What Is Business Personal Property?
Tangible property owned, claimed, possessed or controlled in the conduct of a profession, trade or business may be subject to property taxes.
The Low-Value Ordinance Exemption has been increased to $10,000. Property valued at $10,000 or less will be exempt. This exemption does not require any action on the part of taxpayers to claim.
In general, Business Personal Property is all property owned or leased by a business except:
- Real Property (land, buildings and other improvements), and
- Business Inventory (items held for sale)
Business Personal Property includes, but is not limited to:
Partial list of Business Personal Property- Machinery
- Equipment
- Furniture
| - Photocopiers
- Computers
- Leased Equipment
| - Tools
- Molds & Dies
- Supplies
|
Business Personal Property is valued annually as of January 1.
Business Property Statement (571-L Forms)
- Businesses are required by law to file an annual Business Property Statement if their aggregate cost of business personal property exceeds $100,000, or if the Assessor requests the information.
- Separate filings are required for each business location.
- Statements are due April 1.
- A 10% penalty will be applied if a statement is received after May 7 (the due date is the next business day when date is on a weekend or legal holiday)
- If you need to file or for more information on how to file, please call (714) 834-2930.
- Business Property Statements are confidential documents and are held secret by the Assessor.
e-File Your Business Property Statement
(mid-February to June 30)
Leased Equipment
Both the Lessor and the Lessee should report equipment that is on lease on January 1 to the Assessor. Not all leased equipment is assessed in the same manner. Several factors determine how leased equipment is assessed, including:
- Assessability
- Assessee
- Leases with exempt entities
- Situs (Street Address)
- Type of Lease
The California Assessors' Association adopted a standardized leased equipment reporting format that leasing companies can file with their annual Business Property Statement.
Frequently Asked Questions
State of California Publications
The California State Board of Equalization publishes a series of Assessors' Handbooks to provide guidance to local Assessors. View the Assessment of Personal Property and Fixtures (AH 504) handbook.
