Who is technically responsible to pay property taxes on a business?
Who is technically responsible to pay property taxes on a business? The business property is owned by another party and the business operations is owned by a separate party. The business operator pays rent and also pays the property taxes. Is this a normal practice? Thanks
Answered By: Steven J. Fromm
The answer lies in the lease agreement. If it is a net net lease, where the tenant is responsible for all expenses related to the premises, including taxes, then it is the tenant, or in your case the business operator, who must pay. As to this being the normal practice, many leases are net net leases and the tenant is responsible for such expenses.
Answer Applies to: Pennsylvania
Replied: 5/31/2011
Disclaimer: The response above does not form an attorney-client relationship. This answer may or may not apply to you and should not be relied upon as legal advice. LawQA does not make any representation as to the expertise or qualifications of this attorney. This attorney may or may not be admitted to state bar of your state.
Answer Applies to: Pennsylvania
Replied: 5/31/2011
Disclaimer: The response above does not form an attorney-client relationship. This answer may or may not apply to you and should not be relied upon as legal advice. LawQA does not make any representation as to the expertise or qualifications of this attorney. This attorney may or may not be admitted to state bar of your state.
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