(ad valorem) taxes are taxes on real and/or
personal property. Real property includes land and
improvements. Personal property refers to items which are
movable or not permanently fixed to the land.
Revenue Commissioner's Office is responsible for determining
property value which must, by law, be set according to
and reasonable market value."
generally includes land and permanently affixed improvements to
the land. Code of
Ala, 1975, Section 40-1-1.
Personal Property is generally
defined as property not permanently affixed to or part of the
realty. Generally, everything that is not real estate is
considered personal property. To differentiate between real
property and personal property, the Revenue Commissioner's
Office must consider the manner in which property is attached to
or secured at the location, and purpose for which the property
Personal property has two
Tangible Personal Property and
Intangible Personal Property. Tangible Personal Property
includes material items such as machinery and equipment, tools,
furniture and fixtures, and numerous other items.
Intangible Personal Property
includes an owners representation of rights to property (shares
of stock, annuities, patents, market certificates, etc. ...).
All persons, corporations,
partnerships, including leasing companies, etc., owning personal
property and/or aircrafts, are subject to ad valorem tax. The
property must be listed and assessed in the Revenue
Commissioner's Office. Personal property is defined as all types
of equipment, light and heavy, furniture and fixtures, computer
or leasehold improvements used in the operation of a business.
Failure to make a return by the third Monday in January will
result in a 10% penalty and fees being added to the tax bill.