(a) Subject to § 47-858.02 and subsection (b) and (c) of this section, if an eligible owner of a single family residential property in an enterprise zone substantially rehabilitates the property after the effective date of this section [April 19, 2002] and before October 1, 2007, there shall be allowed a deduction from the real property tax imposed by § 47-811 on the real property computed as follows:
(1) For the tax year in which the rehabilitation is completed and for the 3 tax years after the year in which the rehabilitation is completed, a deduction equal to 100% of the amount by which the tax liability for the real property increased under § 47-811 as a result of the rehabilitation;
(2) For the 4th tax year after the year in which the rehabilitation is completed, a deduction equal to 75% of the amount by which the tax liability for the real property increased under § 47-811 as a result of the rehabilitation;
(3) For the 5th tax year after the year in which the rehabilitation is completed, a deduction equal to 50% of the amount by which the tax liability for the real property increased under § 47-811 as a result of the rehabilitation; and
(4) For the 6th tax year after the year in which the rehabilitation is completed, a deduction equal to 25% of the amount by which the tax liability for the property increased under § 47-811 as a result of the rehabilitation.
(b) In order to be eligible for the tax credit under this section, the owner shall complete the substantial rehabilitation of the property for which the tax abatement is granted within 36 months after receiving the approval of the Mayor under § 47-858.02; provided, that if the substantial rehabilitation is a phased rehabilitation as described in § 47-858.01(5), the owner shall complete the substantial rehabilitation within 72 months, or such shorter period as the Mayor may designate, which shorter period shall be related to the length of the rehabilitation and shall be not less than 36 months, after receiving the approval of the Mayor under § 47-858.02.
(c) The deduction under subsection (a) of this section shall be allowed only while the eligible owner or, if the eligible owner dies, a spouse, domestic partner, sibling, child, parent, or grandparent of the person (collectively, “qualified relative”), occupies the property as the principal residence of the eligible owner or qualified relative.
CREDIT(S)
(Apr. 19, 2002, D.C. Law 14-114, § 701(b), 49 DCR 1468.)
HISTORICAL AND STATUTORY NOTES
Legislative History of Laws
For Law 14-114, see notes following § 47-857.01.