Income and Expense Form

Dear Salem Taxpayer,

The Board of Assessors has begun the process of updating all Fiscal Year 2025 assessments as required by Mass. General Law annually. The Department of Revenue requires that commercial, industrial and other potential income-producing properties be valued using a minimum of two of the three standard appraisal approaches to value. The information this form (I&E Form) along with all other information gathered will be used to establish income and expense schedules for potential income-producing properties in the community. These schedules will become the basis for utilizing the income approach as one of the appraisal approaches to value. All information will remain confidential.

It is imperative that you return this form to the Board of Assessors within sixty (60) days. April 01, 2024 is the due date.

This request was made pursuant to Massachusetts General Law Chapter 59, Section 38D which states that a “Board of Assessors may request the owner or lessee of any property to make a written return, under oath, within sixty (60) days, containing such information as may reasonably be required by it to determine the actual fair cash valuation of such property. Failure of an owner or lessee of real property to comply with such request within 60 days after it has been made by the board of assessors shall be automatic grounds for dismissal of a filing at the appellate tax board. The appellate tax board and the county commissioners shall not grant extensions for the purposes of extending the filing requirements unless the applicant was unable to comply with such request for reasons beyond their control or unless they attempted to comply in good faith. If any owner or lessee of real property in a return made under this section makes any statement which they know to be false in a material particular, such false statement shall bar them from any statutory appeal under this chapter.”

In addition to the potential dismissal of an abatement denial appeal at the ATB, the Board of Assessors reserves the right to add a penalty to your tax bill permissible under this statute: “If an owner or lessee fails to submit the information within the time and in the form prescribed, the owner or lessee shall be assessed an additional penalty for the next ensuing tax year”.

If an owner or lessee of Class one, residential (e.g., apartments 4 units+) property fails to submit the information within the time and in the form prescribed, the owner shall be assessed an additional penalty for the next ensuing tax year in the amount of $50 but only if the Board of Assessors informed the owner of lessee that failure to submit such information would result in the penalty.

If an owner or lessee of Class Three, commercial or Class Four, industrial property fails to submit the information within the time and in the form prescribed, the owner shall be assessed an additional penalty for the next ensuing tax year in the amount of $250 but only if the Board of Assessors informed the owner or lessee that failure to submit such information would result in the penalty.

You may submit your own rental and expense schedule if it is CLEARLY BROKEN DOWN PER PROPERTY. It must contain all information requested and the lease information is itemized by tenant and includes the lease period dates (please attach Assessor’s form so we can properly identify the property). The form should be completed according to the following guidelines:

1. The FY25 assessment date is January 1, 2024. Therefore, all information should be as of approximately December 31, 2023.*
2. If the property is “owner occupied”, please put that on the front side “Lease Summary” section and still fill out the operating expense section as that information is useful in our analysis.
3. All leases should be individually listed by tenant. Please Do Not summarize the information together with other leases of other properties that you own.
4. If the property is regulated, please submit the applicable standard government forms.
5. Please submit any other information such as building data, property condition, recent appraisal information, deed restrictions, or any other information which would have abnormally affected either income levels or operating expenses of the property.
6. Must include all Billboard, Cell/Cable Tower, Antenna leases or agreements if applicable.
7. Annual Expenses for the property are those necessary to the operation of the real estate only (not the business). Prorate any expenses which might cover more than one annual period.

*Fiscal Year 25’ uses the income from calendar year 2023.

This request is for income & expense information relative to the operation of Real Estate and not the business use with the real estate. In accordance with State Law [M.G.L., ch. 59 § 52B], Information submitted on the forms is not available to the public for inspection and will remain confidential.

Your cooperation is greatly appreciated! Please return the form to:

Assessor’s Office - City Hall

93 Washington Street

Salem, MA 01970

Or send via email to scortes@salem.com

If you have any questions, please call the Assessing Department at (978) 619-5608

Hours of operation:

M-W = 8:00am – 4:00pm

Thursdays = 8:00am – 7:00pm

Fridays = 8:00am – 12:00 noon