Company Gets $2 Million in Iowa Fuel Tanks Out of Property Value

Above-ground propane tanks that can be removed and transported are nontaxable equipment under Iowa property assessment law, the state high court ruled Friday.

Equipment is only taxable real property in Iowa if attached to a building, structure, or improvement. “And because the tanks are not attached to the saddles on which they sit, they cannot be assessed as real property,” Justice Dana Oxley wrote for the unanimous Iowa Supreme Court.

Growmark Inc. is an agricultural company that purchased a fuel terminal in 2016, including 11 propane storage tanks. The tanks sit on concrete foundations but are unattached and can be ...