A. Individual personal property utilized solely and exclusively for personal, nonbusiness, noncommercial, nonagricultural and nonincome producing uses or purposes is exempt from taxation under this chapter. This includes aircraft, boats and vessels used for nonbusiness, nonagricultural, noncommercial and nonincome producing purposes.

B. A taxpayer who files a timely business property return with the assessor shall be exempted the first $20,000 of assessed value of business personal property. For a taxpayer with more than one business personal property tax account, the $20,000 exemption shall be distributed pro rata among all of the taxpayer accounts, based on the proportion of the assessed value in each account to the total assessed value of that taxpayer’s business personal property.

C. Pursuant to AS 29.45.050(b)(2), the inventories of businesses possessing a valid business license from the state of Alaska are exempt from the tax imposed by this chapter. As used herein, “inventories” means personal property in the hands of a retail or wholesale merchant held for sale or personal property held in the form of raw materials or component parts for the manufacture or production of goods.

D. Pursuant to AS 29.45.050(b)(2), boats and vessels used for commercial purposes such as commercial fishing, charter boat fishing, or freight hauling, and fishing gear (i.e., nets, seines, crab pots, long lines, trawls) and any or all associated paraphernalia utilized for commercial fishing is exempt from property tax. [Ord. FY2015-11 §2, 2015; Ord. FY2014-10 §12, 2014; Ord. FY2011-07 §2, 2010].