Business personal property taxes are levied on business tangible assets reported on the Tangible Personal Property Schedule to the Anderson County Property Assessor by March 1 of each year.
Anyone in business on January 1st of the tax year is responsible for paying taxes for that entire year. If a business is no longer operating in Anderson County, contact the County Clerk’s Office at (865) 457-6229 to ensure that any business licenses have been canceled. Also, advise the County Property Assessor at (865) 457-6225, as to the disposition of the equipment, so your account can be removed from the next year’s tax roll.
If there is a tax on the roll for a year in which you did no business, we need to review the tax liability. To do so, we must have documentation which will substantiate your claim. Documents such as a business license finalized in the year the business closed, proof of sale, electric meter cutoff date, and tax returns can be used for our review.
The law requires a purchaser of a business to check for unpaid personal property taxes of the business. Any taxpayer who sells or terminates a business must notify the property assessor and pay all outstanding personal property taxes within fifteen days of the sale or termination. The buyer must withhold sufficient funds from the purchase price to pay the tax liability, retaining those funds until the seller produces a certificate of compliance from the property assessor and receipts from the trustee for the payment of all taxes. If the buyer does not withhold this amount, the buyer becomes personally liable for these unpaid taxes.