The City of Anderson offers up to a 10 year partial tax abatement on increased tax assessments as a result of improvements made to real property. A 10 year partial tax abatement is also available for increased business personal property as a result of the installation of new manufacturing equipment.
Tax abatements in each instance, are allowable only within the city’s corporate limits in areas designated as Economic Revitalization Areas.
Economic Revitalization Area Designation
Under Public Law (I.C.6-1.1-12.1-1
, as amended), the Common Council of the City of Anderson is empowered to designate geographic areas of the city as Economic Revitalization Areas.
An Economic Revitalization Area must have "become undesirable for, or impossible of, normal development and occupancy" because of such factors as lack of development, cessation of growth, deterioration of improvements, or character of occupancy, age, obsolescence, substandard buildings, or other factors that have impaired values or prevents a normal development of property.
Additionally, an economic revitalization area includes an area with a facility in danger of losing either employment or tax revenues to the city as a result of impending economic or energy obsolescence.
Real Property Tax Abatement
The taxes payable as a result of increased assessment from improvements to real property within designated economic revitalization areas are eligible for abatement. Abatement is only for the increase in assessed value which means it cannot be applied to the value of existing structures. Abatement is also for structures or buildings; land does not qualify for deduction.
A building may be eligible for Vacant Building Tax Abatement if it is used and zoned for industrial or commercial and unoccupied for at least one year.
Personal Property Tax Abatement
New manufacturing equipment, new research and development equipment, new logistical distribution equipment and new information technology equipment are eligible for personal property tax abatement. Used equipment can also qualify as long as such equipment is new to the state of Indiana or acquired within the
state in an “at arms length” transaction between distinctly separate corporate entities. Personal property that is already being taxed in Indiana cannot be abated.
Equipment not used in direct production, such as office equipment, furniture and fixtures, does not qualify for abatement.
For additional information regarding the tax abatement program, the application, and the procedure for getting started, contact Karen Soetenga
in the Economic Development Department at 765-648-6112.
for Commercial Real Property Tax Abatement Application Packet
for Vacant Building Tax Abatement Application Packet
for New Equipment Property Tax Abatement Application Packet
for Residential Property Tax Abatement
to apply online for Commercial Real Property Tax Abatement
to apply online for Vacant Building Tax Abatement
to apply online for New Equipment Property Tax Abatement
to apply online for Residential Property Tax Abatement