Who is technically responsible to pay property taxes on a business? 2 Answers as of June 01, 2011Who 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
Steven J. Fromm | Steven J. Fromm & Associates, P.C.
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