§14502 Tax Discrimination Against Motor Carrier Transportation Property

Summary

Stops a State or local tax authority from treating trucking company property worse than other business property in the same area. Assessment means the value set for a property tax. Assessment jurisdiction means the geographic area used to set those values. Motor carrier transportation property means property owned or used by a motor carrier doing interstate transport. Commercial and industrial property means business or industrial property (not transportation property, farm land, or timber land). A taxing body may not value motor carrier property so that its assessed-to-market ratio is higher than the ratio for other commercial and industrial property in the same area. It also may not tax a forbidden assessment or charge a higher ad valorem tax rate on motor carrier property than on other commercial and industrial property in that area. A U.S. district court can stop these violations. The court can give relief only if the motor carrier ratio is at least 5 percent higher than the ratio for other commercial and industrial property. Who proves assessed and market values follows State law. If the court cannot find the other-property ratio using a sales assessment ratio study, the court will treat a higher motor carrier assessment ratio (or a higher ad valorem tax rate on that property) as a violation.