Real estate taxes, often referred to as property taxes, are taxes imposed on non-movable property such as a house, condo, or rental property. On the other hand, personal property taxes are taxes imposed on tangible and movable personal property, including transportation vehicles like cars, airplanes, boats, trailers, or mobile homes. The main difference between the two is that real estate taxes cover non-movable property while personal property taxes cover movable property. Personal property taxes are generally paid at the state or local level.
However, some areas do not require personal property taxes to be paid at all. The amount of savings depends on the exemption and the amount of exemption allowed by each taxable unit. If you fail to file your return by the deadline or don't file it at all, you will be imposed a penalty equivalent to 10% of the amount of taxes that are ultimately imposed on the property. Vehicles are considered immovable property when they are attached to the ground, such as a mobile home anchored with steel straps.
It's important to note that not only is your home subject to these taxes, but also any immovable land that is considered yours, including buildings, land, and any commercial property you may own. In addition, some states impose a fixed rate for all types of personal property, while other states have different rates for different types of personal property. If you're 65 or older, your residential home qualifies for more exemptions which will result in greater tax savings. Mobile items (vehicles, business equipment and furniture) are taxed at a different rate than real estate - the rate applicable to personal property.
If you significantly improve your home (other than regular repairs and maintenance), tax limits may increase. The assessed value notice contains a description of your property, its value, exemptions and an estimate of the taxes that may be due. The personal business property tax is an ad valorem tax on tangible personal assets that are used for the production of income. Surviving spouses (age 55 or older) of a spouse with a disability at the time of their death will benefit from the tax limit. Taxes don't have to be difficult; TurboTax will ask simple questions about you and provide you with the deductions and tax credits you're entitled to. If you have any further questions about local real estate taxes and local personal property taxes, do not hesitate to contact the Gregg Appraisal District's Personal Business Property Department and they will be able to help in any way they can.
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