ST 1995-10 - 5741.01(G)(5) - Price Current Value of
Tangible Personal Property Purchased for Use Outside This
State and Becomes Permanently Located in This State More Than
Six Months After Its Acquisition by the Consumer - April,
This is to clarify the Department of Taxation's position on
acceptable methods that may be used to determine the current
value of tangible personal property that has been purchased
and used by the consumer outside this state and becomes
permanently used, stored, or otherwise consumed in this state
more than six months after its acquisition by the consumer.
Division 5741.01(G)(5) of the Revised Code provides that:
- "In the case of tangible personal property originally
purchased and used by the consumer outside this state, and
that becomes permanently stored, used, or otherwise consumed
in this state more than six months after its acquisition by
the consumer, the consumer or the tax commissioner may
determine the price based on the current value of such
tangible personal property, in lieu of determining the price
pursuant to division (G)(1) of this section. A price
determination made by the consumer is subject to review and
redetermination by the commissioner."
The current value of such items purchased and used outside
this State that become located in this state should be
calculated by using one of the following acceptable methods:
FOR ALL ITEMS, EXCEPT MOTOR VEHICLES, TITLED
WATERCRAFT, AND TITLED OUTBOARD MOTORS
1. The original purchase price may be subjected to the true
value computation (TVC) based on Ohio's personal property tax
tables to arrive at the current value of the item.
(Instruction booklet for the true value computation for Ohio
Personal Property Tax is available at any office of the Ohio
Department of Taxation or in the County Auditor's office in
any Ohio county.)
Example: $75000 bulldozer 2 years old at
time of relocation to Ohio
Class V listing
$75,000 X 88.9% (from TVC)
$66,675.00 value ("price") of bulldozer at time of relocation
2. The current value may be reflected in a fair market value
as determined by research. Factors may include appraisal,
insured value, and/or other relevant factors.
MOTOR VEHICLES, TITLED WATERCRAFT, OR TITLED OUTBOARD
In the case of a motor vehicle, titled watercraft and/or
outboard motor, as defined by the Ohio Revised Code, that
becomes permanently located in this state, the following
determinations will apply when conversion titles are issued:
THE CURRENT VALUE WOULD BE EQUAL TO;
1. The average retail value for the year, make, and model of
a comparably equipped item as depicted in a value guide
current at the time of relocation.
2. The appraised retail value at the time of relocation as
determined by an appraiser of items (dealership, insurance
3. The retail value at the time of relocation determined by a
comparative analysis of similar items advertised for sale in
the same locality.
**** SPECIAL NOTE ****
In every case where tangible personal property becomes
located in this state, the amount of Ohio tax due would be
offset by the amount of sales or use tax legally
levied by and paid to another jurisdiction (state).
If the sales or use tax legally paid to another jurisdiction
(state) is equal to or greater than the Ohio tax calculated
on current value, as determined above, no additional tax is
due to the State of Ohio. The tax rate to be used to
calculate the amount of Ohio use tax due is the total tax
rate in effect in the county where the item is located at the
time of relocation.
If you have any questions regarding this matter, you should
call us at 1-888-405-4039.
OHIO RELAY SERVICES FOR
THE HEARING OR SPEECH IMPAIRED