Reduce and lower your business personal property taxes assessment – Los Angeles, CA appeals
What Are Business Personal Property Taxes? 571-L Form
Most jurisdictions in the US tax your Business Property and Personal Property used in your business – once per year. Typically, tax rates are reasonable (really?), but many of these cities and counties have suffered revenue shortfalls in recent years, so tax rates have often risen. But many business owners (particularly new owners) wonder what is taxed and when are taxes due? Businesses should take advantage of our free evaluation to see If they can effectively appeal to reduce and lower their business property tax assessment bill. Call now at 877-788-2937.
What Is Business Personal Property? Yes, you can appeal! 571-L Form
You are “safe” if you report any business and equipment used to conduct your daily business responsibilities. The items that you own, lease or “control” to accomplish your activities typically subject to taxation, include:
- Machinery and other equipment;
- Computer systems and servers:
- Other business equipment, e.g. dedicated fax machines, photo copiers, digital cameras, etc.;
- Telephone systems you own or lease;
- Smartphones the business owns;
- Furniture, including desks, chairs, credenzas, and bookcases;
- Office supplies.
Often, jurisdictions tax inventories separately. Some government entities treat inventories as non-business-personal property since these are for sale. It all depends on where you have your home office and your local government Business Personal Property tax rates. These rates may or may not be comparable to your state’s corporate tax rate or real property rates. Businesses should take advantage of our free evaluation to see If they can effectively appeal reduce and lower their business property tax assessment bill. Call now at 877-788-2937.
When Is Your Business Personal Property Value Calculated? 571-L Form
Your local government specifies the date on which your company’s personal property is assessed. Typically, the usual date is January 1. If your local government taxing entity is on a fiscal year, upon which some local governments operate, there may be a different date, usually on the first day of the new fiscal year. Businesses should always appeal and try to lower their assessment.
Leased Business Personal Property – 571-L Form
In most cases, the local government tax assessor taxes both the lessor and lessee, but not all leases are taxed at the same rate. The legal owner of the property, particularly when you have some business property and equipment on short-term leases, is taxed by their local government tax assessor, but gives the business appeal rights to challenge the assessment and possibly reduce it substantially. Businesses should take advantage of our free evaluation to see If they can effectively appeal reduce and lower their business property tax assessment bill. Call now at 877-788-2937.
Are There Federal Taxes on Business Personal Property?
Some US states have state-wide taxes on “tangible personal” property your company owns or controls and uses in their everyday operations. However, these are valid tax deductions for your business when you file your company tax return.
The IRS refers to that equipment that is “ordinary and necessary” to conduct business. If that sounds like it lacks details, you’re right. The IRS, which can write pages (if not chapters) on what many tax professionals consider minutiae, is quite vague on exactly what is “ordinary and necessary” business personal property.
Those items you use daily to conduct your business, such as computers and fax machines, are graphic examples of your business personal property and usually qualify as “ordinary and necessary” business personal property. These are typically allowed as federal tax deductions on your company’s federal return.
Businesses should take advantage of our free evaluation to see If they can effectively appeal reduce and lower their business property tax assessment bill. Call now at 877-788-2937.
Our Los Angeles, California based tax representation firm can assist you with lowering your business property taxes, we serve companies in Los Angeles, Orange County, Riverside, San Bernardino, Ventura, San Diego, and all other California counties, 571-L Form