A long-running multimillion-dollar tax battle involving one of Allen County’s largest industries is close to a settlement – but another large dispute appears to be heating up.
Allen County Assessor Stacey O’Day said today the county has reached an agreement with General Motors that would resolve a disagreement over property taxes on its truck plant at Lafayette Center Road and Interstate 69 that has lingered since 2006.
At that time, GM, placed the taxable value of its property at $48 million, but last year claimed the plant was worth just $35 million despite the fact that the value of construction permits there totaled more than $276 million between 1985 and 2012. In 2009 the county agreed to reduce the plant’s assessed value by 25 percent, from $101 million in 2007 to $75.6 million. As of last year, the plant was assessed at about $74.9 million and paid about $1.3 million in property taxes in 2011. The taxes would have been higher if not for abatements granted by county officials over the years, which temporarily reduce taxes owed on new buildings and equipment.
Under the agreement, Allen County will lower the 2006 and 2007 assessed values and a refund will be paid to GM in the form of tax credits against the company’s property taxes due in 2014 and 2015. GM has also agreed to settle its 2008-2012 tax appeals without changing the county’s original assessed value for those years.
The dollar value of the settlement was not immediately clear.
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