Under a new law that went into effect Jan. 1, the business personal property tax exemption changed from $7,900 to $50,000.
HB21-1312 concerning insurance premium property sales severance tax was signed into law June 23, 2021.
According to El Paso County Assessor Steve Schleiker, any business owner whose business personal property is $50,000 or less as per the Assessor Market Value no longer needs to pay a personal property tax or to file a yearly declaration schedule with the assessor’s office.
Business Personal Property can be defined as everything which is not real property, typically portable or movable items.
Business personal property includes:
- Furniture
- Equipment
- Machinery
- Security devices
- Signs and personal effects not otherwise exempt by law.
The state will reimburse local governments for the lost property tax revenue caused by the increase, so it will have a net zero effect on the county taxing entities.
“HB21-1312 is going to be great for our smaller mom-and-pop businesses,” Schleiker said. “The bill reinvests into the small businesses that really need this break and simplifies things for them.”
For more information about HB21-1312, contact the El Paso County Assessor’s Office at 719-520-6600 or email [email protected]. You can also visit in person at the Citizens Service Center, 1675 W. Garden of the Gods Road, Suite 2300. Public hours are 8 a.m.-5 p.m.
