TPP Exemptions in Palm Beach County
Understanding what types of tangible personal property qualify for tax exemptions in Palm Beach County is essential for local business owners, nonprofits, and tax professionals. Florida law requires businesses to report and pay taxes on certain tangible assets—but exemptions are available, and knowing what qualifies can save you money and time.
What Is Tangible Personal Property?
Tangible personal property (TPP) includes physical assets used in business operations that are not real estate. In Palm Beach County, this typically refers to:
- Office furniture and fixtures (desks, chairs, cabinets)
- Equipment and tools (from power drills to restaurant ovens)
- Computers, printers, and other electronics
- Machinery and manufacturing equipment
- Signage, shelving, and display units
- Leasehold improvements (fixtures added to rented spaces)
- Unregistered mobile homes used for commercial purposes
All of this property is reportable using Florida Form DR-405, unless exempt.
The $25,000 General Exemption
The most widely used exemption is the $25,000 exemption on tangible personal property. If a business files DR-405 by April 1, the first $25,000 of the property’s assessed value is automatically exempt from taxation. If the business’s total value remains at or below $25,000, and a waiver postcard is received, future filing may not be required unless the threshold is exceeded.
This exemption applies to nearly all business-use tangible assets, making it especially helpful for freelancers, small businesses, and startups with minimal equipment.
Exemptions for Special Property Types
In addition to the general exemption, Palm Beach County allows specific exemptions for certain asset types and entities, including:
- Nonprofits and religious organizations: Property used exclusively for charitable, educational, or religious purposes may be exempt from taxation.
- Affordable housing providers: Low-income housing developments may receive a full or partial exemption.
- Renewable energy devices: Solar panels and similar systems installed for business use may qualify.
- Seniors, widows/widowers, and people with disabilities: Additional exemptions may apply to personal-use property meeting certain qualifications.
Bottom Line
If your business owns tangible property in Palm Beach County, you may be eligible for valuable tax exemptions—especially if your assets are limited in value or serve a nonprofit or public benefit. File Form DR-405 by April 1 and consult the Palm Beach County Property Appraiser’s Office or a qualified tax advisor to ensure you’re claiming all exemptions available to you.
Dimov Tax is ready to present professional assistance in exemptions on tangible property in Palm Beach County. Contact us today for more than a decade of expertise.