Mortgage Recording Tax Exemption
Real Property Tax Abatements
Sales and Use Tax Exemptions
Any mortgage filed with respect to an Agency's interest in a qualified project is exempt from the 1.05% New York State mortgage recording tax.
If your company is planning on obtaining a mortgage on its project, this benefit alone will justify the IDA fees.
Alternatively, a 485-b tax abatement is available from most municipalities and School Districts on the tax to be paid on improvements to the land or an existing building. 50% reduction in local taxes in Year 1, 45% reduction in Year 2, and so on until Year 11 when 100% of the taxes are paid by the company.