United Mutual members pay property tax; new members also may pay supplemental property tax.
Property tax is assessed by the Orange County Assessor’s office. Assessed value is equal to the most recent purchase price, less adjustments, plus the allowed annual increase. United Mutual is billed directly by the OC Assessor per parcel, or groups of buildings. Financial Services Department staff break down the parcel charge by manor and bill the property tax as part of members’ monthly assessments.
Supplemental property tax is levied when a new owner purchases property for an amount that is higher than the previous owner’s assessed value.
Upon purchasing a manor, the new owner will continue paying the same monthly assessment amount as the previous owner for the remainder of the first year of ownership. During this first year, the OC Assessor will bill United Mutual directly, and United Mutual will pay to the assessor’s office a higher property tax amount due to the updated assessed value for the manor. The increased amount paid by United Mutual in year one is then billed to the new owner in year two of ownership, spread evenly over 12 months. This increased amount is billed as part of the monthly assessment as a supplemental property tax in year two and is in addition to the property tax.
Exceptions to the supplemental property tax process may apply to manors purchased in the second half of the year. Monthly assessment amounts are finalized in October and November. If the new assessed value is not received from the OC Assessor prior to the assessment amount being prepared, the supplemental property taxes will be included in year three of monthly assessments.
For assistance with property tax and supplemental property tax, contact VMS Accounting Specialist Julie Liang at 949-597-4208/Julie.Liang@vmsinc.org, or contact VMS Controller Pam Jensen at 949-597-4388/Pam.Jensen@vmsinc.org.
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