Heavy Equipment Dealer Inventory – Reporting Requirements

What Is Heavy Equipment Dealer Inventory?

Heavy equipment dealers are taxed under Texas Property Tax Code §23.1241.

Heavy equipment generally includes equipment that:

• weighs at least 500 pounds 
• is used for agricultural, construction, industrial, mining, maritime, or forestry purposes 
• is not a titled motor vehicle
• self-propelled, self-powered, or pull-type equipment

Heavy equipment inventory value is calculated using the dealer’s sales, leases, or rentals from the prior year. 

Annual Declaration Requirement

Heavy equipment dealers must file an annual inventory declaration.

Form:  Form 50-265 – Dealer’s Heavy Equipment Inventory Declaration

Due date: February 1 each year

The declaration reports the total annual sales, leases, and rentals from the previous year. 

Monthly Inventory Statement

Heavy equipment dealers must file a monthly inventory tax statement reporting equipment sold, leased, or rented during the prior month.

Due date: On or before the 20th day of each month

The statement assigns a unit property tax to each item sold, leased, or rented during the reporting period. Dealers must file the statement even if no transactions occurred during the month.

Important Notes

• Heavy equipment inventory is taxed under the Special Inventory Tax system. 
• Unit property tax is calculated using the sales price or lease payments for each item. 
• This system differs from standard BPP inventory valuation.

Need Help? 

Contact the Business Personal Property Department at:

Bexar Central Appraisal District
411 N Frio St
PO Box 830248
San Antonio, TX 78283-0248
Phone: 210-242-2432
Fax: 210-242-2454 or 210-242-2453