What is considered tangible or intangible in business personal property?

The identification of business personal property as either tangible or intangible greatly depends on the physical or non-physical nature of the assets involved. Tangible property refers to items that have a physical presence, which can typically be seen and touched. Furniture and fixtures fall into this category, as they represent physical items used in business operations. These can include desks, chairs, shelving, and other equipment that an establishment uses to conduct its business.

In contrast, intangible assets lack physical substance. Patents and copyrights are examples of intangible property because they represent legal rights and privileges regarding intellectual property, but they cannot be physically touched or handled. While land ownership is a significant asset, it is classified differently compared to personal property, as land is typically categorized as real property rather than personal property.

Therefore, the correct choice recognizes furniture and fixtures as tangible assets, which are essential elements of business personal property. Understanding the distinction between tangible and intangible assets is crucial for property tax assessments and business accounting practices.