Assessing
2008 Personal Property Statement
Important Information Regarding Personal Property Taxes
The following is
some important information you should know about personal property taxes:
Tangible
personal property is defined as tangible property that is not real estate. In other words personal property is furniture, fixtures, equipment and signs that you use
in connection with operating a business. This would include but not limited to computers,
signs, racks, display cabinets, cash registers, fax machines, copiers, restaurant
equipment, coolers, etc.
Personal property is an ad valorem (according to value)
tax. The assessed value is based on 50% of the depreciated age of the actual purchase
price, including shipping, taxes and installation. During the last week of December
you will receive a Personal Property Form that is used to obtain a statement of
the value of your personal property. It is mandatory that you return the form no
later than February 20th each year. To avoid an estimated assessment you must timely
file the form.
Leased equipment should be noted in the space provided on the form.
You should not include the value of leased equipment, unless you are directly responsible
for the taxes. The leasing company will report the equipment on their own personal
property form.
If you have any question regarding the administration of personal property taxes, please feel free to contact the Assessor's Office and a member of the staff will be happy to assist you.
The following excerpts are from the Personal Property Form Instructions. Please read them over to familiarize yourself with your obligation.
- Article 9 of the Michigan Constitution provides for the assessment of all real and tangible personal property not exempted by law.
- Michigan Law requires the local assessor to send anyone he/she believes to have personal property a personal property form to obtain a statement of personal property value.
- Taxable status is based on the location of the personal property on December 31st of each year. As long as you had personal property in East Lansing on that one day, you will be assessed for the entire year, regardless of whether you go out of business or move out of the City. You cannot be assessed for the same equipment anywhere else. The same holds true if you move into the City after December 31st. If you moved in on January 3rd, you will not be subject to property taxes until the following year.
- Anyone receiving a personal property form must complete it and return it to the assessor by the statutory due date of February 20th annually, even if they have no assessable property to report.
- If the recipient of a personal property form does not return the form, it is the duty of the assessor to place an estimated value on the assessment roll.
- Failure to submit a form will jeopardize your right to file any appeal with the State Tax Commission.