In this video, Osaretin Osague reviews basic questions about rendering business personal property. He discusses what a rendition is, what items need to be rendered, and what the important dates and deadlines are. Also included is the distinction between real and personal property. (5:01 mins.)
Hi, my name is Osaretin Osague and I work with the Harris County Appraisal District.
If you own a business in Harris County, you are required to render your business personal property for taxation. My goal today is to help you understand this process by reviewing three basic questions. One, what is a rendition? Two, what is required to be included on the rendition? And three, what are the important dates and deadlines?
Question 1. What is a rendition?
The simplest answer is, a rendition is a form that gives the appraisal district information about the property your business owns. We use it along with information from similar businesses, to estimate your property's value. Information in a rendition is kept confidential; it cannot be disclosed to third parties except in extreme circumstances, such as by court order.
In Harris County most businesses use rendition Form 22-15. If you own any business vehicles, you will also need to file the form for vehicles, Form 22-15-VEH. To get these forms, visit us online at www.hcad.org.
Question 2. What is required to be included on the rendition?
For tax purposes, your property is classified as either "real" property, or personal property. Real property, or real estate, includes land, buildings, and items attached to the land. Personal property includes things that can be owned, but are not attached to land. For example, at home, your personal property includes your sofa, your clothes, and other items. These items are not taxed for property tax purposes in Texas. But personal property used to produce income is taxable and must be rendered. This includes furniture and fixtures used at your place of business, and items used to produce income such as equipment, machinery, computers, inventory, raw materials, finished goods, and work in process. The only time you are not required to render is when the total value of all your business personal property combined is less than five hundred dollars.
Question 3. What are the important dates and deadlines?
There are four important dates and deadlines you need to know about.
The first is January 1. All property is valued as of its status on January 1st of the year. This allows for the fact that property you own, especially inventory, can vary in value during the tax year. January 1st is the official appraisal date.
April 1. This is the deadline to file your rendition. If you mail it to us, the rendition must be postmarked on or before April 1. If you bring it in person, it must reach our office before the close of business on April 1.
May 1. If you need more time to render your property you may request a 30-day extension. You must make this request in writing to the appraisal district by April 1. Your new rendition deadline would now be May 1.
Good Cause Deadline – If you have received approval for the May 1 extension but still need more time, you may even request an additional 15 days for good cause. This written request to the appraisal district must be received no later than May 1 along with an explanation of good cause. The request will be reviewed for approval. The new rendition deadline would be May 16.
Please note that late-filed renditions are subject to penalties.
For more detailed information on how to fill out the rendition form, please watch our video entitled, Rendition Form Requirements. You may also call (713) 957-7800 and ask for the Business Assistance Center.
I hope I have answered some of your questions about rendering your business personal property. Thanks for watching!