Board approves revocation of tax exemption10:13 am | July 26, 2013
An incoming company asked the Carter County Industrial Development Board to revoke a tax exemption for a local building rather than keeping a clause requiring it to maintain a particular number of jobs.
On Thursday morning, the board unanimously approved the revocation of a payment in lieu of taxes, or “PILOT,” agreement that had been used by The Highlands Group for the building at 200 Smoky Mountain Way.
With the removal of the PILOT agreement, $16,090 will be added back to the Elizabethton and Carter County tax rolls, with $7,376 going to the city and $8,714 to the county.
“It’s always good to get taxes back on the books,” said Board Chairman Phil Isaacs.
A PILOT agreement is a tax abatement plan that reduces or nullifies the payment of taxes on a particular piece of property. One of its purposes is to entice businesses to a certain area by keeping costs low.