TAX REDUCTION ON PERSONAL PROPERTY
Specialized Tax Services, Inc. has implemented a program specifically designed to reduce the personal property taxes of printing plant equipment. For more than twenty years Specialized Tax Services, Inc. and its founder, David Pathe, have been able to reduce the property tax on printing plant equipment by at least 50%. The program began when Mr. Pathe was the head of the Tax Department at Treasure Chest Advertising Company, Inc., now known as Vertis. During this period while Mr. Pathe was at Treasure Chest, some of those Treasure Chest Advertising locations saw property tax reductions of as much as 70%. Since forming Specialized Tax Services, Inc, the reductions have increased. While each company and/or printing plant is unique, this process has been very successful.
Printers have always had to be competitive. However, in today’s economic environment, printers operate on the thinnest of margins and must control all costs to survive and prosper. Historically, printers have viewed property taxes as fixed costs which are not controllable. Nothing could be further from the truth.
For example, the public records show that the plants of three printing competitors in Dallas have vastly different assessed values even though they are of similar size. One plant, where Specialized Tax Services implemented a property tax reduction program, pays property taxes of about $90,000 per year while the other two plants are paying $600,000 and $1,000,000 per year respectively for the same year, 2007. If each plant paid the lower tax, these type of savings, or incremental profit, would go directly to the bottom line profits of those companies in the amount of $510,000 and $910,000 per year.
This process is available at no out-of-pocket cost to the taxpayer. All fees are based upon a percentage of the actual property taxes reduced, and paid out of those refunds or reductions. There is no required participation of the company’s corporate staff other than to sign a contract and provide existing records, while the balance of the work is performed at the plant.
Remember not all firms are created equal. It would only be prudent to ask for the prior results before signing a contract. We are happy to supply those results that are a matter of public record, and so should our competition.