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 15-6-202 or 15-6-219, 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 2015 70% 2014 44% 2013 19% 2012 9% Older 5% (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 2015 85% 2014 71% 2013 53% 2012 33% 2011 23% Older 18% (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 2015 92% 2014 86% 2013 79% 2012 70% 2011 62% 2010 53% 2009 42% 2008 35% 2007 28% 2006 25% Older 20% (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 2016 80% 2015 65% 2014 60% 2013 57% 2012 52% 2011 48% 2010 46% 2009 43% 2008 38% 2007 36% 2006 34% 2005 33% 2004 30% 2003 28% 2002 26% 2001 23% 2000 23% 1999 21% 1998 20% 1997 and older 20% (e) For rental video tapes and digital video disks, the following trended depreciation schedule will be used: YEAR NEW/ACQUIRED TRENDED % GOOD 2015 25% 2014 15% 2013 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 15-6-202(4) or 15-6-219(5), MCA, will be assessed and taxed as class eight property. (5) This rule is effective for tax years beginning after December 31, 2015.