News
May 22, 2015
Middle Smithfield Township is expected to adopt LERTA Ordinance
Business owners in Middle Smithfield Township can get ready to save on taxes if the LERTA Ordinance is adopted at the Public Hearing on Tuesday at 6pm. LERTA stands for the Local Economic Revitalization Tax Assistance Act.
What is a LERTA?
- Local Economic Revitalization Tax Assistance Act (LERTA) – Allows local taxing authorities (County, Municipal, School District) to grant tax abatements on improvements made to business properties in designated areas.
- Click here to view the Local Economic Revitalization Tax Assistance Act of 1977.
- Proposed Tax Abatement is over 5 years starting with 100% and decreasing 20% per year.
Why do we need a LERTA?
- Encourages businesses in the designated areas to make improvements
- Attracts new investment in the region
- Creates new job opportunities. Employed local people spend locally
LERTA helps new businesses get started and existing businesses expand by phasing in any new taxes due to property improvements over a five year period. Attracting new businesses and revitalizing existing businesses benefits all MST residents because broadening the tax base decreases the tax burden for all MST residents.
Once the geographic area for the LERTA is defined (commercial and industrial zones) via the ordinance being considered at Tuesday’s public hearing, the other two taxing authorities (the East Stroudsburg Area School District and Monroe County) will also proceed with their own public meetings, to ease the strain of taxes while business owners create and/or expand/improve their businesses.
A complete and true copy of the proposed LERTA Ordinance is on file and may be examined without charge or obtained for a charge by the public at the MST Municipal Building during the hours of 8am-4pm Monday – Friday
