Information Release

PP 2004-02 - New requirements in filing 2005 personal property tax returns - December 29 , 2004  

The purpose of this information release is to explain the new reporting requirements for the 2005 forms 920 and 945 and to introduce a new extension request form exclusively for new taxpayers.

Recent practices have given cause for tax representatives and statutory agents to change to or report their own mailing addresses in place of the taxpayer’s mailing address. This practice results in not only the preliminary assessment certificate but also the tax bill(s) to be sent to the tax representative or statutory agent instead of the taxpayer. The Department of Taxation has encountered numerous instances where the taxpayer address has been changed to that of a tax representative or statutory agent and the taxpayer has then changed to a different tax representative or statutory agent after filing the tax return. Given that circumstance, when the Department issues the preliminary assessment certificate it results in the certificate being returned to the Department, and the subsequent bill(s) being returned to the county treasurers, as undeliverable by the post office. Beginning with the 2005 personal property tax returns all taxpayer information, including mailing address and telephone number, is required to be submitted in the taxpayer information section of the return. Preliminary assessment certificates and tax bills associated with the current return may still be sent to the tax representative or statutory agent of the taxpayer by checking a box on the front of the tax return and completing the necessary information for the desired destination of the assessments and bills. In addition to completing the necessary mailing information to have the assessments and bills sent to someone other than the taxpayer, the taxpayer must include with its tax return at the time of filing a letter of authorization on the taxpayer’s stationery signed by a company officer, owner or partner. Failure to supply the taxpayer’s mailing address as required will constitute an incomplete return, resulting in processing delays that could cause the return to be rejected and possibly have a penalty levied against the reported taxable value if an acceptable return is not filed by the due date or as extended.

R.C. 5711.05 requires the signature of a corporate officer, partner or owner of the business entity in the declaration section of the tax return being filed. The Department will not accept any personal property tax return signed by a tax representative or statutory agent. Failure to have the return properly signed could result in processing delays that could cause the return to be rejected and possibly have a penalty levied against the reported taxable value if an acceptable return is not filed by the due date or as extended.

Also beginning with the 2005 tax year, the taxpayer is required to include the federal employer identification number (FEIN) or social security number (SSN) on the tax return. The Personal Property Tax Division is moving towards an identification system utilizing those numbers instead of an account number unique to personal property. Failure to supply this information, again, could result in the rejection and possible penalizing of the reported taxable value if an acceptable return is not filed by the due date or as extended.

R.C. 5711.13 requires taxpayers having tangible personal property located in more than one Ohio county to file the inter-county return, form 945, with the Tax Commissioner. Effective with the 2005 tax year the Personal Property Tax Division will forward to the appropriate county auditor’s office for assessment any inter-county return received by the Division that contains reportable tangible personal property values in only one Ohio county. This also includes consolidated returns where the parent and subsidiary companies both report tangible personal property values in only one Ohio county. (For further information on consolidated returns see County Auditor Bulletin 248). The taxpayer will receive notification that the return has been forwarded to the appropriate county auditor for assessment and will have 10 days from the county’s receipt date to pay at least one-half of any taxes due to the appropriate county treasurer. Failure to make that payment within the 10 day period could result in a late filing penalty being assessed at the county level on the reported values.

Form 993NT is now available on the Department’s web site (www.tax.ohio.gov). This new form is to be used exclusively for requesting an extension of time to file a new taxpayer return, either form 920NT or 945. Form 993A, Inter-County Extension Request, will no longer be accepted by the Department as a new taxpayer extension request. Submission of form 993NT is still made to either the appropriate county auditor or to the Tax Commissioner’s office by regular and certified mail and by faxing. In addition to those methods, form 993NT may also be e-mailed to the Department at extensions@tax.state.oh.us. Using the Word fill-in form, complete the request, save it to your computer and attach it to your e-mail with “993NT extension request” in the subject line. When the extension request has been e-mailed to the De-partment the new taxpayer extension confirmation will be e-mailed back to the sender of the original request.

If you have any questions regarding this matter, please call 1-614-466-8123 (Ohio Relay Services for the Hearing or Speech Impaired: 1-800-750-0750).