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Tax Credits and IncentivesRachel2021-10-26T12:52:20-04:00

Neighborhood small businesses may be eligible for tax credits to reduce their local, state, or federal tax obligations.

These credits incentivize certain business activities or sectors, such as investments in research and development, local hiring or employee benefits, or environmentally sustainable practices. Credit amounts and benefits vary and are assigned by municipal agencies administering the programs.

These credits and incentives include:

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Tax Abatements

A tax break, reduction or elimination of property taxes offered by a jurisdiction.

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Business or Community Improvement Districts

An area where businesses pay an additional tax to an organization that manages and provides services.

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Tax Increment Financing

An area designated as a tax district where its future tax revenues are diverted to infrastructure improvements.

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Real Estate Taxes

A real estate transfer tax, also known as an anti-speculation tax, is a one-time tax imposed by a state or local jurisdiction on property transfers.

Strategies in Action

Real Estate Transfer Tax – San Francisco, CA

Rachel2023-05-21T20:08:03-04:00Strategy Categories: Real Estate Taxes|

Small Business Improvement Fund – Chicago, IL

Rachel2023-05-21T20:06:47-04:00Strategy Categories: Tax Increment Financing|

Commercial Property Rehabilitation Tax Abatement Program – City of Falls Church, VA

Rachel2023-05-21T20:05:14-04:00Strategy Categories: Tax Abatements|

Additional Resources

Lincoln Land Institute Paper on TIFs

University of California at Los Angeles’s Real Estate Transfer Tax Reform