ARM 42.21.113. LEASED AND RENTAL EQUIPMENT

(1) Leased or rental equipment that is leased or rented on an hourly, daily, weekly, semimonthly, or monthly basis, but is not exempt under 15-6-219(5) or 15-6-202(4), 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 2009 70% 2008 42% 2007 16% 2006 and older 8% (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 2009 85% 2008 75% 2007 58% 2006 38% 2005 and older 22% (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 2009 92% 2008 89% 2007 83% 2006 75% 2005 67% 2004 59% 2003 47% 2002 37% 2001 29% 2000 and older 25% (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 2010 80% 2009 65% 2008 58% 2007 56% 2006 50% 2005 44% 2004 41% 2003 38% 2002 36% 2001 36% 2000 29% 1999 25% 1998 24% 1997 24% 1996 25% 1995 22% 1994 21% 1993 22% 1992 21% 1991 and older 21% (e) For rental video tapes and digital video disks the following schedule will be used: YEAR NEW/ACQUIRED TRENDED % GOOD 2009 25% 2008 15% 2007 and older 10% (2) For all other leased property that is not rented on an hourly, daily, weekly, semimonthly, or monthly basis, the valuation procedures shall be the same as other like personal property. (3) When a special mobile permit (SM plate), as defined in 61-4-101(66), 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 15-6-219(5) or 15-6-202(4), MCA, will be assessed and taxed as class eight property. (5) This rule is effective for tax years beginning after December 31, 2009.