LA County Assessor: 571-L Business Property Statements Due; Property Tax Relief
|What is Business Personal Property?
If you are a business owner, you are likely familiar with Business Personal Property taxes, which are paid on machinery, furniture and equipment. Business Property Statements, also known as a 571-L are due on April 1and become delinquent on May 7. The county assessor’s office makes it easy to file your 571-L Statement online and provides additional information about who needs to report, and what information is required.
Who needs to report?
Owners of businesses with personal property and fixtures that cost $100,000 or more must file a 571-L Business Personal Property Statement each year by April 1st.
Need more information or assistance?
Have questions? The assessor’s office held a live webinar this month and answered many questions from local business owners. You can view the recording here. Learn more about the 571-L Business Personal Property Statement and submit yours online here.
Property Tax Relief
Business Personal Property
Many businesses have been severely impacted by the economic downturn resulting from the Covid-19 pandemic. We’ve seen this across the County, from restaurants operating at limited capacity, salons that were forced to close for a significant period of time, and even major airlines that had to ground their aircraft.
While most people know that real property (land and buildings) are subject to property taxes, less known is that “Business Personal Property,” such as business equipment and machinery, are also taxable.
During the past year, many business owners were unable to use their equipment and machinery due to Covid-19 state and local health orders. As a result, the assessor's office will proactively reduce business personal property assessments for impacted businesses to reflect the economic reality that has caused such hardship for many businesses. Approximately 46,000 qualifying business owners will see the reduction on their business personal property tax bills. Business owners who do not receive a proactive reduction can contact the assessor’s office or file an assessment appeal if necessary.
Additionally, under California law, if the current market value of your property falls below the assessed value (also known as the Prop 13 value) of the property, you may be entitled to temporary property tax relief – this is a program called “Decline in Value.”
Initial analysis suggests that nearly 7,000 commercial/industrial parcels in the County may qualify for a Decline-in-Value reduction. Qualifying property owners will receive a letter requesting additional information to help us make a determination. If you qualify, you will still receive your regular, unadjusted property tax bill. Once the review is completed, those properties with reduced assessments will be issued a corrected bill. Property owners who do not qualify for a proactive review can still file a Decline-in-Value application with the assessor’s office or an assessment appeal.
La Verne Chamber of Commerce
2332 D Street, Unit E
La Verne, CA 91750