Appraiser, Letisha Esquibel
304 N Main
P.O. Box 1250
Lakin, KS 67860
Office Hours: 8:00 am to 5:00 pm M-F
For online forms please visit http://www.kansas.gov/cota/.
Factors considered when determining market value of oil and gas leasehold properties include past and present production history, current oil and gas prices, and remaining reserves. The State of Kansas publishes a guide that is followed to help in the determination of the market value of oil and gas. The formula is used to “determine today’s benefit for future revenues discounted to present value”.
The ad valorem tax (local personal property tax) that you are billed for on your royalty tax statement is based upon value; therefore, there are some years in which the taxes may appear high and way out of line when your income is down. Personal property taxes are always for the prior year so the prior year’s production is used in the formula. A loss in one year’s income does not eradicate value. An example of this would be a farmer who is hailed out one year, but does not see a decrease in the market value of his farm ground.
Gas wells may be shut in during the current year, but still have large reserves and are capable of producing a lot of gas, causing taxes to remain high with income down for the year. The values placed on these royalty interests are supported by offers from several investors to purchase these properties
Understanding Property Taxes
- Appraiser Duties
- Why Appraise?
- Taxpayer Rights
- The assessment process is the basis for developing property values and is the tool for equalizing the distribution of the tax burden.
- The County Appraiser is responsible for discovering, listing and valuing all property within Kearny County in an equal and uniform manner. Each year the Appraiser must review recent real estate sales and consider local economic conditions in determining the “fair market value” of the property, as it exists January 1st.
- Each Year the cost of local services is spread across the value of taxable property (Local budgets / assessed value of taxable property = mill levy). The statewide school mill levy is 20 mills ($20 for ever $1000 assessed value). County appraisers are responsible for uniformly and accurately valuing all property each year. That way, all citizens fairly share in supporting the cost of local services. Local services include police and fire protection, roads, parks, public, health services and schools.
- As a property owner and taxpayer, you have specific rights and responsibilities in the assessment process. First, you have the right to examine the Appraiser’s property records and verify that the property you own is listed and described correctly on the tax records. And importantly, if you disagree with your property value, you may file an appeal with the appraiser. Remember, you have the responsibility to provide accurate information to the Appraiser about property you own.
- Some properties such as churches, farm grain storage and some taxing entities are exempt from property taxes. The Application of Tax Exemption before the Board of Tax Appeals of the State of Kansas is available online from the link above or from the Appraiser’s office.