Explanation of Personal Property Tax Obligations

This is the time of year where we often are asked to field questions regarding personal property tax assessments by the Town of Preston on RVs located here at the campground. Please understand that this is based on state statute, and is the same throughout the state of CT (the form you receive is universal, with each town simply inserting their key info). The actual law is as follows (from CT State Statutes) http://www.cga.ct.gov/2009/pub/chap203.htm#Sec12-43.htm

Sec. 12-43. Property of nonresidents. Each owner of tangible personal property located in any town for three months or more during the assessment year immediately preceding any assessment day, who is a nonresident of such town, shall file a declaration of such personal property with the assessors of the town in which the same is located on such assessment day, if located in such town for three months or more in such year, otherwise, in the town in which such property is located for the three months or more in such year nearest to such assessment day, under the same provisions as apply to residents, and such personal property shall not be liable to taxation in any other town in this state. The declaration of each nonresident taxpayer shall contain the nonresident's post-office and street address. The assessors shall mail blank declaration forms to each nonresident, or to such nonresident's attorney or agent having custody of the nonresident's taxable property, at least fifteen days before the expiration of the time for filing such declaration. If the identity or mailing address of a nonresident taxpayer is not discovered until after the expiration of time for filing a declaration, the assessor shall, not later than ten days after determining the identity or mailing address, mail a declaration to the nonresident taxpayer. Said taxpayer shall file the declaration not later than fifteen days after the date such declaration is sent. Each nonresident taxpayer who fails to file a declaration in accordance with the provisions of this section shall be subject to the penalty provided in subsection (d) of section 12-41. As used in this section, "nonresident" means a person who does not reside in the town in which such person's tangible personal property is located on the assessment day, or a company, corporation, limited liability company, partnership or any other type of business enterprise that does not have an established place for conducting business in such town on the assessment day.

This means that any RV located in the town for more than 3 months is subject to personal property tax. Be sure to complete the form to avoid any late filing penalties. Strawberry Park must submit to the town of Preston a complete list of all long-term campers and their RV info, so what you submit generally matches the list we provide. Taxes are calculated based on a 70% assessment, with values derived from NADA book prices. For instance, if your RV cost you $25,000 but is now worth $20,000 (you can look it up in the NADA guide on-line as well), you will be taxed on $14,000 (70% of $20,000). The current mil rate in Preston is relatively low, as the last round of home revals took place prior to the recent reduction in home values (meaning that while the average homeowner may have seen an increase in taxes, it would result in a reduction of tax on personal property...which generally decreases annually due to depreciation). The current rate in Preston is under 19 mils...which means that the example above would have a tx bill of approx $266. Additionally, while you can't be double-taxed in CT, the town in which the RV is located will stake the stronger claim (over the town in which you reside and may have registered your RV). As a final note, if your RV does not travel, most folks don't register it as a motor vehicle. Also, if you do choose to register it, you may wish to consider registering it through Preston, as the mil rate is quite low compared to most municipalities in CT. Hope this helps clarify some of the questions that arise this time of year.