Industrial property filing
The Department of Revenue assists Oregon counties in the appraisal and valuation of Oregon industrial properties with a real property improvement value of more than $1 million.
"Industrial property" means a facility or property engaged in manufacturing or processing which includes, but is not limited to sawmills, plywood and veneer plants, paper and pulp mills, food processing facilities, bakeries, flour mills, chemical processing operations, refineries, breweries, wineries, bottling operations, machine shops, metal rolling mills, metal fabrication facilities, smelters, printing and publishing operations, seed processing operations, permanent sand and gravel operations, and electronic and high technology manufacturing operations (OAR 150-306-0100).
"Improvements" or "real property improvements," for determining responsibility for property of more than $1 million, means improvements erected upon, above or affixed to the land but not the land itself. Improvements include, but aren't limited to yard improvements, buildings, structures, and real property machinery and equipment. Improvements do not include site development and personal property.
Through an account review and transfer process we determine appraisal responsibility for industrial property and provide this information to the county [ORS 306.126(1)(4)].
We determine the value of a property through a physical appraisal and information provided by the taxpayer in the annual filing (ORS 308.411).
Filing requirements
State-appraised industrial taxpayers must file a completed Industrial Property Return (IPR) postmarked by March 15 of each year [ORS 308.290(4)]. Starting with the 2016 filing, extensions to the filing deadline are no longer allowed.
Oregon law requires that all costs of real and personal property be reported on the IPR. All information contained in the IPR is held confidential (OAR 150-192-0500).
Some state-appraised industrial property may be exempt from taxation however, we are still responsible for the appraisal and valuation of the property and a completed IPR is still required.
After we determine the value of a property, we advise the county assessor of its real market value (ORS 306.126).
Refer to the IPR instructions included every year with the forms for more details. Read our tips for industrial property tax assessments for addition information.
Tips for industrial property tax assessments:
Guidelines for the Industrial Property return (IPR):
- Organize property by account.
- Organize the real and personal property by category within each account.
- Provide the asset number and asset description for each asset.
- Avoid reporting project additions or retirements as a lump sum.
- Report additions and deletions to the correct account.
- Non-inventory supplies should not be reported as asset additions.
- Provide any other information that may affect your value. For example, going out of business, moving to another location, or selling of the property.
- Do not report your book or projected costs. Provide actual original costs, all indirect costs, and the year that the costs were incurred.
- Submit a complete personal property list. Writing “no change" or “same as last year" is not acceptable.
- Do not report the cost of your land.
- Do not report any costs associated with the items that are not on site as of the assessment date, such as prepayments. If you own assets in another location in Oregon, you may have to report them for that location.
- File your completed return timely to avoid a late filing penalty. Must be postmarked by
March 15.
When reporting machinery and equipment:
- Provide a detailed description of all costs for additions including the cost of the asset, freight charges, mechanical and electrical installation, special footing, foundations and supports, construction interest, engineering as well as any excess costs such as demolition, relocating, or retrofitting.
- Identify any rebuilds, remodels, upgrades, major maintenance costs, etc.
- Report your asset retirements so they are not included in your assessment.
- Retire all costs associated with the asset being retired including any rebuilds, remodels, or upgrades.
- Identify assets and costs that aren't assessable, such as licensed vehicles.
- If you buy or lease, report the original cost, date of acquisition, date, and lease amount.
- Identify leased assets and provide the information required on the IPR.
- Identify any asset that was purchased used, provide date of manufacturing if known.
- Identify and report equipment moved on or off site by intracompany transfer.
Industrial property forms
Visit our forms and publications center to download industrial property forms.
Industrial Property Taxpayer Training
Frequently asked questions
Answer: The Department of Revenue (DOR) conducts appraisals around the state each year. We are charged with maintaining real market value on industrial properties and a physical reappraisal is the primary way to achieve this.
Answer: The department is required by statute (ORS 306,126) to appraise industrial properties with a real market value over $1 million dollars. The department appraises the improvements (buildings, machinery, and personal property) and the county assessor's office appraises the land.
Answer: The amount of time we need to complete our appraisal will vary depending on the size and complexity of the facility. We try to minimize the time we must spend at your site while still gathering the information we need to complete our appraisal.
Answer: Per ORS 308.411 we are required to inform the owner of the plant of our intent to physically appraise the property and the date that appraisal will take place. If you are unable to meet on the date scheduled, call the appraiser listed in the "Pre-appraisal Letter" to arrange another date. Please provide several alternate dates as close as possible to the originally scheduled appraisal.
Answer: The first step upon arrival is generally to meet with the owner(s) and/or knowledgeable staff to discuss the operation, reviewing the questions you have already received from us as well as explaining the options for providing income information, which you will have also received. The appraiser will tour the facility with a knowledgeable person. After this they will begin their field listing of the assets; this may include measuring the building, taking notes, listing the machinery and equipment noting make, model, capacity, etc., and taking photographs of the machinery.
Answer: The information we gather is kept confidential according to statute. We do not release any information we gather while on your site. We will need to take photographs for our records.
Answer: We work with taxpayers to follow any safety procedures they have in place. If your policy is that our appraiser(S) must have an escort you will need to provide an escort for each appraiser and those escorts must be available for the duration of our visit.
Answer: Our appraisal process can take a bit of time as we collect data on comparable properties and equipment, research market
transactions, and compile and analyze data as we determine real market value. When we have completed our work we will contact you to share our appraisal with you.