Nonprofit low-income housing development

From the 2024 DOR Tax Exemption Study

84.36.049 - Nonprofit low-income housing development Description All real property owned by a nonprofit entity or qualified cooperative association for the purpose of developing or redeveloping on the real property one or more residences to be sold to low-income households, including certain land leases, is exempt from state and local property taxes. Purpose To reduce the cost of developing low-income housing. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $0.104 $0.107 $0.109 $0.112 Local Taxes $0.308 $0.325 $0.343 $0.363 Repeal of Repealing a property tax exemption would not increase state revenues. A repeal exemption shifts the state property tax to the currently exempt taxpayers and reduces the tax burden of other taxpayers. It may decrease the local rate and possibly result in local taxing districts at their statutory maximum rate experiencing a revenue increase. Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $0.000 $0.000 $0.000 Local Taxes $0.000 $0.009 $0.019 $0.020 Assumptions - The total estimated exempt value is $47.9 million. - This repeal takes effect beginning with property ta