Are you sending more tax dollars to the local assessor than is legally required?

Have you spent any time on property tax planning?  More likely than not, property taxes are one of your largest recurring expenses.  It’s important to separate out tangible personal property from real property – otherwise, you might be double-taxed.  To avoid making the same tax mistakes year after year, let Plante & Moran’s SALT team help you analyze your fixed asset records and personal property tax obligations with the following services:

Personal property tax asset review

To avoid double taxation, we conduct a review to separate real property and personal property.  In addition, your personal property tax returns are reviewed to make sure that the appropriate asset classifications are identified in order to apply the correct depreciation multipliers.

New construction analysis

This detail review of your new or expanded construction records allows for allocation of construction costs to real property, personal property, and intangibles – which can result in reduced tax bills, both initially and in the future.  Since the determination of real property versus personal property can differ between state property tax laws and U.S. income tax laws, we encourage clients to perform both a property tax new construction analysis and a federal cost segregation study.  When these services are performed concurrently, you save on professional fees as a result of efficiencies.

Property tax abatement and exemptions

Real and personal property tax abatements may be granted for a variety of reasons – because of the specific industry you belong to, because of the specific location you chose or the group of employees you hired.  Typically, application for such abatements must be on hand before the acquisition, construction or installation of property.  Plante & Moran can guide you through the process of identifying areas of opportunity and securing abatements and exemptions. 

For example, our SALT team is aware of special exemptions for pollution controls that may benefit your company both financially and as a good neighbor within your community.