is perfect for a class action lawsuit.  I paid $4500 for an annual 2 bedroom unit timeshare at the Maui Schooner.  But, when the county assesses my valuation, they do not multiply $45oo x 52 weeks to arrive at an apraised value.  Instead they base their valuation on what a full time unit ocean front unit at the Maui schooner would be worth.   Then they tax you at their artificial exhorbinant timeshare rate ie. 14$per $1000 assesed valutation.   They do not tax you at the full time ownership rate! There is a disconnect here!   Full time units are worth more than timeshare weeks!!!   My unit is not worth 2 million divided by 52 weeks in a year!  It is worth $4500 dollars not 2 million divided by 52!!!!. There may be nothing we can do about the discriminatory tax rates on timeshares, but the valuation is something we can fight.  Ben


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## Mimi (May 16, 2008)

Kauai Kid said:


> We have accumulated all of the intervals (48) that were sold from 7/5 to 6/6 by Trading Places.  That is the time frame that the tax assessor identified and used in completing our assessment valuation.  The average of those sales could lower our tax assessment by a minimum of $5,000,000 and/or $70K annually."



Too bad eBay purchase prices couldn't be added to the assessment mix. That's where we snagged both of our 1 br Maui Schooner units. :annoyed:


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## valbo97 (May 27, 2008)

When in Maui we went and talked to the tax appraiser(About a year ago)- That is the person who sets the value of the timeshares. We were told that the units were taxed at the "highest and best use" value. As we own a Sands of Kahana the units were classified as ocean front condominiums and the value used was by the square foot average for Kanapali. Our 2 and 3 bedroom units run 1600-2500 square feet and all were appraised at very high values. Our taxes ONLY last year were:
3 Bedroom	$535.10 for 1 week
2 Bedroom	$445.80 for 1 week
1 Bedroom	$191.30 for 1 week
We got a great tax deduction but the tax was absurd for what we owned. When I explained that the resale value of the week was far less than the appraised value of the stand alone condo he told me "You were the stupid one who bought the timeshare. I appraise per the regulations"
Anyway it would be nice if all timeshare owners quit tipping and left a certificate that stated we pay property tax instead of tips.
Aloha


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