Intangibles

From the 2024 DOR Tax Exemption Study

84.36.070 - Intangibles Description Intangible personal property receives an exemption from property tax. The definition of intangible personal property includes: - All money and credits, such as mortgages, cash, deposits, loans, and securities. - Private personal service contracts and athletic franchises or agreements. - Other intangible personal property including but not limited to trademarks, trade names, trade secrets, patents, copyrights, franchise agreements, customer lists, licenses and permits. The law specifically excludes characteristics and attributes of real property (e.g., zoning, location, view, geographic features, etc.) from the definition of intangible personal property. Purpose Avoids the double taxation of tangible assets underlying certain intangible assets. The exemption also recognizes the administrative difficulty of locating and valuing such mobile assets. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $7,986.600 $7,964.910 $7,651.780 $7,577.700 Local Taxes $23,632.230 $24,278.470 $24,059.450 $24,569.320 Repeal of Repealing a property tax exemption would not increase state revenues. A repeal exemption shifts the state property