Do taxpayers receive credit for personal property taxes paid?

A credit for personal property tax paid is allowed to offset business tax, but the credit is limited to an amount that equals no more than 50 percent of the total business tax liability. Each taxpayer must deduct personal property taxes paid to the city on their city business tax return and personal property taxes paid to the county on their state business tax return. Additionally, the deduction is location-specific, meaning that taxpayers owning more than one business within a particular city or county may not combine or reallocate personal property taxes to other locations – each deduction is tied to its specific location.

The Department of Revenue does not require receipts to be attached to the returns, but each taxpayer is responsible for keeping records of their personal property tax payments for audit purposes.

Not finding answers? Submit a request

Comments

Powered by Zendesk