Tax increment Financing Law

Tax Increment Financing (TIF) is a public financing method used by local governments to encourage development in designated areas. When a TIF district is created, the current property tax revenue is set as a baseline. As property values rise due to development, the increase in tax revenue—known as the "increment"—is captured and reinvested in the district for infrastructure and improvements. This helps stimulate economic growth without raising taxes for existing residents, as additional revenue comes from the increased property values created by the developments TIF supports.