COLUMBUS, Ohio — Farmers should check their tax records to see if they are being taxed for their metal grain bins. Some Ohio counties are taxing them; others are not.

The Ohio Board of Tax Appeals (BTA) issued a decision that non-permanent grain storage bins are not considered real property and therefore are not subject to real property taxation. The Ohio Supreme Court will be looking at that, said Chad Endsley, general counsel for the Ohio Farm Bureau Federation (OFBF).

"We’re currently gathering information from our members," Endsley said. "The information we’ve collected so far, we know that in some counties they are taxing grain bins and in other counties they are not taxing grain bins. In other counties they may be taxing some but not all grain bins, so we have a real inconsistency across the state."

Also, some counties charge based on square feet and in some counties they charge based on the capacity, or the number of bushels the grain bin can store, Endsley said.

"We want fair, uniform taxation across the state but we also want for the Supreme Court of Ohio to uphold the BTA’s decision, which rules that the non-permanent grain storage bins are not real property, therefore not subject to real property taxation," he said."We definitely support the BTA’s decision."

According to the taxation section of the Ohio Revised Code, real property includes buildings, structures, improvements and fixtures. The definition of all of those terms requires some element of permanence – they have to be permanently attached to the land. Even a concrete silo would be considered a permanent structure because it is permanently attached to land and it cannot be disassembled, taken down and moved without causing major damage to the structure itself.

On the other hand, when metal grain bins are built, typically a concrete pad is poured and then the grain bin is bolted to that pad, Endsley said. The bin can easily be disassembled, taken down and moved to a new location by removing the bolts.

"We are encouraging all of our members and all property owners to check their tax card to see if they have metal grain bins to see if they’re being taxed as real property," he said. "If they are, we would encourage them to have a conversation with their county auditor to talk about getting those removed. The BTA’s decision is binding on all counties in the state."

The Ohio Supreme Court will probably not issue a decision until sometime next spring, and it will likely be after the March 31 deadline for property owners to file a complaint for revision, Endsley said. OFBF is encouraging property owners to talk with their auditor and decide on a course of action. "Farm Bureau’s position is that the inconsistency sets up an unfair system taxation which results in inaccurate property values from county to county," Endsley said. "So the Supreme Court’s ruling will provide clarity to the situation.

"We’re going to be filing an amicus brief in support of the elevator, asking the Supreme Court to uphold the BTA’s decision. We would encourage landowners to check their tax cards and talk to their county auditors if their metal grain bins are being taxed."