Tax Type
Local Taxes
Property Tax
Description
Assessment;Classification of Improvements on Leased Property;Reservation of Title in Lease Agreement
Topic
Local Power to Tax
Local Taxes Discussion
Property Subject to Tax
Date Issued
10-15-1975
A bank vault door, night depository and drive-in teller window attached to a building leased by a bank are taxable to the lessor as real estate, even though, according to the lease agreement, title to the improvements is reserved in the bank. For property tax purposes, improvements in a building are fixtures and become part of the real estate, imposing tax liability on the lessor, regardless of lease provisions reserving title in the lessee.
Attorney General's Opinion