Heron Lake II Apartments, LP v. Lowndes County Board of TaxAnnotate this Case
In its second appearance before the Georgia Supreme Court, the dispute between appellee Lowndes County Board of Tax Assessors (“the Board”) and eight partnerships which built and operated affordable housing apartment complexes (“Section 42 properties”) in Lowndes County (collectively, “Appellants”), with the help of federal and state Low Income Housing Tax Credits (“LIHTCs” or “Section 42 Tax Credits”), in connection with which they executed Land Use Restrictive Covenants. The dispute this time turned on the valuation of those tax credits when calculating ad valorem real property taxes. The Supreme Court determined the trial court had subject matter jurisdiction to decide this case, and that LIHTCs did not constitute “actual income” for purposes of OCGA 48-5-2 (3) (B) (vii) (II). Moreover, OCGA 48-5-2 (3) (B) (vii) (I) and (II) did not run afoul of the Georgia Constitution’s taxation uniformity provision. Accordingly, the Court reversed the judgment of the trial court.