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Tax Abatement Programs

 

Enterprise Zone Program

A. Manufacturing Benefits (in zone)

Personal Property and Real Property new to the Grand List

80% tax abatement for five years

50% reimbursement by the State of Connecticut

B. Commercial Benefits – Real Estate only

Real Property new to Grand List

100%, 100%, 50%, 40%, 30%, 20%, 10% - seven years

No reimbursement by the State of Connecticut

 

Outside the Enterprise Zone

A.  Tax Partnership Program - Located anywhere

       Value of improvement, not including Real Property, Applies to NAICS #236210, 711110-711219, 713920, 713110 (Recreation, agriculture, theaters, musical groups, ski facilities, amusement parks)

       $250,000 and over   -    50%, 50%, 50%, 50%, 50% - five years (No reimbursement by the State of Connecticut)

       If municipal improvements on established municipal infrastructures are performed by a private entity, the entity may apply for the tax partnership program for the value of those improvements if the improvements exceed $200,000.

       The tax abatement shall apply as follows:  One hundred percent (100%) of the value of all municipal improvements shall be abated but will be limited to the Two (2) successive Grand Lists.

       If the value of the improvements exceed the value of the two (2) successive Grand Lists, that additional amount shall not be abated.

       This program must be applied for prior to the municipal improvements and the value of the municipal improvements shall be reviewed by the Public Works Committee of the Town of Southington and the final determination of value will be by the Town Council.

       Application for this program shall be made through the Economic Development Department and the Town Council in its sole discretion can approve or deny the application.

B.   Industrial/Manufacturing Benefits

       1.     Applies to SIC #2000 thru 3999, inclusive and NAICS 2373, 2379, 312140 and 4841.

               Personal Property and Real Property new to the Grand List

               40% tax abatement for five years

       2.     Applies to SIC #2000 thru 3999, inclusive and NAICS 2373, 2379, 4841 and 312140.

               Personal Property and Real Property new to the Grand List

               Industrial zoned property that has been at least fifty percen vacant for a period of ten years or more.  The fifty percent shall be based upon gross floor square footage.

               The minimum investment to qualify under this program shall be $200,000 new to the Grand List for real estate and $200,000 new to the Grand List for personal property

                                     Year One:       100%

                                     Year Two:       100%

                                     Year Three:     100%

                                     Year Four:         75%

                                     Year Five:         50%

               Should the value of real property and personal property new to the Town of Southington's Grand List in the aggregate be $2,500,000 or more, the Town Council may, at its option, waive the local portion of the building permit fee for new construction in addition to Sections 1 and 2 referenced above.

               These programs shall expire without further action of the Town Council on July 1, 2017.  All applicants applying before that date shall be eligible for the program.

               Applicants are allowed to be awarded only one program by the Southington Town Council.