Property Subject to Taxation

ORS 307.010
Definitions of “land” and “real property” for state property tax laws

  • timber and mineral interests


(1)

As used in the property tax laws of this state:

(a)

“Land” means land in its natural state. For purposes of assessment of property subject to assessment at assessed value under ORS 308.146 (Determination of maximum assessed value and assessed value), land includes any site development made to the land. As used in this paragraph, “site development” includes fill, grading, leveling, underground utilities, underground utility connections and any other elements identified by rule of the Department of Revenue.

(b)

“Real property” includes:

(A)

The land itself, above or under water;

(B)

All buildings, structures, improvements, machinery, equipment or fixtures erected upon, above or affixed to the land;

(C)

All mines, minerals, quarries and trees in, under or upon the land;

(D)

All water rights and water powers and all other rights and privileges in any way appertaining to the land; or

(E)

Any estate, right, title or interest whatever in the land or real property, less than the fee simple.

(2)

Where the grantor of land has, in the instrument of conveyance, reserved or conveyed:

(a)

Any of the timber standing upon the land, with the right to enter upon the ground and remove the timber, the ownership of the standing timber so reserved or conveyed is an interest in real property.

(b)

The right to enter upon and use any of the surface ground necessary for the purpose of exploring, prospecting for, developing or otherwise extracting any gold, silver, iron, copper, lead, coal, petroleum, gases, oils or any other metals, minerals or mineral deposits in or upon the land, such right is an interest in real property. [Amended by 1987 c.756 §19; 1991 c.459 §37; 1997 c.541 §98; 2003 c.46 §10]

Notes of Decisions

Plants growing upon land did not include plants grown by taxpayer in containers. Salem Nursery, Inc. v. Dept. of Rev., 4 OTR 482 (1971), aff'd 262 Or 187, 497 P2d 371 (1972)

House owned separately from land upon which it stands, and whose presence there is of permanent nature, is affixed to land and taxable as real property under this section, even though it is held in place only by its great weight and owners have right and intention to remove it eventually. Moore v. Dept. of Rev., 4 OTR 573 (1971)

For purposes of determining true cash value of real property, "rights and privileges" appertaining to real property do not include goodwill, going concern, management and work force in place. Boise Cascade Corp. v. Dept. of Rev., 12 OTR 263 (1992)

"Real property" includes both land held in fee simple and land held in less than fee simple. Smith v. Dept. of Revenue, 330 Or 227, 998 P2d 675 (2000)

Atty. Gen. Opinions

Value of mineral resource as measure of ad valorem taxation, (1976) Vol 38, p 20

Chapter 307

Atty. Gen. Opinions

Validity of ad valorem and severance taxation of logs destined for export, (1975) Vol 37, p 427; application of Article XI, section 11b of Oregon Constitution to this chapter, (1990) Vol 46, p 388

Law Review Citations

5 EL 516 (1975)


Source

Last accessed
Jun. 26, 2021