According to the Orlando Sentinel, a Disney win in court ruling could force Orange County to refund millions in property taxes.
What’s Happening:
- Disney and the Orange County Appraiser’s office have long been in court, with Disney arguing that the appraised values of their property were too high, resulting in the company paying more property taxes.
- Now that a judge has ruled in Disney favor, it could force Orange County Public Schools to refund millions.
- The ruling was issued on Monday by Judge Thomas W. Turner and concluded an eight-year legal dispute regarding allegations that the Orange County Property Appraiser’s Office inaccurately assessed the taxable value of the Yacht & Beach Club.
- While this decision was specific to that EPCOT-area resort, it may have larger ramifications if it were to extend to other properties.
- The judge said that the property assessors of the Yacht and Beach Club Resort for tax years 2015 and 2016 were “unconstitutional and invalid” and continued stating, “The appraiser substantially increased the amount of Disney’s tax bill by unlawfully including value attributable to Disney’s intangible property.”
- The total refund amount has not been decided as of yet, although Orange County Tax Collector Scott Randolph indicated that Walt Disney Parks and Resorts may be entitled to $2 million in property taxes paid for the hotel during 2015 and 2016.
- However, Randolph stated that Disney could get as much as $80 million if all the resorts were applied to the ruling.
- In fact, Randolph notes that the county has allocated approximately $80 million for potential refunds — a sum that Randolph suggested could provide a $6,000 retention bonus to each teacher in the district or fund the construction of around three new elementary schools instead.
- Moreover, Randolph says he previously contacted school officials advising them to set money aside should his office lose the case.
- According to Ana C. Torres, general counsel for Orange County Property Appraiser Amy Mercado, an appeal is under consideration.
- Beyond Disney, Randolph stated he is worried other hotel owners might try a similar strategy, stating, “Potentially other hotels are going to start calling too.”