How is Personal Property valued?
Based on original cost and age of all personal property in your possession as of December 31st of the prior year, the County Assessor will calculate the current replacement cost new less depreciation (Full Cash Value) of each item. The Assessed Value is based on the Full Cash Value after application of the $50,000 exemption (where applicable if qualified) and the assessment ratio for the legal class of the property. The tax rates for the county and local governmental jurisdictions in which the business operates are applied to the Assessed value. The original cost of a personal property item includes the purchase price plus all freight and installation costs as well as any paid sales taxes for the item.
STEP #1: THE APPRAISER MUST DEVELOP A CLEAR AND COMPLETE UNDERSTANDING OF THE APPRAISAL PROBLEM. This is achieved by identifying the property to be appraised, determining the purpose of the appraisal (ex. Estimating value for equitable distribution), establishing the type of value to be estimated, identifying ownership, and the date of the value estimate. STEP #2: THE APPRAISER MUST PLAN THE APPRAISAL The extent to which data is collected, confirmed and analyzed is previewed so the final value estimate is consistent with and addresses the appraisal problem. STEP #3: IDENTIFICATION OF THE SUBJECT PROPERTY The principles of contribution, identification and qualitative analysis are employed by the appraiser to distinguish common from rare qualities of properties. Principal of Identification – If the subject property has the same identifying characteristics as a genuine article has, then the subject is assumed to be genuine. Everything that is authentic has certain characteristics that are
Most personal property assessments are based on the information contained on personal property statements/affidavits filed the property owner to the assessor. The assessor uses the reported cost figures to determine the assessed value. Personal property tax rates may be the same as that for real property or may differ. If no schedule is provided, the assessor estimates the propertys value using acceptable appraisal data and techniques, taking into consideration age, cost, and type of property.
