(a) Criteria for reporting of Intangible Exemptions. - (i) Requests for exemption shall be timely filed with the exemption clearly defined and supplemented by all supporting documentation as defined within these rules, on forms provided by the appropriate assessing jurisdiction. Taxpayer(s) shall not self exempt property or property considerations from their report forms. If such a condition is found, the exemption shall be denied in its entirety to the requesting taxpayer(s).
- (ii) The intangible must be capable of being separately identified on the taxpayers company:
- (B) Reports filed with any municipal, county, state or federal agency;
- (C) Federal income tax returns; or
- (D) Other documentation as required by the assessing jurisdiction.
(b) If an intangible is requested and it is part of property or property considerations that consist of both tangible and intangible assets, the taxpayer shall provide a documented breakout of the amounts requested via taxpayer balance sheets, historical or original cost worksheets by vintage year. Claims utilizing income calculations shall provide the itemized gross revenues, operating expenses, depreciation and amortization by asset account, all other forms of taxes by asset category and any other deductions to Net Operating Income.
(c) Documents in support of requested intangibles shall include, but not be limited to, the following: - (i) A third party fair market value appraisal for the requested exempt intangible assets;
- (ii) Copies of audited company books and records, jurisdictional regulatory reports, current federal income tax returns specifically identifying the values or assets being claimed;
- (iii) Independent narrative appraisals and/or valuation engineering studies defining all requested intangible assets by: vintage year by property or property consideration, actual use, economic life's, depreciation trends, net book values and appraised fair market value can meet the definition of as noted in the beginning of this statement.
- (iv) For newly merged or acquired property or property considerations, documentation for requested intangible items must be separately listed and identified within corporate records of minutes.
(d) For purposes of these rules, computer software must be separately identifiable as to which portion is the "Standard Prewritten Programs" and which portion is Customized Software Programs. - (i) Standard Prewritten Programs shall refer to "Canned or off-the-shelf" software or software not originally developed and produced for an individual user. These programs are tangible personal property and not eligible for exemption from property taxation;
- (ii) Customized Software Programs shall refer to software having the following characteristics: specifically developed for a taxpayer's sole proprietary use or an original one-of-a kind nature. These programs are intangible personal property and eligible for consideration for exemption when documented by the taxpayer.
(e) Taxpayer requests for intangible exemptions on property or property considerations must be submitted on an annual basis to the appropriate assessing jurisdiction. Prior year exemption requests and granted exemptions shall not carry forward from year to year. It is the taxpayers responsibility to make the exemption request on an annual report to the appropriate assessing jurisdiction.
(f) The assessing jurisdiction shall as part of the final fair market value appraisal provide to the taxpayer the following detail: - (i) Itemized listing for all requested intangibles;
- (ii) Statement of whether the exemption was granted or denied;
- (iii) Explanation for all denied exemption items;
- (iv) Calculations on determination for all granted exemption amounts;
- (v) Appraisal methods utilized to determine exemption amounts;
- (vi) Appeal rights, if separate from the final fair market value of the property.
(g) Annual Report Audit Rights and Responsibilities: The appropriate assessing jurisdiction reserves the right to engage the State of Wyoming, Department of Audit or a third party designee to conduct ad valorem tax audits on reporting taxpayer's.
011-14 Wyo. Code R. § 14-11