La. Admin. Code tit. 61 § V-2101
Current through Register Vol. 50, No. 6, June 20, 2024
Section V-2101 - Guidelines for Ascertaining the Fair Market Value of Leased EquipmentA. All leased personal property shall be reported, itemized by and assessed to the lessor in the taxing district where the property is located on January 1 of each year on Form LAT-5. The lessee shall be required to furnish the owner's name and address on Form LAT-5.B. The assessor may utilize the cost, income or market approach to valuation, and will utilize the approach that is most representative of fair market value.C. In applying the cost approach, leased equipment shall be classified by activity/type and the appropriate cost index and percent good table used in the same manner as for other like equipment.D. The lessor shall submit to each assessment jurisdiction, the age and original selling price-new of this equipment. The original selling price-new shall include transportation, installation cost and sales tax.E. The lessor shall furnish the assessor with a listing of equipment, by location, for each taxing district and shall submit information concerning income from each lease, if requested by the assessor.F. Equipment Restricted for Sale by the Federal Government 1. Postage Meter. The methodology to value this equipment shall be to multiply the average production cost by a level of trade factor of 2.068. This will represent fair market value for such property.G. Consideration of Obsolescence when Using the Cost Approach. Functional and/or economic obsolescence shall be considered in the analysis of fair market value as substantiated by the taxpayer in writing. Consistent with Louisiana R.S. 47:1957, the assessor may request additional documentation.La. Admin. Code tit. 61, § V-2101
Promulgated by the Louisiana Tax Commission, LR 4: 209 (May 1978), amended by the Department of Revenue and Taxation, Tax Commission, LR 8:102 (February 1982), LR 10:40 (January 1984), LR 13:248 (April 1987), LR 13:764 (December 1987), LR 16:1063 (December 1990), LR 17:1213 (December 1991), amended by the Department of Revenue, Tax Commission, LR 35:499 (March 2009).AUTHORITY NOTE: Promulgated in accordance with R.S. 47:1952 and R.S. 47:2323.