Tax abatement is an economic development tool the City of Indianapolis utilizes to assist business and property owners when making a capital investment. The goals of this economic development incentive are to expand the tax base, to create and retain good paying jobs, and to diversify the local economy.
Tax abatement does not provide a 100% abatement of property taxes each year. The increase in the assessed value due to the project will gradually phase in over a one to ten year period. The City of Indianapolis does view the granting of tax abatement as a public sector investment in the company and consequently evaluates each applicant based on policy criteria when making a recommendation to the Metropolitan Development Commission for tax abatement.
The City of Indianapolis administers both real and personal property tax abatements:
Real & Personal Tax Abatement Policy
Tax Abatement Forms