The Tax Office is open Monday through Friday, 8:30 a.m. to 4:00 p.m., except for major holidays. Cromwell’s Tax Collector is Sharon A. Ramsay. The Tax Office staff consists of two Assistant Tax Collectors, Kimberly Spurlin and Patti Kratochvil. Our phone number is (860) 632-3445; our fax number is (860) 632-3494. Sharon, Kim and Patti are all Connecticut Certified Municipal Collectors.
Billing Cycle
The Tax Office is responsible for collection of Town and Fire District property taxes, including real estate, motor vehicle, and personal property for businesses. The bills for real estate and personal property are split into two installments; the first is due July 1 and the second due January 1 of each year. Tax bills are mailed out once per year in June and have two installment stubs on them. No bills are sent for the January installment.
Motor Vehicle taxes are paid in one installment; regular motor vehicle bills are due July 1 and supplemental motor vehicle bills (for vehicles registered after Oct. 1) are due January 1.
Mill Rate
The current Town and Fire District mill rates for the 2006 Grand List are: Town- 31.14 Fire District-2.1.
The mill rate is typically set in May, once the Town’s budget has been approved at the Annual Town Meeting. The mill rate equals 1/1000 of a dollar and is applied to all taxable property.
Delinquent Taxes
Interest on delinquent taxes accrues at the rate of 1.5% per month. Connecticut State Statutes 12-145 and 12-146 state that municipal tax collectors do not have the authority to waive interest. By Town Ordinance, all delinquent motor vehicle bills must be paid by cash or certified bank check to obtain a DMV release for registration.
FACTS YOU SHOULD KNOW ABOUT TAX ASSESSMENT AND COLLECTION
Municipal Tax Assessors and Tax Collectors are bound by the Connecticut General State Statutes. The statutes that apply to tax assessing and collecting can be found in Volume 4, Section 12 of the State Statutes.
By state law, municipal property taxes are an ad valorum tax. This means that the taxes are based upon the value of the property. Currently, state statutes require Assessors to assess property at 70% of the market value. Real Estate is assessed at 70% of the market value as of the last State-mandated town wide revaluation. Cromwell’s last revaluation took effect for the October 1, 2002 Grand List. The Assessor’s Office is currently collecting data for the 2007 Grand List revaluation.
The housing market in Cromwell in 2002 was very strong. The previous reval in 1998 reflected a housing market coming out of the huge slump of the mid-nineties. By 2002, the average market cost of a house in Cromwell had reached new heights, and the market values of houses continue to climb to this day. The revalued assessments reflected this. Because the assessments had increased, the Grand List grew. This, in turn, allowed the Board of Finance to lower the mill rate by 3 mills. It is important to remember that the assessment of your property is just one factor when computing your tax bill.
An important factor that determines your tax bill is the Town and Board of Education budget. Each year, a Town Meeting and referendum is held where you have the opportunity to vote for the Town Budget- this includes the General Government budget, which pays for police, public works, the library, park and recreations, elderly services and municipal offices; the Board of Education budget, and the Bonded Debt budget, which covers large expenditures voted on and approved by townspeople. All of these expenditures are voted on at a Town Meeting, or by referendum. Once the budget is passed by the townspeople, the Board of Finance computes the mill rate.
The Board of Finance computes the mill rate by using the Grand List total value (this information is discovered, listed and valued by the Assessor), then considers the amount needed to run the Town (General Government and Board of Education budget and outstanding bonded debt-all of these amounts are voted on and passed by you!). They apply a collection rate factor, determine the amount of non-tax revenue, fund balance transfers, if any, and set the new mill rate.
A mill rate represents 1/1000th of a dollar. The lower the mill rate, the lower your tax bill will be.
An accurate Grand List, in which each person is fairly assessed at 70% of the market value, and diligent tax collection by the Tax Office helps everyone in town, by keeping the Grand List stable and managing the budget. When the tax office collects more than the 98.75% budgeted, a surplus is created. This surplus is used to offset spending in the next fiscal year and lowers the mill rate.
A person who has been under-assessed for many years or a person who does not pay their taxes in the year they are due hurts everyone in the town. Assessors and Tax Collectors who do their jobs well can help the Town immeasurably. When every taxpayer pays his or her fair share, everyone wins. For many years prior to 2001, the minimum tax collection rate was not met, and properties were not assessed properly. This means that taxpayers who paid on time were penalized, because they were making up for under-assessed and delinquent taxpayers by paying on a higher mill rate. The recent efforts of the Assessor and Collector’s office have turned this situation around. Now, everyone is expected to pay their fair share, and the fiscal health of the Town has improved.
It is important to remember that municipalities, unlike private businesses, must be run with utter transparency. The Assessor’s Office and Tax Office must treat every taxpayer fairly and equitably. The offices are open to the public Monday through Friday, 8:30 until 4:00. The office staff is available to answer any questions you may have about your assessment or tax bill.
However, the citizens of this town have certain responsibilities as well. If you are a business owner in Town, you must, by law, report your assets to the Town so that they may be assessed properly. If you sell personal property, it is your responsibility to notify the Town in a timely manner. Our government is meant to be an open book, accountable to all citizens. If you feel that your assessment is incorrect, speak with the Assessor. If you cannot come to an agreement, A Board of Assessment Appeals is available to hear your concerns. The Board members are elected every two years and meet in March and October. It is your responsibility to become familiar with the laws and how they work; attend Town Meetings and know what you are voting for; demand Town Officials to be forthright and ethical. Become an informed citizen for your own good and the good of our community.