The Collision Between Non-Profits and the Cities Over the Property Tax: Possible Solutions
Richard D. Pomp, The Collision Between Non-Profits and the Cities Over the Property Tax: Possible Solutions, in Property Tax Exemptions for Charities: Mapping the Battlefield (E. Brody ed. 2002)
9 Pages Posted: 7 Jul 2017
Date Written: 2002
Many cities have their property tax bases eroded by the high percentage of exempt non-profit entities. Some of these entities are justified in their tax-exempt status, but many are not. This chapter in Property Tax Exemptions for Charities: Mapping the Battlefield, applauds efforts to reform the property tax exemption for non-profits in cities. The chapter proposes a narrow definition of “non-profit” in order to increase the amount of taxable property in cities, eliminating low-income cities subsidizing higher-income suburbs. The chapter proposes seven politically realistic proposals for reforming the property tax exemption for “non-profits” within the existing legal structure, as opposed to the politically unpalatable, and perhaps unconstitutional elimination of the property tax exemption in favor of explicit cash subsidies.
Suggested Citation: Suggested Citation