1. IMPORTANT NOTICE FOR TAXPAYERS
As part of Ohio’s tax reform initiative, the state’s recently passed budget bill, Am. Sub. H.B. 66 (126th General Assembly), phases out the personal property tax on general business machinery and equipment, inventory, and furniture and fixtures over four years. The list percentages for the phase-out period can be found in Ohio Revised Code (R.C.) 5711.22 and are as follows:
| Return Year | List Percentage |
| 2007 | 12.50% |
| 2008 | 6.25% |
| 2009 | 0.00% |
Additionally, all manufacturing equipment first placed in service in Ohio by a manufacturer on or after Jan. 1, 2005, is immediately exempt. "Manufacturing equipment" includes machinery, equipment, tools, implements and patterns, jigs, dies and drawings used at a manufacturing facility by a manufacturer. A "manufacturing facility" is a facility or portion of a facility used for manufacturing, mining, refining, rectifying or combining different materials with a view to profit. In addition to supplying new definitions for "manufacturing equipment" and "manufacturing facility," R.C. 5711.16, as amended by Am. Sub. H.B. 66, provides definitions for "manufacturer" and "manufacturing inventory." New manufacturing equipment meeting this definition should be listed at 0% of its true value beginning with the 2006 return (R.C. 5711.22).
"Schedule 5" has been added to this form to report only that manufacturing equipment that is exempt as a result of this change. All manufacturing equipment first used in business prior to Jan. 1, 2005 is required to be listed and assessed in Schedule 2.
Note that the new manufacturing definitions apply to property required to be listed in Schedule 2. Only taxpayers meeting the new manufacturing definitions should report the value of manufacturing equipment, placed in service prior to Jan. 1, 2005, in Schedule 2. All other equipment should be reported in Schedule 4.
Am. Sub. H.B. 66 also phases out the grain handling tax. For the 2007 form 925, Return of Grains Handled, and Schedule 6 – Grains, are no longer required to be completed or filed.
Am. Sub. H.B. 66 changed the method used to calculate the interest rate applied to personal property tax underpayments and overpayments, effective July 1, 2005. Previously, the interest rate was equal to the federal short-term rate plus 3%. Under revised law, the interest rate will be equal to the federal short-term rate without any adjustment.
Telephone and inter-exchange telecommunications companies – Previously classified as public utilty taxpayers – have been redefined as general business taxpayers under ORC 5711, effective with the 2007 return. Even if a telephone or inter-exchange telecommunications company has property in only one Ohio county, form 945TL, 945IX (Long Distance) or 945 IX (Other) must be filed so that the value of the property reported can be accurately apportioned. These forms are required to be filed between February 15 and April 30 (June 15 as extended) every year.
Taxpayers having taxable personal property with a taxable value of less than $10,000 are not required to file a return.
For further information, please contact the Auditor's Personal Property Tax department at (513) 732-8149 or the Ohio Department of Taxation at 1-888-644-6778 or www.state.oh.us/tax.
The County Auditor, as an agent for the Ohio Department of Taxation, is responsible for administering the Tangible Personal Property Tax laws.
According to the Ohio Revised Code Section 5701.03, "Personal Property" includes every tangible thing that is the subject of ownership, whether animate or inanimate, including a business fixture, and that does not constitute real property as defined in section 5701.02 of the Revised Code. Generally speaking, anyone in business in Ohio is subject to tangible personal property tax on equipment, furniture, fixtures and inventory used in business. Every business operating in Ohio, with the exception of financial institutions and public utilities, must file a tangible personal property tax return annually with the Auditor. If the business operates in more than one county in Ohio, the return is filed directly with the Ohio Department of Taxation. The tax return must be filed between February 15 and April 30. An extension of up to forty-five days may be granted by the Auditor.
EXTENSIONS MAY BE SUBMITTED VIA EMAIL TO ppextension@co.clermont.oh.us.
If any tax is due, at least one-half must be paid within ten days of filing the return or ten days after the close of the filing season. If the return is not filed, the taxpayer may have a forced assessment levied against him/her. If the tax is not paid, a lien is placed upon the tangible personal property as well as the real property in the taxpayer's name. If the tax is not paid after a certain period of time, as determined by the County Treasurer, the Treasurer has the option to seize the property and sell it at public auction. A list of unpaid taxes and taxpayers is published annually in the local newspaper. The Tangible Personal Property Tax is distributed back to the local taxing districts in the same manner as real estate taxes.
Personal Property Tax is a current year tax, therefore, anyone in the State of Ohio engaged in business on January 1 must file a Personal Property Tax return for the current year. Prior year values may be used to report for the current year. If anyone engages in business after January 1, they are required to file a New Tax Payer Return within 90 days of starting business, estimating the business activity for the remainder of the year.
File the Taxable Business Property form 920 and Ohio Balance Sheet form 921, in duplicate with your County Auditor, Linda L. Fraley at 101 East Main Street, Batavia, Ohio 45103, with check attached, made payable to the Clermont County Treasurer, between February 15 and April 30. No payment is required if the total tax due is less than $2.00.
To be filed timely, the return must be postmarked on or before the due date. To insure timely delivery to and receipt by the County Auditor, certified mail should be used, or the return may be filed in person with the County Auditor.
If the return is received late, the assessor will add a penalty of up to 50% of the remaining listed value after the $10,000 exemption is applied.
Other General Information: (General Information)
920 Tax Rates for 2008 and 945 Tax Rates for 2008
Tax rates for years prior to 2004
TPP-920 Booklet County Return of Taxable Business Property
TPP-945 Booklet Inter-County Return of Taxable Business Property
New Taxpayer extension request form (993 NT)