Why am I receiving a Supplemental or Escape Tax Bill?

by Marie Kegel | January 19, 2018

Like many homeowners, you probably do not pay the SF Treasurer’s Office directly for your annual property tax bills. Instead, your property taxes are paid by your lender from your impound account. However, many first time homebuyers get caught off guard when they receive a Supplemental or Escape tax bill that is not part of your monthly payment. When you purchased your home, the transfer of ownership triggered a reassessment of the property value by the Assessor-Recorder’s Office. This process establishes a new base value for calculating your property taxes, and can take several years to complete. So, you can make property tax payments based on outdated tax rolls for months and then receive a hefty tax bill. The Supplemental tax bill captures the difference between what you were billed and what you should have been billed. Learn more about tax assessments at sfassessor.org.

It’s your responsibility to pay Supplemental tax bills when they come due. Some new homeowners may even receive a property tax refund from their impound account only to later be billed for Supplemental taxes by the Assessor-Recorder’s Office. Work with a housing counselor to create a plan for addressing your tax assessments! Contact us today!