Sumo Property Management, L.L.C. v. City of Newark – In this matter, the taxpayer alleged assessment discrimination and claimed that the City of Newark’s tax assessor and corporate counsel wrongfully denied it the right to enter into a tax abatement/exemption agreement.
It is critical that homeowners associations be vigilant of the way in which their municipality assesses taxes on the community’s common area. Common areas include clubhouses, pools, and recreation areas such as playgrounds and tennis courts. In New Jersey, statute N.J.S.A. 46:8B-19 states that towns and municipalities may not tax a condominium’s common elements.
