D.C. owners with qualifying permits can seek residential tax treatment

Owners may apply to put qualifying permitted property in D.C.'s residential property tax category. A permit must cover new construction meant mostly for regular homes, or major work on an existing building or part of it meant only for regular homes. Owners must give D.C.'s chief financial officer complete proof before the classification takes effect. Owners seeking mixed-use classification must still file on time for the next tax year if the annual assessment has been made and a temporary or final occupancy approval was issued. The classification starts in the half tax year for which the owner applies. This temporary law expires 225 days after taking effect.

D.C. applies the residential tax rate for the whole tax year or only the second tax payment, depending on when eligible property changes class. This covers improved property legally used for regular homes, except Class 1B property. It may host short-term guests under an unexpired short-term rental license endorsement. If the property is already improved or assessed under a separate property tax rule, only the part used solely for housing gets this rate. A change from October 1 through March 31 brings the rate for the whole tax year. A change from April 1 through September 30 brings it only for the second tax payment.

D.C.'s chief financial officer must put wrongly classified permit-based property in the correct tax category and charge unpaid tax, interest, and penalties. This applies to property placed in the residential property tax category based on a building permit. The property must be mostly used for housing by the earlier of a new or changed approval to occupy any part of the building, or three years after the permit was issued. A permit that expires and is not renewed within one year also triggers correction. Other tax rules named in the section can limit corrections. The chief financial officer may give owners more time or waive interest and penalties to prevent undue hardship. The correction covers each tax year or half year when the classification was wrong, within the limits of the named tax rules. Owners may request review within 45 days of a denial notice, then appeal a final decision.

Two D.C. property tax relief clauses name Avanti Real Estate Services, LLC. These clauses concern property tax relief for Avanti Real Estate Services, LLC. Neither amended clause says the company must occupy the property or perform the listed real estate work.