Business Personal Property Taxes

• Overview

• Filing & Abatements
• FAQ

Overview

In Massachusetts, material non-real estate goods used in the course of business are subject to a personal property tax. These material can range from diner chairs to dentistry machines to poles and conduits used by power companies. This tax is assessed as of January 1st and is billed in arrears. Therefore, a personal property tax bill will not be issued until the fiscal year after the year in which the business was established.  A tax bill will be issued in the fiscal year AFTER the business is closed.

Filing & Abatements

Each year, all proprietors, partnerships, associations, trusts, and corporations must file a Form of List declaring their assets and values. This form is due March 1st. If no form is filed, the office will make an estimation of value. In some cases, an inspection of the business may occur. Having no Form of List on file will make it more difficult to be granted should an abatement application be filed.

All Forms of List should be returned to the Board of Assessors at Northborough town hall by the filing deadline.

Tghere is an abatement process if the personal property tax bill is believed to be too high.  After the filing deadline, the board will review the abatement application and determine whether an adjustment in value is warranted  The deadline for filing an abatement is February 1.

FAQ

I closed my business last August but received a bill for personal property. Do I owe it?

Yes. Because personal property is billed in arrears, you will owe both this bill. It is also important that you notify the Town Clerk and the Assessor's department that your business has closed. This notification must be on letterhead or on a signed Form of List.

I work from home. Do I have to delcare any personal property?

Any property that is used solely for the purposes of conducting business is considered a personal property taxable asset.

Can I get an extension on the filing deadline?

Requests can be made to the Assessor for a filing extension and are granted on a case-by-case basis.

Can I get a copy of my business's Form of List from last year?

No.  By state law, we cannot distribute the previous year's Form of List. We strongly recommend maintaining a spreadsheet of assets and updating it each year.