2006 Code of Virginia § 58.1-3506 - Other classifications of tangible personal property for taxation

58.1-3506. Other classifications of tangible personal property for taxation.

A. The items of property set forth below are each declared to be a separateclass of property and shall constitute a classification for local taxationseparate from other classifications of tangible personal property provided inthis chapter:

1. a. Boats or watercraft weighing five tons or more, not used solely forbusiness purposes;

b. Boats or watercraft weighing less than five tons, not used solely forbusiness purposes;

2. Aircraft having a maximum passenger seating capacity of no more than 50that are owned and operated by scheduled air carriers operating undercertificates of public convenience and necessity issued by the StateCorporation Commission or the Civil Aeronautics Board;

3. Aircraft having a registered empty gross weight equal to or greater than20,000 pounds that are not owned or operated by scheduled air carriersrecognized under federal law;

4. All other aircraft not included in subdivisions A 2 or A 3 and flightsimulators;

5. Antique motor vehicles as defined in 46.2-100 which may be used forgeneral transportation purposes as provided in subsection C of 46.2-730;

6. Tangible personal property used in a research and development business;

7. Heavy construction machinery not used for business purposes, including butnot limited to land movers, bulldozers, front-end loaders, graders, packers,power shovels, cranes, pile drivers, forest harvesting and silviculturalactivity equipment and ditch and other types of diggers;

8. Generating equipment purchased after December 31, 1974, for the purpose ofchanging the energy source of a manufacturing plant from oil or natural gasto coal, wood, wood bark, wood residue, or any other alternative energysource for use in manufacturing and any cogeneration equipment purchased toachieve more efficient use of any energy source. Such generating equipmentand cogeneration equipment shall include, without limitation, such equipmentpurchased by firms engaged in the business of generating electricity orsteam, or both;

9. Vehicles without motive power, used or designed to be used as manufacturedhomes as defined in 36-85.3;

10. Computer hardware used by businesses primarily engaged in providing dataprocessing services to other nonrelated or nonaffiliated businesses;

11. Privately owned pleasure boats and watercraft, 18 feet and over, used forrecreational purposes only;

12. Privately owned vans with a seating capacity of not less than seven normore than 15 persons, including the driver, used exclusively pursuant to aridesharing arrangement as defined in 46.2-1400;

13. Motor vehicles specially equipped to provide transportation forphysically handicapped individuals;

14. Motor vehicles (i) owned by members of a volunteer rescue squad orvolunteer fire department or (ii) leased by members of a volunteer rescuesquad or volunteer fire department if the member is obligated by the terms ofthe lease to pay tangible personal property tax on the motor vehicle. Onemotor vehicle that is owned by each volunteer rescue squad member orvolunteer fire department member, or leased by each volunteer rescue squadmember or volunteer fire department member if the member is obligated by theterms of the lease to pay tangible personal property tax on the motorvehicle, may be specially classified under this section, provided thevolunteer rescue squad member or volunteer fire department member regularlyresponds to emergency calls. The volunteer shall furnish the commissioner ofrevenue, or other assessing officer, with a certification by the chief orhead of the volunteer organization, that the volunteer is a member of thevolunteer rescue squad or fire department who regularly responds to calls orregularly performs other duties for the rescue squad or fire department, andthe motor vehicle owned or leased by the volunteer rescue squad member orvolunteer fire department member is identified. The certification shall besubmitted by January 31 of each year to the commissioner of revenue or otherassessing officer; however, the commissioner of revenue or other assessingofficer shall be authorized, in his discretion, and for good cause shown andwithout fault on the part of the member, to accept a certification after theJanuary 31 deadline. In any county that prorates the assessment of tangiblepersonal property pursuant to 58.1-3516, a replacement vehicle may becertified and classified pursuant to this subsection when the vehiclecertified as of the immediately prior January date is transferred during thetax year;

15. Motor vehicles (i) owned by auxiliary members of a volunteer rescue squador volunteer fire department or (ii) leased by auxiliary members of avolunteer rescue squad or volunteer fire department if the member isobligated by the terms of the lease to pay tangible personal property tax onthe motor vehicle. One motor vehicle that is regularly used by each auxiliaryvolunteer fire department or rescue squad member may be specially classifiedunder this section. The auxiliary member shall furnish the commissioner ofrevenue, or other assessing officer, with a certification by the chief orhead of the volunteer organization, that the volunteer is an auxiliary memberof the volunteer rescue squad or fire department who regularly performsduties for the rescue squad or fire department, and the motor vehicle isidentified as regularly used for such purpose; however, if a volunteer rescuesquad or fire department member and an auxiliary member are members of thesame household, that household shall be allowed no more than two specialclassifications under this subdivision or subdivision 14 of this section. Thecertification shall be submitted by January 31 of each year to thecommissioner of revenue or other assessing officer; however, the commissionerof revenue or other assessing officer shall be authorized, in his discretion,and for good cause shown and without fault on the part of the member, toaccept a certification after the January 31 deadline;

16. Motor vehicles owned by a nonprofit organization and used to delivermeals to homebound persons or provide transportation to senior or handicappedcitizens in the community to carry out the purposes of the nonprofitorganization;

17. Privately owned camping trailers as defined in 46.2-100, and privatelyowned travel trailers as defined in 46.2-1900, which are used forrecreational purposes only, and privately owned trailers as defined in 46.2-100 which are designed and used for the transportation of horses exceptthose trailers described in subdivision A 11 of 58.1-3505;

18. One motor vehicle owned and regularly used by a veteran who has eitherlost, or lost the use of, one or both legs, or an arm or a hand, or who isblind or who is permanently and totally disabled as certified by theDepartment of Veterans Services. In order to qualify, the veteran shallprovide a written statement to the commissioner of revenue or other assessingofficer from the Department of Veterans Services that the veteran has been sodesignated or classified by the Department of Veterans Services as to meetthe requirements of this section, and that his disability isservice-connected. For purposes of this section, a person is blind if hemeets the provisions of 46.2-739;

19. Motor vehicles (i) owned by persons who have been appointed to serve asauxiliary police officers pursuant to Article 3 ( 15.2-1731 et seq.) ofChapter 17 of Title 15.2 or (ii) leased by persons who have been so appointedto serve as auxiliary police officers if the person is obligated by the termsof the lease to pay tangible personal property tax on the motor vehicle. Onemotor vehicle that is regularly used by each auxiliary police officer torespond to auxiliary police duties may be specially classified under thissection. In order to qualify for such classification, any auxiliary policeofficer who applies for such classification shall identify the vehicle forwhich this classification is sought, and shall furnish the commissioner ofrevenue or other assessing officer with a certification from the governingbody that has appointed such auxiliary police officer or from the officialwho has appointed such auxiliary officers. That certification shall statethat the applicant is an auxiliary police officer who regularly uses a motorvehicle to respond to auxiliary police duties, and it shall state that thevehicle for which the classification is sought is the vehicle that isregularly used for that purpose. The certification shall be submitted byJanuary 31 of each year to the commissioner of revenue or other assessingofficer; however, the commissioner of revenue or other assessing officershall be authorized, in his discretion, and for good cause shown and withoutfault on the part of the member, to accept a certification after the January31 deadline;

20. Until the first to occur of June 30, 2009, or the date that a specialimprovements tax is no longer levied under 15.2-4607 on property within aMulticounty Transportation Improvement District created pursuant to Chapter46 ( 15.2-4600 et seq.) of Title 15.2, tangible personal property that isused in manufacturing, testing, or operating satellites within a MulticountyTransportation Improvement District, provided that such business personalproperty is put into service within the District on or after July 1, 1999;

21. Motor vehicles which use clean special fuels as defined in 46.2-749.3;

22. Wild or exotic animals kept for public exhibition in an indoor or outdoorfacility that is properly licensed by the federal government, theCommonwealth, or both, and that is properly zoned for such use. "Wildanimals" means any animals that are found in the wild, or in a wild state,within the boundaries of the United States, its territories or possessions."Exotic animals" means any animals that are found in the wild, or in a wildstate, and are native to a foreign country;

23. Furniture, office, and maintenance equipment, exclusive of motorvehicles, that are owned and used by an organization whose real property isassessed in accordance with 58.1-3284.1 and that is used by thatorganization for the purpose of maintaining or using the open or common spacewithin a residential development;

24. Motor vehicles, trailers, and semitrailers with a gross vehicle weight of10,000 pounds or more used to transport property for hire by a motor carrierengaged in interstate commerce;

25. All tangible personal property employed in a trade or business other thanthat described in subdivisions A 1 through A 18, except for subdivision A 17,of 58.1-3503;

26. Programmable computer equipment and peripherals employed in a trade orbusiness;

27. Privately owned pleasure boats and watercraft, motorized and under 18feet, used for recreational purposes only;

28. Privately owned pleasure boats and watercraft, nonmotorized and under 18feet, used for recreational purposes only;

29. Privately owned motor homes as defined in 46.2-100 that are used forrecreational purposes only;

30. Tangible personal property used in the provision of Internet services.For purposes of this subdivision, "Internet service" means a service,including an Internet Web-hosting service, that enables users to accesscontent, information, electronic mail, and the Internet as part of a packageof services sold to customers;

31. Motor vehicles (i) owned by persons who serve as auxiliary, reserve, orspecial deputy sheriffs or (ii) leased by persons who serve as auxiliary,reserve, or special deputy sheriffs if the person is obligated by the termsof the lease to pay tangible personal property tax on the motor vehicle. Forpurposes of this subdivision, the term "auxiliary deputy sheriff" meansauxiliary, reserve, or special deputy sheriff. One motor vehicle that isregularly used by each auxiliary deputy sheriff to respond to auxiliarydeputy sheriff duties may be specially classified under this section. Inorder to qualify for such classification, any auxiliary deputy sheriff whoapplies for such classification shall identify the vehicle for which thisclassification is sought, and shall furnish the commissioner of revenue orother assessing officer with a certification from the governing body that hasappointed such auxiliary deputy sheriff or from the official who hasappointed such auxiliary deputy sheriff. That certification shall state thatthe applicant is an auxiliary deputy sheriff who regularly uses a motorvehicle to respond to such auxiliary duties, and it shall state that thevehicle for which the classification is sought is the vehicle that isregularly used for that purpose. The certification shall be submitted byJanuary 31 of each year to the commissioner of revenue or other assessingofficer; however, the commissioner of revenue or other assessing officershall be authorized, in his discretion, and for good cause shown and withoutfault on the part of the member, to accept a certification after the January31 deadline;

32. Forest harvesting and silvicultural activity equipment;

33. Equipment used primarily for research, development, production, orprovision of biotechnology for the purpose of developing or providingproducts or processes for specific commercial or public purposes, including,but not limited to, medical, pharmaceutical, nutritional, and otherhealth-related purposes; agricultural purposes; or environmental purposes butnot for human cloning purposes as defined in 32.1-162.21 or for products orpurposes related to human embryo stem cells. For purposes of this section,biotechnology equipment means equipment directly used in activitiesassociated with the science of living things;

34. Boats or watercraft weighing less than five tons, used for businesspurposes only; and

35. Boats or watercraft weighing five tons or more, used for businesspurposes only.

B. The governing body of any county, city or town may levy a tax on theproperty enumerated in subsection A at different rates from the tax levied onother tangible personal property. The rates of tax and the rates ofassessment shall (i) for purposes of subdivisions 1, 2, 3, 4, 5, 7, 10through 19, 21 through 23, and 25 through 35 of subsection A, not exceed thatapplicable to the general class of tangible personal property, (ii) forpurposes of subdivisions A 6, A 8, A 20, and A 24, not exceed that applicableto machinery and tools, and (iii) for purposes of subdivision A 9, equal thatapplicable to real property.

C. Notwithstanding any other provision of this section, for any qualifyingvehicle, as such term is defined in 58.1-3523, (i) included in any separateclass of property in subsection A and (ii) assessed for tangible personalproperty taxes by a county, city, or town receiving a payment from theCommonwealth under Chapter 35.1 of this title for providing tangible personalproperty tax relief, the county, city, or town may levy the tangible personalproperty tax on such qualifying vehicle at a rate not to exceed the rates oftax and rates of assessment required under such chapter.

(Code 1950, 58-829.2:1, 58-829.3, 58-829.5 to 58-829.9, 58-831.01; 1960,c. 418; 1970, c. 655; 1976, c. 567; 1978, c. 155; 1979, cc. 351, 576; 1980,c. 412; 1981, cc. 236, 445; 1982, c. 633; 1984, c. 675; 1985, c. 220; 1986,c. 195; 1988, c. 822; 1989, cc. 80, 694; 1990, cc. 677, 693; 1991, cc. 247,330, 478; 1992, cc. 642, 680; 1993, c. 100; 1994, cc. 171, 221, 266, 631;1995, c. 142; 1996, cc. 537, 603, 605; 1997, cc. 244, 250, 433, 457; 1999,cc. 289, 358; 2000, cc. 409, 413, 441, 442, 604; 2001, cc. 41, 447; 2002, cc.6, 63, 148, 337; 2003, cc. 657, 670; 2004, cc. 4, 556, 591; 2004, Sp. Sess.I, c. 1; 2005, cc. 271, 325, 357; 2006, cc. 200, 231, 400.)