Code of the District of Columbia

§ 47–812. Establishment of rates.

(a) The Council, after public hearing, shall by October 15 of each year establish, by act, rates of taxation, by class, as provided in § 47-813, and the rates shall be applied, during the tax year, to the assessed value of all real property subject to taxation. The Council, acting by resolution, may extend the time for establishing the rates of taxation. If the Council does extend the time for establishing the rates of taxation on real property, it must establish those rates for the tax year by permanent legislation. If the Council does not establish the rates of taxation of real property by October 15, and does not extend the time for establishing rates, the rates of taxation applied for the prior year shall be the rates of taxation applied during the tax year.

(a-1) Notwithstanding the provisions of subsection (a) of this section, the real property tax rates for taxable property in the District of Columbia for the tax year beginning October 1, 1994, and ending September 30, 1995, shall be the same rates in effect for the tax year beginning October 1, 1993, and ending September 30, 1994.

(a-2) Notwithstanding the provisions of subsection (a) of this section, the real property tax rates for taxable real property in the District of Columbia for the tax year beginning October 1, 1995, and ending September 30, 1996, shall be the same rates in effect for the tax year beginning October 1, 1993, and ending September 30, 1994.

(b) Notwithstanding the provisions of subsection (a) of this section, the following real property tax rates are established for taxable real property in the District of Columbia for the real property tax year beginning October 1, 1995, and ending September 30, 1996:

(1) $0.3659 for each $100 of assessed value for Class 1 Property;

(2) $0.5869 for each $100 of assessed value for Class 2 Property;

(3) $0.7050 for each $100 of assessed value for Class 3 Property;

(4) $0.8194 for each $100 of assessed value for Class 4 Property; and

(5) $1.9055 for each $100 of assessed value for Class 5 Property.

(b-1) Notwithstanding the provisions of section 413 [Pub. L. 93-407, title IV, § 413], subsection (a) of this section, or any other law imposing requirements on the enactment of these tax rates, the following real property tax rates are established for taxable real property in the District of Columbia for the real property tax year beginning October 1, 1996, and ending September 30, 1997:

(1) $0.3936 (for each $100 of assessed value) for Class One Property;

(2) $0.6314 (for each $100 of assessed value) for Class Two Property;

(3) $0.7585 (for each $100 of assessed value) for Class Three Property;

(4) $0.8815 (for each $100 of assessed value) for Class Four Property; and

(5) $2.0500 (for each $100 of assessed value) for Class Five Property.

(b-2) Notwithstanding the provisions of subsection (a) of this section, the following real property tax rates are established for taxable real property in the District of Columbia for the tax year beginning October 1, 1997, and ending September 30, 1998:

(1) $0.2400 for each $100 of assessed value for Class 1 Property;

(2) $0.3850 for each $100 of assessed value for Class 2 Property;

(3) $0.4625 for each $100 of assessed value for Class 3 Property;

(4) $0.5375 for each $100 of assessed value for Class 4 Property; and

(5) $1.2500 for each $100 of assessed value for Class 5 Property.

(b-3) Notwithstanding the provisions of subsection (a) of this section, the sum of the real property tax rates and the special real property tax rates for taxable property in the District of Columbia for the tax year beginning October 1, 1999, and ending September 30, 2000, shall be:

(1) $0.96 for each $100 of assessed value for Class 1 Property;

(2) $1.34 for each $100 of assessed value for Class 2 Property;

(3) $1.85 for each $100 of assessed value for Class 3 Property; and

(4) $2.05 for each $100 of assessed value for Class 4 Property.

(b-4)(1) Notwithstanding the provisions of subsection (a) of this section, the sum of the real property tax rates and the special real property tax rates for taxable property in the District of Columbia for the tax year beginning October 1, 2000, and ending September 30, 2001, shall be:

(A) $0.96 for each $100 of assessed value for Class 1 Property;

(B) $1.15 for each $100 of assessed value for Class 2 Property;

(C) $1.85 for each $100 of assessed value for Class 3 Property; and

(D) $1.95 for each $100 of assessed value for Class 4 Property.

(2) Paragraph (1) of this subsection shall not apply if the certification by the Chief Financial Officer required by § 47-387.01 demonstrates that the accumulated general fund balance for the immediately preceding fiscal year is below 5% of the general fund operating budget for the current fiscal year, the nominal GDP growth is less than or equal to 3.5% or the real GDP growth is less than or equal to 1.7%.

(b-5)(1) Notwithstanding the provisions of subsection (a) of this section, the sum of the real property tax rates and the special real property tax rates for taxable property in the District of Columbia for the tax year beginning October 1, 2001, and ending September 30, 2002, shall be:

(A) $0.96 for each $100 of assessed value for Class 1 Property; and

(B) $1.85 for each $100 of assessed value for Class 2 Property.

(2) Repealed.

(b-6) Notwithstanding the provisions of subsection (a) of this section, the sum of the real property tax rates and the special real property tax rates for taxable real property in the District of Columbia for the tax year beginning October 1, 2002, shall be:

(1) $0.96 for each $100 of assessed value for Class 1 Property;

(2) $1.85 for each $100 of assessed value for Class 2 Property; and

(3) $5.00 for each $100 of assessed value for Class 3 Property.

(b-7) Notwithstanding the provisions of subsection (a) of this section, the sum of the real property tax rates and special real property tax rates for taxable real property in the District of Columbia for the tax year beginning October 1, 2005, shall be:

(1) $0.92 for each $100 of assessed value for Class 1 Property;

(2) $1.85 for each $100 of assessed value for Class 2 Property; and

(3) $5.00 for each $100 of assessed value for Class 3 Property.

(b-8)(1)(A) Notwithstanding the provisions of subsection (a) of this section, the sum of the real property tax rates and special real property tax rates for taxable Class 1 Property in the District of Columbia for the tax year beginning October 1, 2006, and each tax year thereafter, shall be established as follows:

(i)(I) For the tax year beginning October 1, 2006, the Mayor shall compute the real property tax rate (rounded up to the nearest penny) for Class 1 Properties calculated to yield in the tax year the same amount of taxes estimated to be collected, as certified in the latest revenue estimate, during the tax year beginning October 1, 2005, plus 9%.

(II) Before September 16, 2006, the Mayor shall submit to the Council the real property tax rate computed under sub-sub-subparagraph (I) of this sub-subparagraph.

(ii)(I) For the tax year beginning October 1, 2007, the Mayor shall compute the real property tax rate (rounded up to the nearest penny) for Class 1 Properties calculated to yield in the tax year the same amount of taxes estimated to be collected, as certified in the latest revenue estimate, during the tax year beginning October 1, 2006, plus 8%.

(II) Before September 16, 2007, the Mayor shall submit to the Council the real property tax rate computed under sub-sub-subparagraph (I) of this sub-subparagraph.

(iii)(I) For the tax year beginning October 1, 2008, the Mayor shall compute the real property tax rate (rounded up to the nearest penny) for Class 1 Properties calculated to yield in the tax year the same amount of taxes estimated to be collected, as certified in the latest revenue estimate, during the tax year beginning October 1, 2007, plus 7%.

(II) Before September 16, 2008, the Mayor shall submit to the Council the real property tax rate computed under sub-sub-subparagraph (I) of this sub-subparagraph.

(iv)(I) For the tax year beginning October 1, 2009, and each tax year thereafter, the Mayor shall compute the real property tax rate (rounded up to the nearest penny) for Class 1 Properties calculated to yield in the tax year the same amount of taxes estimated to be collected during the preceding tax year, plus the lesser of:

(aa) Seven percent; or

(bb) The percentage increase in the total aggregate assessment of taxable real property for Class 1 Properties.

(II) By January 5 of the tax year, the Mayor shall submit to the Council the real property tax rate computed under sub-sub-sub-paragraph (I) of this sub-subparagraph.

(B) Notwithstanding the provisions of subparagraph (A) of this paragraph, if, for the current tax year, the total aggregate assessment of taxable real property for Class 1 Properties is estimated to decrease, the real property tax rate for Class 1 Properties shall be the real property tax rate for the prior tax year.

(2) Repealed.

(b-9)(1) Notwithstanding the provisions of subsection (a) of this section, the sum of the real property tax rates and special real property tax rates for taxable Class 2 Properties in the District of Columbia for the tax year beginning October 1, 2008, shall be:

(A) For the first $3 million of assessed value, $1.65 of each $100 of assessed value; and

(B) For the portion of the assessed value exceeding $3 million, $1.85 of each $100 of assessed value.

(2)(A) Notwithstanding the provisions of subsection (a) of this section, the sum of the real property tax rates and special real property tax rates for taxable Class 2 Property in the District of Columbia for the tax year beginning October 1, 2009, and each tax year thereafter, shall be:

(i) For the first $3 million of assessed value, the rate as established in subparagraph (B) of this paragraph; provided, that for the tax year beginning October 1, 2011, the tax rate shall be $1.65 of each $100 of assessed value; and

(ii) For the portion of the assessed value exceeding $3 million, $1.85 of each $100 of assessed value.

(B)(i) The Chief Financial Officer shall compute the real property tax rate for the first $3 million of assessed value for taxable Class 2 Properties in the District of Columbia, for the tax year beginning October 1, 2009, as follows:

(I) The Chief Financial Officer shall subtract $1,312,793,900 from the estimated real property taxes to be collected for Class 2 Properties based upon a rate of $1.85 of each $100 of assessed value.

(II) The Chief Financial Officer shall compute the real property tax rate (rounded up to the nearest penny) for the first $3 million of assessed value for taxable Class 2 Properties by taking the amount yielded by sub-sub-subparagraph (I) of this sub-subparagraph and, if it is a positive number, applying this amount to reduce the real property tax rate; provided, that the real property tax rate shall not be less than $.90 of each $100 of assessed value.

(ii) The Chief Financial Officer shall compute the real property tax rate for the first $3 million of assessed value for taxable Class 2 Properties in the District of Columbia, for the tax year beginning October 1, 2010, and each tax year thereafter, as follows:

(I) The Chief Financial Officer shall multiply the total amount of taxes estimated to be received for taxable Class 2 Properties in the District of Columbia for the prior fiscal year by 110%.

(II) The Chief Financial Officer shall subtract the amount yielded by sub-sub-subparagraph (I) of this sub-subparagraph from the estimated real property taxes to be collected in the tax year based upon the applicable rates in effect for Class 2 Properties during the prior tax year.

(III) The Chief Financial Officer shall compute the real property tax rate (rounded up to the nearest penny) for the first $3 million of assessed value for taxable Class 2 Properties by taking the amount yielded by sub-sub-subparagraph (II) of this sub-subparagraph and, if it is a positive number, applying this amount to reduce the real property tax rate; provided, that the real property tax rate shall not be less than $.90 of each $100 of assessed value.

(iii) By January 5 of each tax year, the Chief Financial Officer shall submit to the Council the real property tax rate computed under this subparagraph.

(C) Notwithstanding any other provision of this section, the sum of the real property tax rates and special real property tax rates for taxable Class 2 Properties in the District of Columbia beginning October 1, 2018, and each tax year thereafter shall be:

(i) $1.65 for each $100 of assessed value if the real property's assessed value is not greater than $5 million;

(ii) $1.77 for each $100 of assessed value if the real property's assessed value is greater than $5,000,000 but not greater than $10 million; or

(iii) $1.89 for each $100 of assessed value if the real property's assessed value is greater than $10 million[.]

(D)(i) [Repealed].

(ii) IST revenue collected during the period beginning on January 1, 2019 and ending on September 30, 2019, shall be directed to the unassigned balance of the General Fund for purposes consistent with the Fiscal Year 2019 Revised Local Budget Emergency Act of 2019 [D.C. Act 23-75, effective July 8, 2019, 66 DCR 8078].

(3) [Repealed].

(b-10)(1) Notwithstanding the provisions of subsection (a) of this section, the sum of the real property tax rates and special real property tax rates for taxable Class 3 Properties in the District of Columbia for the tax year beginning October 1, 2010, and each tax year thereafter, shall be $5 for each $100 of assessed value.

(2) Notwithstanding the provisions of subsection (a) of this section, the sum of the real property tax rates and special real property tax rates for taxable Class 4 Properties in the District of Columbia for the tax year beginning October 1, 2010, and each tax year thereafter, shall be $ 10 for each $ 100 of assessed value.

(b-11) [Repealed].

(c) Pursuant to section 9 of the General Obligation Bond Act of 1994, effective May 3, 1994 (D.C. Law 10-116; 41 DCR 1224), the following real property special tax rates are established for taxable real property in the District of Columbia for the real property tax year beginning October 1, 1995, and ending September 30, 1996:

(1) $0.5941 for each $100 of assessed value for Class 1 Property;

(2) $0.9531 for each $100 of assessed value for Class 2 Property;

(3) $1.1450 for each $100 of assessed value for Class 3 Property;

(4) $1.3306 for each $100 of assessed value for Class 4 Property; and

(5) $3.0945 for each $100 of assessed value for Class 5 Property.

(c-1) Notwithstanding the provisions of section 413, subsection (c) of this section, or any other law imposing requirements on the enactment of these tax rates, pursuant to section 9 of the General Obligation Bond Act of 1994, effective May 3, 1994 (D.C. Law 10-116; 41 DCR 1224), the following real property special tax rates are established for taxable real property in the District of Columbia for the real property tax year that begins October 1, 1996, and ends September 30, 1997:

(1) $0.5664 (for each $100 of assessed value) for Class One Property;

(2) $0.9086 (for each $100 of assessed value) for Class Two Property;

(3) $1.0915 (for each $100 of assessed value) for Class Three Property;

(4) $1.2685 (for each $100 of assessed value) for Class Four Property; and

(5) $2.9500 (for each $100 of assessed value) for Class Five Property.

(c-2) Pursuant to section 9 of the General Obligation Bond Act of 1996, effective October 1, 1996 (D.C. Law 11-162; 43 DCR 5432), the following real property special tax rates are established for taxable real property in the District of Columbia for the tax year beginning October 1, 1997, and ending September 30, 1998:

(1) $0.7200 for each $100 of assessed value for Class 1 Property;

(2) $1.1550 for each $100 of assessed value for Class 2 Property;

(3) $1.3875 for each $100 of assessed value for Class 3 Property;

(4) $1.6125 for each $100 of assessed value for Class 4 Property; and

(5) $3.7500 for each $100 of assessed value for Class 5 Property.

(d) For purposes of this section, the terms “Class 1 Property”, “Class 2 Property”, “Class 3 Property”, “Class 4 Property”, and “Class 5 Property” each has the same meaning as the terms have in § 47-813.

(e) [Repealed].

(f) [Repealed].