A move to limit real estate tax abatements in Philadelphia has been put on hold.
Councilman Wilson Goode Jr. says he wants to cap real estate tax abatements at $500,000, so homes worth more than that would pay taxes on the value above that figure.
He says people who can afford luxury homes can afford to pay at least some property tax.
“I’m saying that we only offer a $30,000 homestead exemption which is capped so why not cap a tax abatement?” asked Goode.
Councilman Bill Green is against the cap. He says the tax break is necessary to bring new high quality housing to Philadelphia.
“It’s not about the rich or the poor, it’s about whether or not developers can build the buildings whether or not they can get financing if the abatement is not available to the people who live in them,” said Green.
Goode has introduced a second bill that would only cap abatements on the school district potion of the property tax. He says he will continue to bring the first bill up for a vote every week until council votes on the measure.