DeKalb County Bd. of Tax Assessors v. Lanier Worldwide, Inc., A92A2190

• Decision Date: 02 April 1993
• Docket Number: No. A92A2190,A92A2190
• Citation: 208 Ga.App. 435,430 S.E.2d 595
• Parties: DeKALB COUNTY BOARD OF TAX ASSESSORS v. LANIER WORLDWIDE, INC.
• Court: Georgia Court of Appeals

Page 595

430 S.E.2d 595

208 Ga.App. 435

DeKALB COUNTY BOARD OF TAX ASSESSORS v. LANIER WORLDWIDE, INC.

No. A92A2190.

Court of Appeals of Georgia.

April 2, 1993.

Lisa F. Stuckey, Albert S. Johnson, Atlanta, for appellant.

King & Spalding, Steven J. Estep, Nolan C. Leake, Atlanta, for appellee.

POPE, Chief Judge.

This is an appeal by the DeKalb County Board of Tax Assessors ("BTA") from the trial court's denial of its motion for new trial.

The headquarters of Lanier Worldwide, Inc. ("Lanier") and a large regional warehouse are located in DeKalb County. For many years Lanier applied for and received a freeport exemption from taxation on its inventory located in DeKalb County. In 1991, Lanier's freeport exemption was denied because the application was deemed untimely by the BTA. Although the envelope in which it was mailed contained a meter strike dated April 1, 1991, the postmark date on the envelope was April 5, 1991.

Prior to 1991, Lanier had timely submitted its taxes and applications for freeport exemptions. In 1991, Lanier's application for the freeport exemption was prepared by Corporate Tax Consultants ("CTC"). The CTC employee who prepared the application testified she mailed it by depositing the envelope containing the application in a United States post office on April 1, 1991.

1. The statute authorizing a freehold exemption in Georgia, OCGA § 48-5-48.1, provides in pertinent part: "Any person, firm, or corporation seeking an exemption from ad valorem taxation of certain tangible personal property inventory when such exemption has been authorized by the governing authority of any county or municipality after approval of the electors of such county or municipality pursuant to the authority of the Constitution of Georgia or Code Section 48-5-48.2 [Freeport Exemption] shall file a written application and schedule of property with the county board of tax assessors on forms furnished by such board. Such application shall be filed in the year in which exemption from taxation is sought no later than the date on which the tax receiver or tax commissioner of the county in which the property is located closes his books for the return of taxes." (Emphasis supplied.) OCGA § 48-5-48.1 (a). That statute further provides: "The failure to file properly the application and schedule shall constitute a waiver of the exemption on the part of the person, firm, or corporation failing to make the application for such exemption for that year." (Emphasis supplied.) OCGA § 48-5-48.1(c).

Thus, the term "filed" is not defined in that statute nor is the term defined in the chapter of the Code concerning ad valorem taxation of property. The two employees of the BTA who testified at trial stated that the BTA decides whether an application for a freeport exemption is timely filed by applying its internal policy, which requires the application must either be received on or before April 1 (the date on which the books are "closed" in DeKalb County) or the envelope in which the application is mailed must be postmarked by a United States post office with a date on or before April 1. ¹ This internal policy is mentioned in the documentation mailed to taxpayers in a paragraph in the instruction sheet for filing returns for personal property and for freeport exemption. That paragraph provides: "Last day for filing without 10% penalty is April 1. The penalty will apply on any returns received or postmarked after April 1. Where metered mail is counter stamped by the Post Office, then the Post Office date is the only acceptable date. CAUTION! Check with the Post Office to be sure that the date of deposit and the postmark date are the same if mailing is close to the deadline. Freeport exemption must be applied for no later than April 1. Application for freeport exemption after April 1 will not be accepted. There is no legal basis for granting an extension of time or waiving the penalty. Please do not ask for either."

Lanier presented no evidence that it complied with the internal policy established by the BTA to determine when applications for freeport...