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§ 4712-107. Eligibility requirements

Purdon's Pennsylvania Statutes and Consolidated StatutesTitle 72 P.S. Taxation and Fiscal AffairsEffective: September 14, 2020

Purdon's Pennsylvania Statutes and Consolidated Statutes
Title 72 P.S. Taxation and Fiscal Affairs
Chapter 4. Local Taxation (Refs & Annos)
Exemptions (Refs & Annos)
Tax Exemption and Mixed-Use Incentive Program Act
Effective: September 14, 2020
72 P.S. § 4712-107
§ 4712-107. Eligibility requirements
Currentness
(a) General rule.--The completed new construction or improvement must:
(1) Conform to zoning ordinance requirements. However, if mixed-use development is permitted in a designated deteriorated area, any improvement must meet any applicable mixed-use housing and development standards.
(2) Increase the value of the property by at least 25%.
(3) Correct all code violations, if applicable.
(b) Ineligibility.--A property is ineligible for tax exemption under section 5(a)1 if:
(1) The property receives other property tax abatement or exemption incentives for new construction or improvement.
(2) The property receives tax relief through a State program, except as provided in subsection (d).
(3) The property owner or developer is delinquent on property taxes related to the subject property, unless the delinquent taxes are paid prior to construction or payment of delinquent taxes has been arranged with the local taxing authority in accordance with an installment plan.
(4) The property owner has a legal or equitable interest in other property for which property taxes are delinquent, unless the delinquent taxes are paid prior to construction or payment of delinquent taxes has been arranged with the local taxing authority in accordance with an installment plan.
(5) New construction or improvement has commenced prior to filing an application under section 6.2
(6) The property includes an improvement under subsection (c) that poses a health or safety risk to an individual residing above the first floor.
(c) Restriction.--For an improvement under this act that involves mixed-use housing and development, certain establishments may not be sited on the first floor for health and safety reasons. The establishments include, but are not limited to, the following:
(1) Gas stations or automobile service stations.
(2) Drive-through establishments.
(3) Adult entertainment establishments.
(4) Storage trailers and outdoor storage of goods associated with commercial use unless use of the structure is necessary during construction.
(5) Junkyards.
(6) Recycling service centers.
(7) Animal hospitals and animal sales.
(8) Heavy manufacturing.
(9) Establishments that utilize biohazards.
(10) Establishments that sell firearms and other weapons, unless the occupant is the owner of the establishment.
(d) Exception.--The amount of assessment eligible for exemption under this act shall be offset by the amount of property tax rebate received under Chapter 13 of the act of June 27, 2006 (1st Sp.Sess., P.L. 1873, No. 1),3 known as the Taxpayer Relief Act.
(e) Limitations.--The property qualifying for and receiving a tax exemption under the program shall be ineligible for or receive an additional tax exemption under this program for a minimum of 15 years from the date the property received a tax exemption under the program.
(f) Prohibitions.--For the period of time that a property receives a tax exemption under the program, no purchase or sale of the property or any portion thereof shall be structured in a manner that excludes or exempts the transaction from a realty transfer tax due to a taxing authority that would otherwise not be excluded or exempt, except in the following cases:
(1) a sheriff sale or tax claim bureau sale;
(2) a corrective deed;
(3) a transfer by the mortgagor to the holder of a bona fide mortgage in default in lieu of a foreclosure;
(4) a transfer to a judicial sale in which the successful bidder is the bona fide holder of a mortgage; or
(5) any other transaction excluded from the realty transfer tax under Article XI-C of the act of March 4, 1971 (P.L. 6, No. 2),4 known as the Tax Reform Code of 1971.

Credits

2020, July 14, P.L. 631, No. 61, § 7, effective in 60 days [Sept. 14, 2020].

Footnotes

1
72 P.S. § 4712-105.
2
72 P.S. § 4712-106.
3
53 P.S. § 6926.101 et seq.
4
72 P.S. § 8101-C et seq.
72 P.S. § 4712-107, PA ST 72 P.S. § 4712-107
Current through Act 11 of the 2024 Regular Session. Some statute sections may be more current, see credits for details.
End of Document