PERSONAL PROPERTY TAXES

Personal property pertains to commercial, industrial, or agricultural enterprises, as well as mobile homes. Personal property's primary characteristic is "mobility." Examples include but are not limited to machinery, furniture, fixtures, and equipment.

Every business must complete a personal property inventory affidavit by April 30 each year. This affidavit must be filed with the Island County Assessor's office for taxes due the following year. These taxes are based on assessment value as of January 1 of the previous year.

First half taxes are due by April 30. If payment is late, the total amount of the tax becomes delinquent and the interest and penalty owed is calculated on the entire amount due for the year. (RCW 84.60.040)

Second half taxes become delinquent after October 31. A postmark is accepted as payment date.

Please note: If the total tax for the year is LESS THAN $50, the entire amount must be paid by April 30.

Checks accepted are subject to collection. Non-payment by bank for any reason voids payment and will result in a returned check charge of $40.00.

Interest on delinquent tax is computed monthly from the date of delinquency to the date of payment at the rate of 1% per month or 12% per annum as prescribed by law.

A 3% penalty is assessed on taxes owed and delinquent on June 1 in the year in which the tax is due. An additional 8% penalty is assessed on the total amount of delinquent tax on December 1 of the year in which the tax is due as prescribed by law.

On June 1st and December 1st,there is a $75 distraint and sale fee added to all delinquent personal property and mobile accounts.

When paying any delinquent tax after the due date (calculation date), contact the Treasurer's office (360-679-7302) for the correct interest and penalty due. Note: Delinquent payments received that are not for the correct amount will be returned.

Delinquent tax subjects the property to Distraint and Sale. (RCW 84.56.070) The Treasurer may proceed to distrain (seize) and sell personal property if the taxes remain unpaid. A lien may be placed on the property owners OTHER real and personal property if the tax is not paid.

ADVANCE PERSONAL PROPERTY TAX

RCW 84.56.090

When personal property is sold, dissipated, or liquidated, the County Treasurer is required to collect the following year's tax, which is paid in advance at the time of the sale.

 

Personal property taxes are a lien upon all Real and Personal property of the person assessed from the date of assessment until paid. If it is not paid by April 30th of each year, the personal property becomes subject to distraint and sale as provided by State statute.

Sale or transfer of the property does NOT affect the tax lien.