Aiming at a Moving Target
Two weeks CAN make a difference. It seems the rendition deadline change from April 15th to April 1st didn’t go over so well this year. Those two weeks appear to be so critical that Texas has reverted the 2020 rendition deadline BACK to April 15th. Introduced during the Texas 86th Legislative Session and later signed into law, Section 22.23 of the Texas Property Tax Code Title 1 has been revised to change the rendition filing deadline to April 15th for the 2020 tax year. This change also impacts the initial 30-day extended filing deadline which will now be May 15, 2020.
Texas law requires that all business owners complete and submit a personal property rendition form to the appropriate local assessing jurisdiction on or before April 15th. Failure to do so or filing a late rendition will result in a 10% penalty of the tax imposed on the current year tax statement. In addition to a 10% penalty for late filing or failure to file, business owners also risk forfeiting significant tax exemption benefits such as the inventory freeport exemption. Depending on your situation, this oversight could cost your business hundreds, if not thousands, of dollars in additional property taxes.
This coming tax year, don’t find yourself trying to hit a moving target with the Texas legislative changes. Keep your eyes on Baden Tax Management and we’ll ensure you hit the target every time.