Personal Property
In Massachusetts, personal property generally refers to items that are not land or buildings, such as equipment, furniture, computers, and machinery. These are typically associated with businesses—for example, a restaurant’s ovens and tables or an office’s desks and computers—and are taxed because they contribute to a business’s overall value and ability to generate income. Personal property taxation helps ensure that businesses pay their fair share toward local services like schools, public safety, and infrastructure.
Most personal property owned by individuals, however, is not taxed. There are a few important exceptions. Personal property located in a second home that is not a primary residence may be subject to taxation, particularly in certain circumstances. Additionally, unregistered motor vehicles or trailers may be taxed as personal property if they are owned as of January 1, since they are not subject to the motor vehicle excise tax. These limited exceptions help ensure that all taxable property contributes fairly to the cost of running the community.