(Danville) — Danville leaders are getting closer to an unprecedented series of tax cuts in next year’s budget.
City Council has voted to lower the Personal Property Tax rate from $3.60 per $100 of value to $3.45. Councilman Lee Vogler says that will go into effect the first of next year. “We made it a priority in this budget to look out for our citizens and provide tax relief for them,” Vogler said. “This is a great step in the right direction.”
Council has also held a first reading on a proposal to knock a penny off of the real estate tax rate. The assessment underway could increase average city property values 12-percent. That, plus new construction, should generate $2,200,000 more revenue in next year’s budget.
State code requires reassessments resulting in at least a one-percent revenue increase be advertised as a tax hike.
Vogler says the rate could be lowered even more once the final assessment numbers are in. “I think this is the first time in twenty-some years that this tax rate has been lowered, maybe longer,” Vogler said.
This would be the first time in anyone’s memory that Danville City Council lowered the real estate and personal property rates in the same fiscal year.
Council is expected to vote on a change to the real estate rate at their first meeting in June.