This month, Tony’s Tip addresses two distinct personal property issues: Indiana Forms, and Michigan Assessment Notices.
March 12, 2018
INDIANA PERSONAL PROPERTY FORMS
The State of Indiana has various forms that are required to be attached to your annual Form 103-Long so that you benefit from various exemptions and abatements (See 103-Long and various other forms, located HERE). You need a Form 103-T to file your Tooling, a Form 103-P for items that should be considered pollution control assets, and a Form 106 to report Idle or obsolete assets EVERY year. Is your equipment used by an integrated steel mill? Consider using a Form 103-P5 to claim additional depreciation, therefore reducing your tax bill.
Don’t assume that because information was reported in previous years, the assessor will pick it up for this year’s return. If not reported each year, you may well lose any benefits that go with each individual Form.
VERIFY MICHIGAN ASSESSMENT NOTICES
You should have received your 2018 real and personal property assessment notices by now. Just like other notices or invoices that you receive, you shouldn’t assume they are always correct.
Unless you added building area to your facility or there was a change in ownership in 2017, your taxable assessment should not have increased more than .021 or 2.1%. If it did, you should contact your local assessor’s office and schedule an appointment with their Board of Review that meets in March.
The filing of Form 5278 and its required attachments have resulted in numerous errors – both in filing by the taxpayer, as well as in entering the data that’s submitted to the State of Michigan. This can easily result in over-assessed personal property.
Verify, verify, verify!