Business tangible property taxes

Business tangible property tax form - to receive a copy of this form please call the office or email businesspp@montgomerycountyva.gov.

The Commissioner of Revenue is responsible for assessing tangible property owned or used by businesses. Business tangible property includes, but is not limited to, office equipment (including land line or cell phones), office furniture and fixtures, all computer equipment, heavy equipment, trucks, tractors, trailers, and machinery & tools. This is not a complete list of taxable items. Any item used in a trade or business must be reported, whether that item is a personal item or not. There is no complete list of items that should be reported. Just because something isn’t listed here doesn’t mean it isn’t taxed. ANY and ALL items used in a trade or business are subject to assessment and taxed. All items must have a legitimate original purchase price for the original year it was purchased, no matter where or how they were acquired.

Business tangible property is assessed on a declining scale based on the cost and year of acquisition. A list of all business equipment, furniture and fixtures and computer equipment is required to be attached to the return. The attachment must show date of acquisition and original cost.

Example: I purchased a chair from a garage sale for $2.00. I need to determine what year the chair would have been purchased new and what price the chair would have been in that year. The chair was new in 2010, and the price of that chair in 2010 was $60.00. I will list this chair on my asset list as a chair purchased in 2010 for $60.00. That purchase price would then be depreciated by the percentage associated with that purchase year. That depreciated value is used to calculate the tax owed for the chair.

Tractors and semitrailers that carry apportioned plates and are for hire must file a report showing interstate miles traveled in each state. Additional information on the assessment of these vehicles may be obtained by contacting the Commissioner's Office.

A business tangible property return must be filed annually by May 1 for all business tangible personal property owned as of Jan. 1. We do not accept form 762 as a complete filing for business tangible property. Our provided form must be used to constitute a complete filing. The Commissioner's Office uses a statutory assessment program for businesses that do not file a complete form. Taxes are due Dec. 5. Please direct any questions about assessment to the Commissioner's Office. For questions about billing, contact the Treasurer's Office.