The phrase “dark store” sounds more like part of an elaborate Halloween prank, or perhaps a haunted house or plotline in a horror movie. Instead, the phrase refers to a seemingly arcane debate over property taxes — only the issue has major ramifications for taxpayers, Kansas municipalities and some of the country’s most prominent retailers, such as Walmart, Target and Home Depot. The fight, which has raged in Kansas and scores of other states, boils down to how big box stores should be considered for property tax purposes. Municipalities have attempted to appraise the properties as if they were occupied and raking in revenue, with the valuation tied into the value of a building’s lease. But retailers have fought this determination, both before the Board of Tax Appeals and in the court system. They argue the store should be valued as if it were empty, with the appraisal reflecting how much a property would fetch if it were sold on the open market without a tenant. That value is generally much lower.
Source: CJonline
