Bill > HB1214

This bill amends an existing law regarding temporary tax exemptions for residential construction by modifying how and when new residential properties can be assessed for real property taxes. Specifically, the bill extends the tax exemption period for new single and multiple dwellings, clarifying that properties will not be valued or assessed for real property taxes until one of three conditions is met: (1) the property is occupied, (2) the property is sold to a bona fide purchaser, or (3) thirty months from the commencement of improvement have passed, whichever occurs later. An important change is the addition of the phrase "of improvement, whichever is later" to the existing language, which provides more flexibility in determining when the tax exemption period begins. For multi-unit dwellings, the assessment will be proportional, based on the value of the occupied portion relative to the entire property. The bill will take effect 60 days after its enactment, giving property developers and local tax authorities time to understand and implement the new provisions.

Budget and Finance, Government Affairs

https://www.legis.state.pa.us/cfdocs/billinfo/bill_history.cfm?syear=2025&sind=0&body=H&type=B&bn=1214