ROANOKE TIMES
Copyright (c) 1997, Roanoke Times
DATE: Tuesday, March 4, 1997 TAG: 9703040052
SECTION: VIRGINIA PAGE: C-3 EDITION: METRO
DATELINE: RICHMOND
SOURCE: Associated Press
The increasing use of business computers has created a headache for local governments seeking to determine how much the machines are worth for tax purposes.
Many companies unhappy with their tax assessments are challenging the values in lawsuits. In January alone, eight companies sued Henrico County over levies on computers and related equipment.
The issues are complicated, so there's no way to determine how or when the cases might be resolved or how many more might be filed, said Joseph P. Rapisarda Jr., the county attorney for Henrico.
Virginia Beach, Richmond, Norfolk and the counties of Fairfax, Chesterfield and Hanover have had similar suits filed, Rapisorda said.
He declined to comment on the Henrico cases. But one brought by Circuit City Inc. is so complicated that two weeks in July have been set for trial - after negotiations lasting more than a year.
In November 1995, a judge in Fairfax ruled that the business personal property depreciation schedule used by the Northern Virginia county to assess computers was too high in the later years of the schedule.
In 1993, Fairfax took to the state Supreme Court another case alleging overtaxing on telecommunications equipment. That case led to a change in state law that requires localities to take into account ``technical obsolescence'' in equipment.
The requirement has created a problem because computer technology changes rapidly.
LENGTH: Short : 38 linesby CNB