INSTRUCTIONS FOR FILING LESSORS’ EXEMPTION CLAIM
IMPORTANT NOTICE
A qualifying institution is one whose property is used for free public libraries and free museums, and for property used exclusively
for public schools, community colleges, state colleges, state universities, University of California, churches, and nonprofit colleges.
Failure to submit the lessee’s affidavit will result in denial of the exemption for the lessor. Submission of the lessee’s affidavit
after the date the claim form is due (for taxpayers not required to file a property statement) or after the last day for filing
the lessor’s property statement without penalty under section 463 of the Revenue and Taxation Code (for taxpayers required to file a property statement) will result in a portion of the exemption being denied. A Lessee’s Affidavit is not required for free public library or free museum exemption.
A sample affidavit is included as page 3 of this form.
IDENTIFICATION OF APPLICANT
Enter your company or organization information.
FISCAL YEAR
The fiscal year for which an exemption is sought must be entered correctly. The proper fiscal year follows the lien date (12:01 a.m., January 1)
as of which the taxable or exempt status of the property is determined. For example, a person filing a timelyclaim in February 2011
would enter “2011-2012” on line four of the claim; a “2010-2011” entry on a claim filed in February 2011 would signify that a late claim
was being filed for the preceding fiscal year.
USES OF PROPERTY
Check each of the types of property being claimed, and state the primary and incidental uses of the property.
Enter the name and address of the lessee. If additional space is required, or if more than one lessee is being listed, attach an itemized list.
Confirm, by checking the appropriate box, that the lease confers upon the lessee the exclusive right to possession and use of the property,
except for free public libraries and free museums.
Check the appropriate box regarding property statement reporting. If you own taxable personal property in any county whose aggregate cost is $100,000
or more for any assessment year, you must file a property statement with the Assessor of that county whether or not specifically requested to do so.
Any person not otherwise required to file a statement shall do so upon request of the Assessor, regardless of aggregate cost.
Check the appropriate box to indicate whether the affidavit is attached or will be submitted with the property statement.
If the property, or a portion thereof, for which exemption is claimed is a student bookstore that generates unrelated business
taxable income as defined in section 512 of the Internal Revenue Code, property taxes are determined by establishing a ratio of the
unrelated business taxable income to the bookstore’s gross income.
PROPERTY TAX BENEFITS
Property tax benefits claimed herein must be passed on to the lessee in the form of:
(1)Reduction in rental payments (sections 202.2 and 206.2, Revenue and Taxation Code). (2)Refund of rental payments,
if paid (sections 202.2 and 206.2, Revenue and Taxation Code). (3)Claim by lessee under the provisions of section 5096,
Revenue and Taxation Code, for a refund of taxes paid by a lessor (section 202.2, Revenue and Taxation Code).
Note: Where the lessee files a claim for an exemption and reports leased property, such property will be allowed the exemption if used in an exempt manner.
