Q. What is Personal Property and how is it taxed?

A. Personal property is tangible property other than real estate such as, machinery, furniture, pipelines, wires and poles. All personal property owned by a registered business organization (sole proprietorship, partnership, trust or corporation) is taxable unless expressly exempt. Personal property is taxable in the municipality where the property is situated on January 1st each year. If a business leaves the municipality after January 1, personal property tax is due for the entire year unless an application for abatement is timely filed and granted. As of January 1, 2003, businesses with total personal property of less than $10,000 in value will be exempt.

FILING DEADLINE FOR FORMS OF LIST

Massachusetts General Law requires that every business owning or holding taxable personal property file a FORM OF LIST annually by MARCH 1. The Lincoln Board of Assessors mails a FORM OF LIST to known businesses on January 1. A Form of List is not considered filed unless it is complete (lists all taxable personal property) and signed. If a FORM OF LIST is not filed no abatement may be granted. Forms are available on the Division of Local Services web site.

PERSONAL PROPERTY VALUATION

Personal Property is valued by using replacement cost method minus depreciation, based on age and condition. Every three years during the town’s revaluation, all businesses are visited and taxable personal property verified.

PERSONAL PROPERTY ABATEMENT

Personal property abatements must be filed with the Board of Assessors within 30 days of the mailing of the first tax bill of the fiscal year. Forms are available on the Division of Local Services web site.