What companies are subject to assessment by the Tax Division?
What date is property subject to assessment in Arkansas?
What is the filing date for the Annual Tax Reports?
What happens if a company fails to file a report on or before the due date?
Is there an appeal process if a company is dissatisfied with the final assessment?
When are the utility assessments certified to the counties?
How do I determine the “Market Value” of my trucking or bus equipment?
How do I know if my report has been received by the Tax Division?
Does the Tax Division need the original report form mailed if it is faxed?
What if I have more questions?
What companies are subject to assessment by the Tax Division?
According to Ark. Code Ann. §§ 26-26-1601, 26-26-1701 and 26-26-1801, the Tax Division is responsible for assessing the property of telecommunications providers, including:
- local exchange carriers
- wireline telephone companies
- cellular telephone companies
- cable television companies, and broadband internet providers
- gas distribution and transmission companies
- pipeline companies
- railroads
- electric power companies
- solar companies
- water companies
- barge lines
- airlines
- private rail car companies
- motor carriers
- passenger carriers
All motor carriers, passenger carriers, barge lines, and private rail cars that travel for hire into or through the State of Arkansas are subject to assessment by the Tax Division.
What date is property subject to assessment in Arkansas?
January 1st. Ark. Code. Ann. §26-26-1602.
What is the filing date for the Annual Tax Reports?
Reports for utilities, railroads, airlines, and barge line must be filed on or before March 1st. Ark. Code. Ann. § 26-26-1602.
Motor Carrier and Passenger Carrier reports must be filed on or before March 31st. Ark. Code. Ann. § 26-26-1602.
Private Rail Car reports must be filed on or before April 1st. Ark. Code. Ann. § 26-26-1702.
A company may request an extension of time to file the Annual Report. The maximum allowable extension of time is 60 days. The extension request must be made in writing before the applicable due date for the Report and there must be good cause shown for extending the filing date. Ark. Code. Ann. § 26-26-1604.
What happens if a company fails to file a report on or before the due date?
Companies that fail to file Annual Reports on or before the statutory deadline or the extended deadline are considered delinquent and reported to the Department of Finance and Administration (DFA) for appropriate action. The DFA may impose a penalty for each day that the company is delinquent in filing the report. Ark. Code. Ann. § 26-26-1604.
Does the company have an opportunity to meet with Tax Division staff before the assessment is determined?
Yes, a company may request an informal hearing before the final assessment of the company’s property is determined. Ark. Code. Ann. §26-26-1609.
Is there an appeal process if a company is dissatisfied with the final assessment?
A final assessment notice is mailed to the owner of each company subject to assessment by the Tax Division. If the owner of the property disputes the amount of the assessment, the owner of the property may file a written petition for review of the assessment with the appropriate commission within thirty (30) days of the date of the notice of the assessment. Ark. Code. Ann. §26-26-1610.
When are the utility assessments certified to the counties?
The Tax Division must certify all utility and railroad assessments and carrier situs assessments to the counties on or before July 15 of each year. The counties bill and collect the taxes on the assessments certified by the Tax Division. Ark. Code. Ann. §26-26-1612.
The assessments on airlines, barge lines, motor carriers and private rail car companies are certified to the Department of Finance and Administration in February of the following year for billing and collection of the taxes made on the assessments certified by the Tax division. Ark. Code Ann. §26-26-1614.
How do I determine the “Market Value” of my trucking or bus equipment?
Tractor or trailer dealerships, The Truck Blue Book or NADA books have information on market or retail values of equipment.
How do I know if my report has been received by the Tax Division?
You may contact the Tax Division by phone or email.
Does the Tax Division need the original report form mailed if it is electronically filed or emailed?
No. One copy is sufficient. Emailed copies are acceptable for filing. It is the company’s responsibility to verify that the report has been received in its entirety by our office.
If a motor carrier, passenger carrier, barge line, or private rail car did not travel through Arkansas, must the report be filled out and returned to the Tax Division?
Yes. The report must be completed indicating no travel and returned to the Tax Division to avoid a delinquent penalty and a default assessment.
How does the Tax Division determine which motor carriers, passenger carriers, barge lines, or private rail cars receive Annual Tax Reports?
The Tax Division sends Annual Reports to motor carriers and passenger carriers:
The Division uses Port Vision to determine if a barge line has been on Arkansas waterways.
Private rail car companies are often reported to us by the railroad companies who pull them.
What if I have more questions?
We are available Monday through Friday from 8 a.m. to 4:30 p.m. (With the exception of public holidays.) Our email address is tax@arkansas.gov. By phone, questions concerning motor or passenger carriers should be directed to 501-682-1272. All other industries should call 501-682-1231.