Tax Day is a day that every adult should know about and something that I discuss every year! There are three types of people in this world when it comes to tax day. Those who had their taxes done in February and already received that refund check or paid what they owe, those who scramble at the last seconds to get their tax return post marked by the 15th, lucky enough like last year you get an extra few days until the 18th, and then those who file extensions. So which one are you? I was done with my personal taxes by the end of February because I like to see that, rare, refund check sooner than later!
So now you’re saying to yourself, “Yes, we know we have to file taxes. Thanks for the info, Joe.” Well did you know that if you are the owner of any railcar, 1 or 1000 cars that you have to pay taxes on these railcars for the miles they moved in different states? As a small business owner you might not have thought of this. If you didn’t know, call me today because this can come back to bite you!
Private railroad cars are railroad cars that are owned by companies who haul their own products, lease the cars to other shippers, or contract to carry the freight of other companies. They are not owned by the railroad companies. The private railroad car tax is a property tax on privately owned railroad car fleets operating within the state. The tax is directly levied and retained by the state and is in lieu of all local ad valorem property taxes on private railroad cars. The cars are assessed and taxed by the state since it is impractical for individual counties to subject railroad cars, which can be moved frequently, to the local property tax. The tax is based on the total mileage traveled by the railcars in the state compared to the total miles traveled everywhere and its fair market value. Cars owned by the railroads are not subject to the private railroad car tax because they are subject to the general property tax and are included in the overall value of the railroads.
If that wasn’t confusing enough then take a look at the Private Railcar Tax instructions for Tennessee.
The deadline to file taxes has past or right around the bend, did you know that? Like I said each state is different and each state has different due dates. It’s not too late to get your railcar taxes done though, so if you’re big or small don’t hesitate to contact us as soon as possible as we here at Iron Horse Logistics Group offer the service of filing your railcar taxes.
If you call by April 30th I will cut our fee in half to file your taxes for you!! You can get in touch with me by email me at firstname.lastname@example.org or call me at 330-617-4103.