First off, what is this?
Navigating the realm of business personal property tax might sound complex, but with Peisner Johnson by your side, it becomes a seamless journey toward savings and compliance. Let's dive into what business personal property tax entails and how our services can alleviate the burden, ensuring your peace of mind.
Demystifying business personal property tax
Business personal property tax involves two key players: the assessor and the collector. Generally, businesses file personal property tax returns with the assessor. This type of tax goes beyond land and structures, extending to tangible personal property (TPP) that includes movable assets such as machinery, equipment, inventory, and furniture.
The landscape of business personal property tax
In forty-three states, TPP is part of the property tax base, making it a significant consideration. The proportions vary, with state reliance on personal property ranging from 1.79 percent to about 29 percent. While the average state tax base's reliance on personal property has seen a decline from 11.27 percent to 9.98 percent between 2006 and 2017, the complexity and impact remain noteworthy.
The tax complexity puzzle
Tangible personal property taxes create complexity and distortions in the business landscape. These taxes influence investment decisions and sometimes push businesses to relocate for tax relief. Different types of TPP even receive preferential treatment, further complicating economic decisions
Navigating the solutions
State and local governments have options to ease the TPP tax burden. These include exemptions, assessment ratio adjustments, and streamlining tax-related procedures. The experience of states expanding TPP tax exemptions in recent years offers valuable insights for policymakers.
Our comprehensive business personal property tax services
At Peisner Johnson, we offer a comprehensive suite of services designed to streamline your business personal property tax management, minimize overpayments, and provide peace of mind. Here's how we can assist you:
Property tax amanagement
We provide an end-to-end solution to ensure your compliance with property tax regulations, allowing you to focus on your core business operations.
System setup (software, ACH setup, data testing)
Personal property tax return service
Prepare & file returns
Assessment notice & bill tracking
Real property appeals
Overpaying on real property taxes can happen to anyone, even if you have an expert property tax staff. These overpayments can significantly impact your bottom line. Our experts possess a deep understanding of local market values and diverse commercial real estate (CRE) properties. With our guidance, you can trust that you'll recover the taxes you've paid too much for, optimizing your financial resources.
Personal property appeals
Appealing personal property tax assessments is often overlooked due to the labor-intensive process. We step in to handle the complexity, ensuring that you don't miss out on potential savings. Our thorough review and appeals process can uncover hidden opportunities, resulting in significant cost reductions and valuable time savings for your business.
Other property tax services
We offer a number of solutions that help you avoid over-payments, manage costs, reduce audit risk, and make life simpler.
Accruals setup & management
Fixed asset reviews
Personal property software selection