Business Personal Property

Virginia tax code requires all business owners, including home-based businesses, to file a business tangible personal property return and current asset list annually. 

What Property is Filed?

All property located in Chesterfield County on January 1 and used or available for use in your business is taxable, such as 

• furniture
• fixtures
• computer equipment
• machinery
• tools
• heavy equipment

This includes property owned by the business, property owned personally and used in the business on a full or part-time basis, property received as a gift, property that is leased or rented, and property that is fully depreciated or expensed for federal tax purposes.

Business tangible personal property taxes are billed annually and are due to be paid to the Chesterfield County Treasurer by June 5 of each year. Additional information regarding Chesterfield’s tax deadlines is available on the tax calendar .

Annual Filing Requirements

Each January, property owners will receive business tangible personal property return.

You must submit your completed business tangible personal property return, along with a current asset list, to the Commissioner of Revenue by March 1 each year.

• For each piece of business property or equipment on the asset list, include the original purchase price, a brief description, and the year of purchase.
• For each piece of business property or equipment on the asset list, that has been disposed (sold, junked or no longer leased), include the original purchase price, a brief description, the year of the purchase and the disposal date.
• For each piece of business property or equipment on the asset list, that has been moved out of the County include the original purchase price, a brief description, the year of the purchase and the move date.
• Include all business property located in Chesterfield County, even if fully depreciated for federal tax purposes.
• Do not include vehicles on this list.

If ownership has changed, notify the Commissioner of the Revenue's office as soon as possible so we can notify the new owner of the need to file a declaration.

If the business closed or moved out of the County, notify the Commissioner of the Revenue’s office in writing. Please include the 

• Business name
• Business location
• Account number
• Date the business closed or date the business moved out of the County

If there is a change in the mailing address or any of the contact information (phone number(s) or email address), please indicate the change on the tax return or contact the Commissioner of the Revenue’s office.

Assessment

The Commissioner of the Revenue is responsible for the assessment of all personal property with taxable status in Chesterfield County.

• Business tangible personal property assessments are derived by applying an assessment factor to the property's original capitalized cost.
• These factors vary according to year of purchase and represent the normal devaluation of property that occurs as equipment ages.
• Assessments begin at 70% cost for Business Furniture, Fixtures, Equipment &Tool of items purchased in the immediate prior year and decrease each year to a minimum of 10% of cost for items purchased five or more years ago.
• Assessments begin at 50% for Computer Equipment of items purchased in the immediate prior year and decrease each year to a minimum of 1% of cost for items purchased five or more years ago.

The Chesterfield County Board of Supervisors sets the personal property tax rates applied to these assessments.

Proration

If your business dissolved or discontinued after January 1, the tax is not prorated for the tax year in which the business is closed. The tax is not prorated for the tax year in which an asset is sold or disposed of. The disposal of that asset should be reported in the asset list submitted with your next annual renewal.

Penalty

A late filing penalty of 10% will be imposed if your return is not filed or postmarked by March 1^st of the current tax year.

Right to Appeal a Business Property Tax Assessment

A taxpayer has three years from the end of the tax year in which an assessment is made, to appeal the assessment and ask for a correction. If you believe your assessment is incorrect, please submit supporting documentation to the Commissioner of the Revenue for review.