Intangible property-definitions. 06LSO-0167.C1
FISCAL NOTE
The fiscal impact is indeterminable.
The new definition of
intangible personal property that this bill proposes contains specific
references to types of intangible personal property that have not historically
been granted. The list also contains
several items for which claims have not historically been documented nor a
specific value claimed by industry. As
a result, the Department of Revenue has insufficient historical data to predict
what impact the definition may have on future valuations. To the extent that additional exemptions for
intangible personal property are granted, a resulting decrease in assessed
value of state-assessed property attributable to the intangible exemption can
be anticipated. This impact will fall
largely on counties, municipalities, and special districts, along with the
impact on the School Foundation program.
In a few instances some
state-assessed taxpayers filed their annual reports in 2005 claiming intangible
exemptions that were in excess of 50% of their unit value. Assuming similar exemption claims were filed
in subsequent years that could be documented, the counties, municipalities, and
special districts could be expected to experience a significant revenue loss.
Prepared by: Wade Hall, Dept. of Revenue Phone: 777-5235