What does a supplementary tax bill indicate?

A supplementary tax bill indicates a change in taxes that takes effect as of the date of the transfer of ownership of real property. This type of bill typically arises when there is a reassessment of property taxes due to the sale or transfer of property, reflecting any changes in the valuation of the property that may not have been captured during regular assessment cycles.

For example, when a property sells above its previous assessed value, the new owner may receive a supplementary tax bill to account for the increased value that goes into effect at the time of the sale. This ensures that the tax liabilities are adjusted swiftly to reflect the changes in ownership and property value, allowing the taxing authority to collect appropriate taxes from the new property owner.

Thus, the correct answer emphasizes the timing and context of tax changes related specifically to property transfers.