Tangible personal property-index and depreciation.

Plain English Breakdown

Checked against official source text during the last sync.

Tangible Personal Property Valuation and Depreciation

This law changes how tangible personal property is valued for tax purposes by using specific indexes and depreciation schedules.

What This Bill Does

• Requires the Department of Revenue to set rules on how to value tangible personal property for taxes.
• Specifies that fair market value should be determined using valuation indexes and depreciation schedules.
• Defines a 'depreciation floor' as twenty percent (20%) of the reported installed cost of the property.
• Sets a constant trending factor once the property reaches the depreciation floor until it is removed from service.

Who It Names or Affects

• Businesses that own tangible personal property and pay taxes on it.
• The Department of Revenue, which must create rules for valuation and depreciation.

Terms To Know

depreciation floor

Twenty percent (20%) of the reported installed cost of the property.

valuation indexes

Specific measures used to determine fair market value for tax purposes.

Limits and Unknowns

• The law does not specify how valuation indexes and depreciation schedules will be created.
• It is unclear what happens if the property's value falls below twenty percent of its installed cost.

Official Summary Text

Bill Summary - 25LSO-0110

Bill No.:

SF0049

Effective:

1/1/2026

LSO No.:

25LSO-0110

Enrolled Act No.:

SEA No. 0008

Chapter No.:

20

Prime Sponsor:

Joint Revenue Interim Committee

Catch Title:

Tangible personal property-index and depreciation.

Has Report:

No

Subject:

Tangible personal property-index and depreciation.

Summary/Major Elements:

This bill revises the method for determining the value of personal property for the purpose of administering property taxes on the property.

The bill specifies that the fair market value of personal property shall be determined using valuation indexes and depreciation schedules prescribed by rule and regulation of the Department of Revenue. Once the tangible personal property is depreciated to the depreciation floor, the bill specifies that the trending factor shall remain constant for subsequent years until the property is removed from service.

The bill defines "depreciation floor" to mean twenty percent (20%) of the reported installed cost of the property.

Comments:

Has a delayed effective date of January 1, 2026.

The above summary is not an official publication of the Wyoming Legislature and is not an official statement of legislative intent.

While the Legislative Service Office endeavored to provide accurate information in this summary, it should not be relied upon as a comprehensive abstract of the bill.

Current Bill Text

25LSO-0110

ORIGINAL Senate

ENGROSSED
File No
.
SF0049

ENROLLED ACT NO. 8,

SENATE

SIXTY-EIGHTH LEGISLATURE OF THE STATE OF WYOMING
2025 General Session

AN ACT relating to ad valorem taxation; requiring tangible personal property to be valued using valuation indexes and depreciation schedules as specified; requiring rulemaking; and providing for effective dates.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1
.

W.S. 39
‑
13
‑
103(b)(ii) is amended to read:

39
‑
13
‑
103.

Imposition.

(b)

Basis of tax.

The following shall apply:

(ii)

All taxable property shall be annually valued at its fair market value. Except as otherwise provided by law for specific property, the department shall prescribe by rule and regulation the appraisal methods and systems for determining fair market value using generally accepted appraisal standards
. For tangible personal property, fair market value shall be determined using valuation indexes and depreciation schedules prescribed by rule and regulation of the department. Once the tangible personal property reaches the depreciation floor, the trending factor shall remain constant for subsequent years until the property is removed from service. As used in this paragraph, "depreciation floor" means twenty percent (20%) of the reported installed cost of the property. As used in this paragraph, "tangible personal property" excludes any property that is valued under W.S. 39-13-102(m) and mobile homes required to be titled under W.S. 31-2-501 through 31
‑
2
‑
508
;

Section 2
.

The department of revenue shall promulgate all rules necessary to implement this act.

Section 3
.

(a)

Except as otherwise provided in subsection (b) of this section, this act is effective January 1, 2026.

(b)

Sections 2 and 3 of this act are effective immediately upon completion of all acts necessary for a bill to become law as provided by Article 4, Section 8 of the Wyoming Constitution.

(END)

Speaker of the House

President of the Senate

Governor

TIME APPROVED: _________

DATE APPROVED: _________

I hereby certify that this act originated in the Senate.

Chief Clerk

1