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Personal Property
Form of List (State Tax Form 2)
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Each year, on or before March 1, all persons and businesses subject to
taxation in the Town of Brookline must submit a list of all their
personal property that is not exempt from taxation. All personal estate
items must be reported to the Board of Assessors on
State Tax Form 2
known as the Form of List. Forms of List are available at the temporary
Assessors Office, 959 West Roxbury Parkway, (Putterham Library, entrance
to the left) or the temporary Town Hall, Treasurer’s Office at 194
Boylston St. (old Lincoln School) or by clicking here |
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Individuals owning or holding household furnishings and effects not
located at their domicile on January 1 must also file
State Tax Form 2HF
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| Literary, temperance, benevolent, charitable
or scientific organizations that may be entitled to an exemption from
personal property taxes under GL Chapter 59 § 5 Clause 3 must file State
Form 3ABC listing all property that they own or hold for these purposes
on January 1. 3ABC Form |
| Taxpayers are required to submit the purchase price of each item or
group of items reported. They are not required to estimate the market
value of the property included on the Form of List. The Board of
Assessors will determine the valuation, based on standard cost and
depreciation tables and in accordance with appropriate appraisal
methodology. If a taxpayer does not submit a Form of List, the assessors
will estimate a value of all taxable assets based on the best
information available. |
| NOTE: The Form of List is NOT open to public inspection. |
| What is Personal Property? |
| Personal property is "tangible" property (that is, physical) that is not
real estate. All tangible personal property is subject to tax unless
exempted by statute. Tangible personal property can range from the
furniture & fixtures in a beauty salon to the X-ray machines in a
dentist office to the poles & wires owned by a utility company. |
| Can Personal Property be Exempt? |
| Individuals are entitled to an exemption for household furniture and
effects at their place of domicile. Tools of a trade used by plumbers,
carpenters, auto mechanics and other trades are exempt from the personal
property tax. Computers may be exempt from tax in cases where they are
owned and utilized by a corporation for certain selling or
administrative functions, such as a cash register. Machines owned by
corporations that are directly used in dry cleaning or laundering
processes or to refrigerate goods or air condition premises, are exempt.
Machinery used in the conduct of other businesses is taxable except:
machines that are stock in trade, inventory for sale, or inventory for
lease or under lease. Intangible personal property is exempt from the
property tax. Intangible property includes stocks, bonds, cash,
mortgages and other evidence of ownership of property rights. Personal
property subject to some other type of local tax is also exempt from the
personal property tax; motor vehicle excise and trailer excise, ship and
boat excise, the farm animal and equipment excise are all included in
this category. top |
| Property owned by Individuals, Sole Proprietors, Partnerships, & Trusts |
| In general, all tangible personal property located in Massachusetts
owned by individuals, sole proprietors, partnerships and trusts is
taxable unless expressly exempt. |
| Property Owned by Business Corporations |
| For business corporations, poles, underground conduits, wires, pipes
(property generally owned by utility companies) and machinery used in
the conduct of business is taxable. Examples of taxable "machinery used
in the conduct of business" would include computers and peripherals used
to provide client or customers services, kitchen equipment of a
restaurant, or construction equipment and unlicensed vehicles. Examples
of exempt "machinery" would include property directly used in any
purchasing, selling, accounting or administrative function; inventory or
stock in trade; or personal property directly used in connection with
laundering or dry-cleaning processes, the refrigeration of goods or the
air conditioning of a premise. |
| Manufacturing Corporations (Domestic and Foreign) |
| Machinery of a manufacturing corporation (domestic or foreign) is not
subject to personal property taxation; however, poles, underground
conduits, wires and pipes of manufacturing corporations are taxable. The
Massachusetts Commissioner of Revenue determines who is a manufacturing
corporation and annually publishes a report of designated manufacturers.
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| All Other Business Corporations |
| Other business corporations such as insurance companies, public service
corporations, utilities, savings banks and cooperative banks are subject
to taxation on poles, underground conduits, wires and pipes, as well as
machinery used in the manufacture or in the supply or distribution of
water. |
| Where is Personal Property Assessed? |
| Generally, all tangible personal property is assessed in the city or
town in which the personal property is situated as of January 1 (known
as situs). The principal exception is in situations where personal
property has only a temporary location as of January 1, such as
construction equipment. In such cases, the property can be assessed at
the residence or business location of the owner. |
| Penalty for non-filings |
| There is a penalty for failing to file the Form of List pursuant to
Massachusetts General Laws Chapter 59, Section 64. A personal property
taxpayer's application for abatement may not be granted unless the
taxpayer can show good cause for failure to file timely. Further, if the
assessment of the personal estate exceeds the amount which would have
been assessed had the list been timely filed by 50% or more, then
only the amount which exceeds the 50% may be abated.
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| How can I change my personal property tax bill mailing address? |
Fill out the following form;
Personal
Property Change of Address Form and mail it to the Brookline
Board of Assessors.
Town of Brookline Personal
Property Brochure
For additional Frequently Asked Questions about business personal
property click on the following link to the
Massachusetts Department of Revenue Web-site |
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| For additional questions about personal property taxes in Brookline
please call the Assessor’s Office at, 617-730-2060 or e-mail us at,
assessors@town.brookline.ma.us
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