The Capital Improvement Residential tax exemption requires improvements to have a minimum of $3,000 in expenditures with a maximum exemption of $80,000 to be applied towards the increase in value. In order to qualify for this tax exemption, applicants must:
- Provide copies of at least $3000 in expenditures
- The renovation cannot be more than double the size of the dwelling
- Must provide a Certificate of Occupancy (CO) which cannot be more than a year old
The tax exemption applies to the increase in value due to the improvements. The first year the exemption is applied, there will be a zero increase on the first $80,000 of increase in value. Thereafter, the tax on the improvement increases each year by 12.5%; with the full tax on the improvement phased in over an 8 year period. The Capital Improvement Exemption Application is available online or can be obtained from the Assessor’s Office. Any questions, please call the Assessor’s Office at (631) 957-3014.