Updated JUNE 2019
Tax Rate Rollercoaster Lands
The DC Tax Rate Rollercoaster has finally landed. Following a year of uncertainty, increases, and decreases in the commercial property tax rate the D.C. Council has finally provided clarity regarding the rate. In June 2019 the Council passed the Fiscal Year 2020 Budget Support Act. This Act officially increased the top commercial tax rate back to 1.89% from the 1.85% rate the Council set just six months prior. The Council also approved an increase in transfer and recordation taxes (payable upon, e.g., the sale of a property) from 2.90% to 5.00% for commercial properties. These taxes are set to sunset in 2023.
Scott B. Cryder, Esq.
Wilkes Artis, Chartered
American Property Tax Counsel (APTC)