Tax Phase-In Assistance

Tax Phase-In Program

Tax Phase-In allows for the gradual phasing in of new real and personal property tax that has occurred due to an increase in assessed value of a building and/or the purchase of equipment. In a Tax Phase-In, any incremental tax (above current tax base) owed due to construction of or improvements made to the building and/or purchase of certain equipment occur in graduated steps. Full taxes on these improvements would commence after the allotted time.

Real Property

Qualifying investments for improvements for construction, rehabilitation, or redevelopment of property/dwelling:

Term of the Abatement
  1 Year 2 Years 3 Years 4 Years 5 Years 6 Years 7 Years 8 Years 9 Years 10 Years
YR 1 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
YR 2   50% 66% 75% 80% 85% 85% 88% 88% 95%
YR 3     33% 50% 60% 66% 71% 75% 77% 80%
YR 4       25% 40% 50% 57% 63% 66% 65%
YR 5         20% 34% 43% 50% 55% 50%
YR 6           17% 29% 38% 44% 40%
YR 7             14% 25% 33% 30%
YR 8               13% 22% 20%
YR 9                 11% 10%
YR 10                   5%

Personal Property

Qualifying new manufacturing, research and development, information technology and logistics/distribution equipment that is used directly in production, research and development, or logistical distribution:

Term of the Abatement
  1 Year 2 Years 3 Years 4 Years 5 Years 6 Years 7 Years 8 Years 9 Years 10 Years
YR 1 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
YR 2   50% 66% 75% 80% 85% 85% 88% 88% 90%
YR 3     33% 50% 60% 66% 71% 75% 77% 80%
YR 4       25% 40% 50% 57% 63% 66% 70%
YR 5         20% 34% 43% 50% 55% 60%
YR 6           25% 29% 38% 44% 50%
YR 7             14% 25% 33% 40%
YR 8               13% 22% 30%
YR 9                 11% 20%
YR 10                   10%

 

Any questions concerning the Evansville/ Vanderburgh County Tax Phase-In Application process should be directed to Andrea Lendy.

*For Real Estate Improvements, you must submit the application before you obtain a building permit. For new manufacturing equipment and research & development equipment, you should apply at least 60 days prior to the anticipated installation date.