If you’re facing a partial taking of your property in Vermont, maybe for a road expansion or a new utility line, you might be wondering what happens to your property tax bill. It’s a common question: after all, you still own the remainder of your property, but it’s not quite what it was before. In this guide, you’ll learn how the Vermont property tax partial taking process works, how your taxes might change, and what you can do if you think your assessment is unfair.

Understanding Partial Taking and Property Tax

A partial taking happens when the government takes only a portion of your property, not the whole thing. This is usually done under eminent domain, which is the government’s right to take private land for public use, as long as you’re paid fair compensation. In Vermont, partial takings most often affect homeowners, farmers, and business owners whose land lies in the path of public projects.

After a partial taking, you’ll still receive a property tax bill, but how much you owe could change. That’s because your property’s value is likely different now. The land taken is no longer part of your taxable property, and the value of what remains (sometimes called the “remainder”) may have shifted as well.

How Vermont Reassesses Property After Condemnation

If your property has been partially taken, Vermont law requires a reassessment. This is sometimes called a “Vermont reassessment after condemnation.” Local assessors will review your property to determine its new value. They’ll look at the size and shape of what’s left, access changes, and whether the partial taking affects how you can use the property.

For example, if a corner of your yard is taken for a sidewalk, your home might lose some curb appeal, but the overall utility is mostly the same. But if a driveway is taken and you can’t park anymore, the value could drop significantly. Assessors consider factors like:

  1. The market value of the land taken.
  2. How the taking affects the rest of your property.
  3. Any new limitations on what you can do with your land.

Once the assessment is complete, your property tax bill will be based on this new, post-taking value.

Vermont Property Tax Relief Options After a Taking

If your property loses value because of a partial taking, you might qualify for Vermont property tax relief taking programs. These programs are designed to make sure you’re not paying taxes on value you no longer have.

Property owners can sometimes apply for a tax abatement or adjustment if the loss is significant. The process usually involves:

  1. Notifying your local assessor or town office about the change.
  2. Providing documentation about the taking (like the condemnation order).
  3. Requesting a reassessment or formal review.

If you think your property assessment doesn’t reflect the true impact of the taking, you have the right to appeal. Vermont offers several ways to challenge an assessment, including hearings before local boards and, if needed, appeals to higher authorities.

Assessing the Remainder: What Happens to the Part You Keep?

After a partial taking, the “remainder” is what you still own. Vermont remainder assessment focuses on what your property is worth now, not what it was worth before. This new value takes into account any changes in how usable, accessible, or desirable your land is.

Let’s say a portion of your backyard is taken for a new power line. If that space was rarely used, your property’s value might not drop much. But if you lost your only garden or had to move a fence, the impact could be greater. The local assessor will look at:

  1. New property boundaries
  2. Changes in access or layout
  3. Effects on home or building use

The remainder assessment helps ensure your tax bill matches your property’s new reality. If you think the value is too high after the taking, you should start by talking to your local assessor. Sometimes, a simple conversation can resolve misunderstandings without a formal appeal.

What You Can Do Next: Steps for Vermont Property Owners

Dealing with a Vermont property tax partial taking can feel overwhelming, especially if you’ve never been through it before. Here’s what you can do to protect yourself and possibly lower your tax bill:

  1. Review your reassessment notice carefully. Make sure it accurately reflects your property’s new size and condition.
  2. Gather your documentation. Keep copies of any letters, orders, or agreements related to the partial taking.
  3. Ask questions. Your local assessor’s office should explain how they reached the new value.
  4. If you disagree, file an appeal within the timeframe listed on your assessment notice. Vermont law gives you the right to challenge any assessment you think is unfair.

Remember, you’re not alone, many property owners go through this process every year. Getting help early can make a big difference.

Conclusion

A partial taking in Vermont changes more than just your property lines, it also affects your property tax. Knowing how reassessment and tax relief work can help you avoid paying more than you should. If you need help with a Vermont property tax partial taking, contact us to learn more.