If the owner simply provides a good faith estimate of the property's market value the appraisal district may request a statement of supporting information indicating how the property owner determined the value rendered. This detailed statement must be delivered within 21 days after the date the property owner receives the request.

Rendition Deadlines
The rendition addresses business personal property as of January 1st of the tax year and may be filed annually between January 1st and April 15th. There is an automatic extension of the filing deadline until May 15th upon written request. The chief appraiser may extend the filing deadline for an additional 15 days (until May 30), if the property owner files a written request showing good cause.

Amnesty Provision
With the new legislation the Texas Property Tax Code also offers property owners a special rendering provision for the 2003 tax year. If owners render BPP before December 1, 2003 the appraisal district may revalue the property for tax year 2003. Revaluation is likely to occur if there was no previous account for the property or if the rendered value greatly exceeds the current assessed value.

However, exercising the special rendering, or amnesty, provision in 2003 allows the property owner to avoid omitted property taxes for the two prior years. When business personal property not already on the tax rolls is discovered, the Texas Property Tax Code requires it be assessed at the market value for the two prior years. For example, if business personal property were discovered in 2003, the appraisal district would also typically assess the property for 2001 and 2002. By rendering during the established amnesty window, September 1, 2003 through November 30, 2003, the property owner avoids the exposure of paying property taxes for prior years.

What is Business Personal Property?
The Texas Property Tax Code 1.04 (5) defines tangible personal property as property that can be seen, weighed, measured, felt, or otherwise perceived by the senses, but does not include a document or other perceptible object that constitutes evidence of a valuable interest, claim, or right and has no negligible or intrinsic value. Examples of tangible personal property, or business personal property, include equipment, furniture, computers, and inventory. Business personal property would not include accounts receivable, stocks, bonds, notes, franchise agreements, licenses, permits, certificates of deposit, insurance policies, pensions, contracts and goodwill.

Market Value Definition
Market value is defined in the Texas Property Tax Code 1.04 (7) as the price at which a property would transfer for cash or its equivalent under prevailing market conditions if: a) exposed for sale in the open market with a reasonable time for the seller to find a purchaser; b) both the seller and the purchaser know all of the uses and purposes to which the property is adapted and for which it is capable of being used and the enforceable restrictions on its use; and c) both the seller and purchaser seek to maximize their gains and neither is in a position to take advantage of the exigencies of the other.

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