City Council staff, in conjunction with a consulting firm, put together an analysis of how the Actual Value Initiative (AVI) would impact individual taxpayers, and came to the conclusion that the impact would be minimal or beneficial for most homeowners. This is, of course, the best case scenario.
The best case scenario would only come to fruition if everyone eligible for the Homestead Exemption (a measure that chops $30,000 off a property's taxable value for property owners who use the property as a primary residence,) and with "the right mix of tax relief," including gentrification relief for longtime residents of areas where property values have shot up.
In fact, the study claims that 72 percent of homeowners could expect lower taxes, and only ten percent of homeowners would experience tax increases of more than $400.
However, it's still unclear how the city plans to get to the best case scenario. With all the confusion surrounding the AVI, the various relief proposals, and the Homestead exemption, it seems unlikely that the best case scenario is within reach.
Further details about the 400 page study will be released in briefings next week.
· Council AVI analysis finds little negative impact for most [Philly.com]
· Homestead Exemption [City of Philadelphia]
· Past Curbed Coverage [Curbed Philly]
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