The City of Lexington imposes a tax on personal property. The personal property tax is assessed on all motor vehicles and trailers which are garaged in the City of Lexington. Any owner or lessee of a motor vehicle which has a vehicle garaged in the City of Lexington needs to register the vehicle with the Commissioner of the Revenue within 60 days.

The personal property tax year begins January 1 and ends December 31. The personal property tax will be prorated on a monthly basis based on the number of months the vehicle is garaged in the City of Lexington. The annual assessment and taxation of motor vehicles for which the owner(s), or lessee has previously registered his vehicle with the Commissioner of the Revenue will be based on information used the previous year.

The City of Lexington uses the J. D. Powers (NADA) official guide’s clean trade-in value for assessment of personal property. If the J. D. Powers NADA official guide does not have an assessment for a vehicle, the assessment will be based on 85% of the purchase cost. Vehicles 20 years or older and not in the J.D. Powers (NADA) official guide will be assessed at $200.

Vehicles with high mileage will be considered for an adjustment based upon the J.D. Powers NADA official guide high mileage charts when documentation (oil change receipt, inspection receipt, etc.) are provided showing the mileage as of the beginning date of the assessment. Taxpayer can bring vehicle to COR’s office to verify mileage. All requests must be made prior to February 1st of each year or when vehicle gets situs in City of Lexington.

The personal property tax rate is established by the Lexington City Council. The current tax rate is $4.25 per $100 of assessed value. Mobile homes are assessed as personal property but are taxed at $0.92 per $100 of assessed value. Mobile homes are not prorated.