Delinquent Personalty Taxes Based on Forced Assessments
If taxes are paid on a forced assessment and an appeal of the forced assessment has not previously been filed with the State Board of Equalization, then the tax is subject to 1.5% interest as of delinquency date.
If the forced assessment was under appeal and the undisputed portion of the tax (based on the value claimed on the appeal form) was paid before the delinquency date and there is a remaining balance after the Board decision, then interest will be added to the total unpaid balance.
Likewise, if the undisputed portion was paid timely and the Board decision results in a refund to the taxpayer, the taxpayer will be paid interest on the refund amount. Interest will be calculated at two (2) percentage points below the composite prime rate as published by the Federal Reserve.
For questions regarding delinquent Shelby County and City of Memphis property taxes, contact Trustee Customer Service at (901) 222-0200.
Remedy for Excessive Forced Assessments
Relief is available for taxpayers with forced assessments of business tangible personal property. Taxpayers with forced assessments exceeding a threshold greater than 25% of the standard value otherwise applicable, may have their assessment reduced to the threshold amount by direct request to the Shelby County Assessor. The remedy is only applicable back to two years.
Examples of Thresholds & Relief Assessments
If the forced assessment is $25,000, and the standard value assessment would have been $5,000, the threshold is $6,250 (25% higher than the standard value), and the relief assessment would be $6,250.
If the forced assessment is $25,000, and the standard value assessment would have been $22,000, the threshold would be $27,500 (25% higher than the standard value), and no relief would be due.