Personalty taxes are levied on business furnishings and
equipment that you report to the Shelby County Assessor each year.
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The Assessor furnishes a schedule to each business owner no
later than February 1 of each year. Included on this schedule is a detailed list of all
tangible personal property owned by the business. The Assessor determines the value of
your personal property based on the information supplied.
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It is the duty of the taxpayer to fully list tangible
personal property, including other information required by the Assessor, to place a
correct value on the property, and to sign and return the schedule prior to March 1, of
the same year. If the schedule is not returned to the Assessor by the due date a forced
assessment is given*.
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Anyone in business on January 1st of
any given year is responsible for the entire year's tax, even if they ceased operations prior
to December 31st of that same year.
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If a business is no longer operating in Shelby County:
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- Contact the County Clerkâs office at (901) 545-4249 to
ensure that the business license (for those businesses requiring one) has been canceled.
- Contact the County Assessor at (901) 379-7333, as to the
disposition of the equipment, so your account can be removed from the next years' tax
rolls.
- Contact the County Trustee at (901) 521-1829 concerning your
tax liability.
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*REMEDY FOR EXCESSIVE FORCED ASSESSMENTS
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New relief is now available for taxpayers with forced assessments of business tangible personal property.
Taxpayers with forced assessments exceeding a threshold of 25% or more higher than the standard
value otherwise applicable, may have their assessment reduced to the threshold amount by direct
request to the Assessor. The remedy is only applicable back to the 2007 tax year.
Examples of thresholds and relief assessments:
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A)
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If the forced assessment is $25,000, and the standard value assessment would
have been $5,000, the threshold is $6,250 (25% higher than the standard value),
and the relief assessment would be $6,250.
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B) |
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If the forced assessment is $25,000, and the standard value assessment would have
been $22,000, the threshold would be $27,500 (25% higher than the standard
value), and no relief would be due.
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Deadline for filing:
The deadline for filing a request for forced assessment relief with the Assessor is March 1 of the second
year following the year of the forced assessment, or earlier if the city of county has filed suit to collect
the tax (an extended deadline of September 1, 2009 applies for tax year 2007 only).
Other requirements:
If you are requesting relief, you will be required to complete a tangible personal property schedule
listing cost of equipment (including vehicles) used in the business as of January 1 of the year of the
forced assessment, grouped by year acquired for each item. A copy of your federal income tax return
may be helpful in supplying this information.
Delinquent personalty taxes based on forced assessments:
If taxes are just now being paid on a forced assessment, and an appeal of the forced assessment has not
previously been filed with the State Board of Equalization, then 1.5% interest and penalty will be owed
on the tax due, computed from the original delinquency date. If the forced assessment was under
appeal, and the undisputed portion of the tax was paid before the delinquency date in an amount not
less than the amount paid in the prior year, then simple interest applies while the appeal is pending.
For questions regarding delinquent Shelby County property taxes, contact Trustee Customer Service at
901.521.1829.
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