What is the tax increment?

The tax increment is the difference between the amount of property tax revenue generated when the TAD is established (the "base" year) and the amount of property tax revenue generated after the TAD designation. When a TAD is created, the State Department of Revenue sets the base value for the district. Any growth in the property tax revenues resulting from increases in property values above the base values are collected in a special fund and used for redevelopment costs in the TAD. Only property taxes generated by the incremental increase in the values of these properties are available for use by the TAD.

TAD increment and explanation

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1. What is a Tax Allocation District, and how does it work?
2. Where can local governments form TADs?
3. Will I pay a higher tax rate if my property is within a TAD?
4. What does the TAD referendum authorize, and when did it pass in Athens-Clarke County?
5. How is a TAD area created?
6. If the local government decides to create a TAD, how does the School District become involved?
7. How long does a TAD stay in effect?
8. How do private developers benefit from TADs?
9. What is the tax increment?