Rulings favor Kohler in property tax dispute with village

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KOHLER, Wis. (AP) — Wisconsin-based Kohler Co. has scored wins in a legal battle over property taxes with the small village of the same name where it’s headquartered.

Sheboygan Press Media reports Kohler Co. filed lawsuits against the village of Kohler saying the company overpaid in property taxes. The company disputes valuations on its American Club, Blackwolf Run, Riverbend and the Inn on Woodlake properties.

A judge ruled in one lawsuit that the village must pay back Kohler Co. more than $605,000 in property taxes for the 2012 tax year, while another judge in a separate suit said the village must reassess property for the 2011 tax year.

A third lawsuit is pending over the 2013 tax year. Kohler Co. has asked the judge in that case to consider the $605,000 ruling and issue a summary judgment its favor. Village attorneys objected to that idea, saying it could still appeal that decision.

The main issue in the lawsuits is over the addition of “business value” to property valuations. Kohler Co. says value added based on its management and operations should have been deducted from valuations, while the village says it can’t separate the business value added to the properties.

Kristina Somers, an attorney for Kohler Co., said the company hopes the lawsuits will be resolved in a “timely manner.”

“The company is willing and prepared to pay its fair share of property taxes to the village of Kohler, and is committed to positively contributing to and fairly supporting all communities where it conducts its business operations,” Somers said in an email.

An attorney for the village declined to comment on “ongoing litigation.”