Real property tax; special assessment on basis of use, notice requirements.

Real property tax; special assessment for land use; notice requirements; civil penalty. Establishes notice requirements for the sale of real estate that is valued, assessed, and taxed by a locality under a special assessment on the basis of use. The bill directs the Department of Taxation to create a written notice that may be provided to the purchaser of real estate in a land use program. The notice must include disclosures regarding the special classification of the real estate and liability for roll-back taxes if a change in use occurs. The bill also requires settlement agents to provide this written notice to purchasers of real estate in a land use program and to obtain the purchaser's written acknowledgement of receipt of the notice. The willful failure of a settlement agent to provide the notice and obtain the written acknowledgement will subject the settlement agent to a civil penalty in an amount not exceeding $250. The bill directs the Real Estate Board to include in the residential property disclosure statement on its website a statement that the owner makes no representations or warranties with respect to whether the property is located in a locality that has adopted a land-use plan that may provide use value assessment and taxation for certain real estate and that advises purchasers to exercise due diligence to determine whether the property may be subject to roll-back taxes and interest for taxation on the basis of a use assessment and the liability for additional taxes and penalties that may attach if a change in use occurs. Finally, the bill has a delayed effective date of January 1, 2027. This bill is identical to SB 649.