file this return will likely receive an estimated assessment.

Limited partnerships, limited liability companies and limited

liability partnerships that are registered with the

Department's Charter Division are required to file a Form 1.

At the beginning of each year, the Department makes the

business personal property return available on its website. It

is the responsibility of the entity to obtain and file the return

on time. The due date for filing is April 15, of filing year.

Division, P.O. Box 17052, Baltimore, MD 21297-

1052.

Amended returns or second filings are to be sent to

the Department of Assessments and Taxation,

Personal Property Division, 301 W. Preston Street,

recording of an unlimited number of requests free of charge.

You will receive a confirmation number and a printed list as

proof of your submission. Always print and keep a copy of the

confirmation page. The Department will automatically accept

it as evidence of a valid approved extension in case there is

ever a problem.

cash value. Taxpayers shall report such property

which has been acquired by purchase at cost in the

year of acquisition. Taxpayers shall report such

property which has been acquired other than by

purchase (including property manufactured by the

taxpayer) at what the property would have sold for

in the year of acquisition. To assess "all other

personal property" the Department generally

applies a 10% rate of depreciation per annum to the

reported property. Exceptions to the 10% rate can

written in the appropriate blank space. Estimated

assessments may be issued when questions remain

unanswered or the answers are incomplete, evasive or

unclear. Real property is not to be reported on the return.

Businesses may file amended returns to correct reporting

errors or claim missed exemptions (except for missed

manufacturing exemptions) within three years of the April 15

date that the return was originally due.

ROUNDING

Round cents to the nearest whole dollar. Fifty cents and

above should be rounded to the next highest dollar.

All personal property assessments, and any information and

figures reported on the personal property return,

accompanying schedules and related documents are subject

to audit. As a result of such audits, the Department may issue

corrected assessments.

If a business transfers, sells, or disposes of all personal

property on or after January 1, and before July 1, it must

notification and compliance with Section 10-402 of the Tax

Property Article, the assessment shall be transferred to the

new owner(s). See Form 21.

If a business discontinues operations or goes "out of

business" prior to January 1 of filing year, a return or letter of

explanation detailing the date the business ceased operations

and what happened to the property must be filed. Failure to

provide this information will result in an estimated

that the return was originally filed.

Amended returns must be accompanied by information

explaining why the amended return is being filed and

reconciling the differences with the original return. Write the

word "AMENDED" across the top of page 1 of the return.

Sometimes businesses requiring a trader's license experience

problems in obtaining one. Most of these problems are the

result of one or more of the following five situations:

6)

1.

Check one: Sole Proprietorship (one owner) or

General Partnership (two or more owners)

2.

Provide the name of owner orowners.

3.

Provide the complete mailing address for the

business. If this is a new mailing address, check the

This form allows detailed reporting of property which falls

under the different rates of depreciation. All property is to be

reported under Category A unless specifically listed in

another category.

Refer to the Depreciation Rate Chart to determine where

This property shall be reported at original cost in the year of

acquisition without deduction of depreciation, investment

credit or trade-in of previously owned property. Include all

fully depreciated personal property and property expensed

under IRS Rules.

Property reported on this line item should be placed under

the proper depreciation rate column by the year of

acquisition. An example of the correct method of filling out

this section is provided for reference. Property reported in

Computer;

- 2009 Copier $2,000, Fax $500

current tax year. Section 7-104 of the Tax-Property Article of

the Annotated Code of Maryland has been revised to include

subsection (d) that allows the owner of manufacturing

personal property to file an application within 6 months after

the date of the first assessment notice for a taxable year that

includes the manufacturing personal property. If the

application is approved, the exemption shall be granted for

the taxable year. The exception to the September 1 deadline

is applicable to taxable years beginning after June 30, 2009.

No manufacturing exemption can be granted unless a timely

owned property. Include all fully depreciated personal

property and property expensed under IRS rules.

For manufacturing the primary test for exemption requires

substantially transforming, or a substantial step in the

process of substantially transforming tangible personal

property into a new and different article by use of labor or

machinery. The term manufacturing does not include

products mainly intellectual, artistic or clerical in nature,

services, public utility services, or property used primarily in

administration, management, sales, storage, shipping,

company has a product for sale.

The following activities do not constitute research and

development: market research; research in social sciences,

psychology, or other nontechnical activities; routine product

testing; service activities; sales; or research and development

of a public utility.

Excel schedules of leasing data may be submitted.

Verify that the entity name and ID number are

prominent on the schedule. Schedule may be filed

electronically and submitted to

sdat.persprop@maryland.gov

All property not specifically listed below.

SPECIAL DEPRECIATION RATES (The rates below apply only to the items specifically listed. Use Category A for other assets.)

Category B: 20% per annum*

Mainframe computers originally costing $500,000 or more.

Category C: 20% per annum*

Autos (unlicensed), bowling alley equipment, brain scanners, car wash equipment, contractor's heavy equipment (tractors,

bulldozers), fax machines, hotel, motel, hospital and nursing home furniture and fixtures (room and lobby), MRI equipment,

mobile telephones, model home furnishings, music boxes, outdoor Christmas decorations, outdoor theatre equipment,

photocopy equipment, radio and T.V. transmitting equipment, rental pagers, rental soda fountain equipment, self-service

laundry equipment, stevedore equipment, theatre seats, trucks (unlicensed), vending machines, x-ray equipment.

Pinball machines, rental tuxedos, rental uniforms, video games.

Category G: 5% per annum*

Boats, ships, vessels, (over 100 feet).

Long-lived assets

Property determined by the Department to have an expected life in excess of 10 years at the time of acquisition shall be

depreciated at an annual rate as determined by the Department.

* Subject to a minimum assessment of 25% of the original cost.

** Subject to a minimum assessment of 10% of the original cost.