Personal Property Assessment and Taxation

150-303-661 (Rev. 11-21-23)

Personal Property Assessment

and Taxation

All personal property is valued at 100 percent of its

real market value unless exempt by statutes. Per-

sonal property is taxable in the county where it is

located as of the assessment date, January 1 at 1 a.m.

Taxable personal property

Taxable personal property includes machinery,

equipment, furniture, etc., used previously or pres-

ently in a business, including any property not cur-

rently used, placed in storage, or held for sale.

Statutes state that if the item of property is “affixed

to” or “erected upon” land or buildings and isn’t

“moveable,” it’s real property. Conversely, if it’s not

“affixed to” or “erected upon” land or buildings and

is “moveable,” it’s personal property. (ORS 307.010,

307.020, OAR 150-307-0010).

Moveable. Items of property that can be and are

readily moved are personal property. A desk, though

heavy, is generally considered moveable. A chair

with casters is obviously moveable. Freestanding

appliances may be heavy but are generally classed as

personal property. (OAR 150-307-0010).

Tax–exempt personal property

These items are exempt from property tax:

• Intangible personal property. Money at interest,

bonds, notes, shares of stock, business records,

computer software, surveys and designs, and the

materials on which the data are recorded (paper,

tape, film, etc.) (ORS 307.020).

• All items held exclusively for personal use.

Household goods, furniture, clothing, tools, and

equipment used exclusively for personal use in

and around your home (ORS 307.190).

• Farm animals. Livestock, poultry, fur-bearing ani-

mals, and bees (ORS 307.394).

• Inventory. Items of tangible personal property

which are or will be sold in the ordinary course of

business (materials, containers, goods in process,

and finished goods) (ORS 307.400).

• Farm machinery and equipment (OR S 3 07. 394).

• Environmentally sensitive logging equipment

(OR S 3 07. 8 2 7 ).

• Licensed vehicles other than fixed load/mobile

equipment (ORS 801.285).

Filing your personal property tax return

Each individual, partnership, firm, or corporation

that has taxable personal property must file a return

by March 15.

Major industrial properties appraised by the Oregon

Department of Revenue will report on an industrial

property return furnished by the department.

For all other accounts appraised by the county asses-

sor, a return form may be mailed to you by the county

assessor before January 1 if you were assessed the

previous year. You must report property you own

or had in your possession as of January 1 at 1 a.m.

If you don’t receive a form from the assessor, you’re

still obligated to obtain and file a personal property

tax return. There is a penalty for late filing. If you

need help completing the form, contact your county

assessor’s office.

If you sell your business, notify the county assessor

to avoid future liability on the personal property.

Penalty for late filing

If you report taxable personal property on a Confi-

dential Personal Property Return, the penalty charge

increases periodically. If your return is filed after

March 15 but on or before June 1, a penalty of 5 per-

cent of the tax will be charged. If the return is filed

after June 1 but on or before August 1, the penalty

increases to 25 percent of the tax. After August 1, the

penalty increases to 50 percent of the tax.

If you report taxable personal property along with

real property on an industrial property return sent

to us and your return is filed late, a penalty for late

filing will be $10 for each $1,000 (or fraction) of total

assessed value. This penalty won’t be less than $10 or

more than $5,000 (ORS 308.295).

Paying your tax

Property tax statements are mailed to taxpayers in

late October. You must pay at least one-third of your

tax bill by November 15 to avoid interest charges.

You receive a 3 percent discount if you pay the full

amount due by November 15. If you pay two-thirds

of the full amount by November 15, you receive a

2percent discount. If you choose to pay in thirds, the

second payment is due by February 15 and the third

by May15.

(over)

www.oregon.gov/dor

150-303-661 (Rev. 11-21-23)

Personal property taxes become a lien on July 1 against

any and all of the assessed property, as well as on per

sonal property assessed in the same category. The

taxes may become a lien against all personal property

owned or in the possession of the person in whose

name the property is assessed. The taxes are a debt due

and owing from the owner of the personal property.

Appeals

If you feel the county assessor has estimated the

value of your property incorrectly, you have the

right to appeal, but your appeal must be based on the

property’s value, not on the amount of taxes owed. To

receive a change in your assessment, you must con-

vince your county property valuation appeals board

that your property is incorrectly valued. You must

support your belief with evidence such as appraisal

reports and comparable sales. You also have the right

to appeal if you believe you were charged a late filing

penalty in error.

If you report your personal property on a combined

industrial property return to us, you must appeal

to the Magistrate Division of the Oregon Tax Court

instead of your county property valuation appeals

board.

For more information on property value appeals, see

How to Appeal Your Property Value, 150-303-668.

Do you have questions or need help?

www.oregon.gov/dor

questions.dor@ dor.oregon.gov

other languages.