With the goal to boost the economy in Wards 7 and 8, a new legislation was introduced in Washington, D.C. that could attract more businesses East of the Anacostia River. Washington Business Journal reported that Councilmembers Jack Evans, Kenyan McDuffie, Trayon White, and Vincent Gray co-introduced the bill, which hopes to tax commercial properties East of the Anacostia River at the same rate as residential properties.
For Class 2 properties (i.e., commercial and industrial), the tax rate from $1.65 per $100 of assessed value would be lowered to the residential, Class 1 rate of $0.85 per $100. If approved, the tax rate would be lowered for a period of 10 years. After 10 years, the tax rate would gradually increase four cents per year until it is equal to the general Class 2 tax rate.
The fiscal impact of the bill has not yet been determined, but Washington Business Journal reported that the bill could cost the District at least $2 million per year.
• D.C. bill proposes big tax break for commercial properties east of the Anacostia [Washington Business Journal]