The collection of Personalty Tax is also the responsibility of the Office of the Trustee.
Business Tangible Personal Property Assessment
All business tangible personal property is subject to an ad valorem tax under Tennessee law.
Business tangible personal property is defined as movable, touchable property used in a business, including furniture, computers, machinery, tools, supplies, raw materials, vehicles, scrap, billboards, tanks, pipelines and other property not listed as real estate.
In Metropolitan Nashville, as in most other jurisdictions across the state, an audit process has been added to ensure that this program is accomplished in the most equitable manner possible so it is fair to all taxpayers.
Each year, prior to February 1, you will receive in the mail from the Assessor’s office a TAX SCHEDULE B, which will serve as the reporting form for the tangible personal property owned or leased by your business.
This form must be completed, signed and filed with the Assessor of Property prior to March 1. If it is not filed by that time, the Assessor is required by law to place a value on your property, using the best information available at the time. You also will be subject to penalty under the law.
The Nashville Metropolitan Government has contracted with Tax Management Associates, Inc., (TMA), a professional consulting firm, to assist in the audit and review of the tax schedules. Selected businesses will be audited by TMA.
Dates To Remember
- FEBRUARY 1
Your Receipt of Tax Schedule B
- MARCH 1
Your Deadline for Filing Return with Assessor
- JUNE 1
Equalization Board Begins Appeal Hearings
- SEPTEMBER 1
Filing Deadline for Amended Schedules
- OCTOBER 1
Trustee Begins Mailing of Tax Bills
QUESTIONS AND ANSWERS
Q: Who has to file a Tangible Personal Property Schedule?
A: Every business owner in Tennessee, whether incorporated or not, is required to file the schedule annually with the Assessor of Property for the county in which the business is located.
Q: What is considered tangible personal property?
A: Furniture, computers, machinery, tools, supplies, raw materials, vehicles, scrap, billboards, tanks, pipelines -- just about any property not considered real estate falls under the definition. If you have any questions about whether an asset fits the description, contact the Division of Assessment.
Q: What if I'm a small business operator and don't have a staff of accountants to help me?
A: It's best to use the TAX SCHEDULE B form whenever possible, but we will provide small businesses (generally those with less than $50,000 in reportable assets) with a short form that is easier to use.
Q: What happens if I don't file the schedule prior to March 1
A: The law requires the Assessor's Office to place a value on your tangible personal property, which may be higher than you would have reported. Your only appeal route then is through the Metro Board of Equalization. You also may be assessed a penalty for failing to report.
Q: Will I be audited?
A: Every business owner is subject to selection for audit. A member of the Assessor's staff will review each completed form, and where necessary, work with the business owner to obtain an accurate reporting. Audit methods vary based on the size and type of business involved. An inspection of the business premises may be required, or a detailed examination of records of purchases may be needed. You can help by doing the most thorough job possible when you complete the schedule.
Q: How will I know if my assessment is changed?
A: You will receive an Assessment Change Notice from the Assessor's Office, in May, indicating any changes. If you disagree with the changes, you should contact the Assessor's Office to request a review and provide any documentation you have to support your case. It you still don't agree with the Assessor's Office action, you may file an appeal to the Metro Board of Equalization, which begins its meetings on June 1.
For information regarding appraisal values,
contact the Assessor's Office at (615) 862-6080.
For information regarding tax amounts,
contact the Office of the Trustee at (615) 862-6330.