Local Economic Revitalization Tax Assistance (LERTA)
"Partnerships like this will continue to grow Indiana into the future."
- Ben Ford, Indiana Borough Councilmember
The goals of Indiana Borough’s LERTA Program are to:
- Encourage economic redevelopment and long-term investments
- Encourage housing improvements
- Foster a general sense of wellbeing and prosperity
- Improve the sustainability of tax revenue in coming decades
- Revitalize neighborhoods and support family housing
What is LERTA?
The LERTA Program was created by the Commonwealth of Pennsylvania in 1977.
It authorizes local taxing authorities to provide a tax exemption on construction improvements. The program attempts to incentivize development through a tax abatement on new construction and property improvements which increases assessed property values.
How does LERTA Work?
The program freezes local taxes on new construction or improvements over $20,000 for seven years. Property owners will continue to pay the pre-improvement taxes on the property for seven years before paying the improved tax rate.
Ordinary maintenance and upkeep are not considered improvements. Repair, construction, or reconstruction (including alterations and additions which increase the property valuation) must amount to more than $20,000 of construction expense.
Where do I learn more about LERTA?
Property owners seeking tax exemptions will need to obtain a LERTA permit application from the Indiana Borough Code Department to take advantage of the program.
The application requires information such as the current assessed property valuation and proposed property valuation, the anticipated start and completion dates of construction and verification that the property is eligible for tax exemption.
For more information on the LERTA Program or to obtain an application, contact the Indiana Borough Code Department.
Phone: (724) 465-6543
Address: 80 N. 8th Street, Indiana PA 15701
The signed ordinance for the LERTA Program can be viewed here:
6/9/2022: Indiana Borough, County Partner to Implement LERTA Program
6/10/2022: Indiana Borough, County, School Board Partner to Incentivize Economic Development
6/28/2022: Borough Council Members Give Update on LERTA