Opinion ID: 1864205
Heading Depth: 1
Heading Rank: 3

Heading: whether a circuit court may order a tax refund after acting on an appeal from the state board of equalization and rendering a determination on the value of property.

Text: Riverview argues that the circuit court was vested with the authority to order a tax refund after the parties had agreed to a reduction of the assessed value of the property. State Board and Yankton County argue that the circuit court was without jurisdiction to enter such an order. The circuit court had concluded that its authority extended only to its entry of a judgment regarding the valuation of the property. We agree. It is well settled that a circuit court's authority on an appeal from a county board of equalization or from the state board is the same as that which was initially possessed by the respective boards. See Williams v. Stanley County Bd. of Equalization, 69 S.D. 118, 7 N.W.2d 148 (1942). See also In re Robinson et al., 73 S.D. 580, 46 N.W.2d 908 (1951). We note that the authority of a board of equalization extends only to the process of establishing the value of property and does not extend to the the levy, collection, or refund of taxes. See generally SDCL ch. 10-11. Thus, where the circuit court sits as a board of equalization pursuant to SDCL 10-11-43 or 10-11-44, it likewise does not have the power to levy, collect or refund taxes. Riverview, by its motion to reopen the assessment proceedings, asked the trial court to go beyond its authority by ordering a tax refund. Riverview based its position on SDCL 7-8-31, which provides: The circuit court may make a final judgment and cause the same to be executed or may send the same back to the board of county commissioners with an order how to proceed, and require such board to comply therewith by mandamus or attachment as for contempt. As noted by the trial court, however, Riverview's reliance on SDCL 7-8-31 is misplaced. In Chicago & N.W. Railway Co. v. Schmidt, 85 S.D. 223, 180 N.W.2d 233 (1970), we found, in effect, that the term final judgment as used in SDCL 7-8-31 does not include a judgment declaring the amount of tax refund, but rather refers to a judgment determining the valuation of the property. Thus, Riverview's contention that SDCL 7-8-31 provides authority for the court to order a refund is incorrect.