Tax Abatement Application Instructions
CITY OF READING, PENNSYLVANIA
COMMUNITY DEVELOPMENT 815 WASHINGTON STREET
READING, PA 19601-3690
(610) 655-6253
TAMI DAVIES-COLEMAN
COMMUNITY DEVELOPMENT
MANAGER
October 17, 2017
Re: City of Reading LERTA and ReTAP Program Implementation
The following procedures have been established for application and implementation of the City of Reading’s Local Economic Revitalization Tax Assistance (LERTA) Program and Residential Tax Abatement Program (ReTAP). As a reminder, these programs apply to City of Reading, County of Berks, and Reading School District tax increases, based on the assessed value of a property, and attributable to new construction or improvements having the impact of rehabilitation. With the LERTA Program, an abatement phases in taxes over a ten-year schedule at the rate of 10% per year based on the increase in assessed value of a commercial property. ReTAP for residential new construction will a receive a tax exemption for a period of three years, and for residential property improvements having an impact of rehabilitation, an abatement phases in taxes on improvements over ten years at the rate of 10% per year.
Applications for the program will be processed as follows:
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Applications will be available in the Community Development (CD) office (Room 3-12).
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Applications will also be available on the CD page of the City of Reading’s website (www.readingpa.gov).
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Applications should be completed entirely and submitted to the CD office for signature at the time a building permit is secured with a copy of the building permit and a summary of the scope of work.
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Once the application is approved, the CD Coordinator, will assign a control number and scan the documents.
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A copy of the application will be submitted to the Berks County Assessment Office.
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When a Certificate of Work Completion issued by the City of Reading’s Codes Department is issued for the property, the Berks County Assessor will send the applicant a “notice of assessment increase”
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If the increase is not appealed within 40 days, the new assessed value will be recorded, then the LERTA or ReTAP portion will be backed out
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Each year, the Berks County Assessor will increment the assessed value 10% until the full value is reached or apply the appropriate exemption for residential new construction.
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Please contact Tami Davies-Coleman, CD Manager, if you have any questions regarding this process.
FAX: (610) 371.0619 TDD: (610) 655.6253