I want to inform the City of Covington citizens that they will see an increase in their personal property assessed values in 2022.

Passenger vehicles in the City are going to increase in value by an average of 29.7% this year.  Some vehicles will increase 40% or more. Citizens owning motorcycles, boats and motorhomes will also see an increase in assessed value.

The struggle of the auto industry’s current inventory shortage is real. Thanks to a perfect storm of plant shutdowns, an ongoing microchip shortage, and relentless shopper demand, new vehicle supply has been sinking fast.  All of these issues have led to a high demand for used vehicles which has caused the market value to increase at a percentage we have not seen before.

I have not made any change to the method of assessing personal property.  The method of assessment is 100% of Clean Retail Value from the January 2022 NADA Used Car Guide.   The tax rate has not been changed.  The increase in assessed values is solely due to the actual market values as of January 2022.

You will also see a decrease in the percentage of relief you receive on qualifying vehicles for tax year 2022. The City receives a set amount of money from the State each year to provide relief to qualifying vehicles.  The relief percentage in 2021 was 45% and due to the increase in assessed values the relief percentage will be reduced to 38% for the tax year 2022.

The increase in assessed values and the reduced relief percentage will cause most citizens to pay more personal property taxes for tax year 2022.

I wanted to get this information out to you before you receive your tax bills in the mail.  I am happy to discuss this with you and answer any questions that you may have.

Please contact the City of Covington Commissioner of the Revenue office at (540) 965-6350.

Cathy M. Kimberlin, MCR
Commissioner of the Revenue
City of Covington “Elected to Serve”