SB573

Senate Bill 573 aims to clarify the methods and terminology used for property tax valuation in Arkansas by codifying specific definitions into state law. It establishes formal definitions for standard appraisal methodologies, including the cost approach, income approach, and market approach. Additionally, the bill defines technical terms related to depreciation and obsolescence, such as physical deterioration, functional obsolescence, and economic obsolescence. By providing these statutory definitions, the bill intends to offer a consistent framework for determining fair market value as required by the Arkansas Constitution. These definitions apply to assessment years beginning on or after January 1, 2025.