As the new year begins, it is time to start thinking about and preparing for filing your Personal Property Tax Returns. Personal Property Tax Returns have a new filing date of March 15th and can no longer be extended. Returns filed after March 15, 2016 will be assessed a penalty of at least 5%. The penalty will increase the later the Personal Property Tax Return is filed.
If you would like help with your Personal Property Tax Returns, we will need to receive your information no later than February 1, 2016. We will need the property tax form and asset schedule which was provided to you by the county and a list of additions and deletions.
Income tax laws now allow you to expense more of the small equipment you buy, rather than capitalizing and depreciating it. These rules do not apply to the personal property report. You should still generally list all assets not immediately consumed in the business with a cost over $500 and all non-inventory supplies. This $500 recommendation is not a figure provided by the county, but rather our suggestion as to what is reasonable.
Depending upon your industry you may need to adjust the $500 threshold either up or down. Remember that supplies not used in inventory, such as stationery or other paper, should be listed.