ARM 42.21.113. LEASED AND RENTAL EQUIPMENT

(1) Leased or rental equipment that is leased or rented on an hourly, daily, or weekly basis, but is not exempt under 15-6-201(1)(cc), MCA, will be valued in the following manner: (a) For equipment that has an acquired cost of $0 to $500, the department shall use a four-year trended depreciation schedule. The trended schedule will be the same as ARM 42.21.155, category 1. YEAR NEW/ACQUIRED TRENDED % GOOD 2007 70% 2006 43% 2005 18% 2004 and older 9% (b) For equipment that has an acquired cost of $501 to $1,500, the department shall use a five-year trended depreciation schedule. The trended schedule will be the same as ARM 42.21.155, category 2. YEAR NEW/ACQUIRED TRENDED % GOOD 2007 85% 2006 69% 2005 52% 2004 34% 2003 and older 20% (c) For equipment that has an acquired cost of $1,501 to $5,000, the department shall use a ten-year trended depreciation schedule. The trended schedule will be the same as ARM 42.21.155, category 8. YEAR NEW/ACQUIRED TRENDED % GOOD 2007 92% 2006 86% 2005 81% 2004 74% 2003 64% 2002 55% 2001 44% 2000 34% 1999 28% 1998 and older 23% (d) For equipment that has an acquired cost of $5,001 to $15,000, the department shall use the trended depreciation schedule for heavy equipment. The schedule will be the same as ARM 42.21.131. YEAR NEW/ACQUIRED TRENDED % GOOD 2008 80% 2007 65% 2006 58% 2005 55% 2004 50% 2003 45% 2002 42% 2001 38% 2000 35% 1999 32% 1998 30% 1997 30% 1996 29% 1995 29% 1994 27% 1993 25% 1992 24% 1991 23% 1990 23% 1989 and older 22% (e) For rental video tapes the following schedule will be used: YEAR NEW/ACQUIRED TRENDED % GOOD 2007 25% 2006 15% 2005 and older 10% (2) For all other leased property that is not rented on an hourly, daily, or weekly basis, the valuation procedures shall be the same as other like personal property. (3) When a special mobile permit (SM plate), as defined in 61-1-104, MCA, is purchased for lease or rental equipment, the equipment will be classified and valued the same as other SM equipment in class eight. (4) All leased and rental property not exempt under 15-6-201(1)(cc), MCA, will be assessed and taxed as class eight property. (5) This rule is effective for tax years beginning after December 31, 2007.