Tax Abatement/Exemption

Based upon experience through the last 30 years, the Gilbert City Council has found that an Urban Revitalization Plan and Property Exemption Ordinance granting property tax exemptions on qualified real estate has encouraged and will continue to encourage improvements, additions, and new construction in Gilbert, Iowa. 

Gilbert's current tax exemption plan sunsets December 1, 2027.

Requirements for participation:

A) Effective Dates

Applications for tax exemptions may be made at the office of the City Clerk during normal business hours through and including December 1, 2027. After December 1, 2027, no further applications shall be accepted. 

B) Qualified Real Estate

The "qualified real estate" is all of the real property within the corporate limits of the City of Gilbert.

C) Tax Exemption Schedule

Pursuant to section 404.3(5) of the Code of Iowa and in place of any exemption schedules provided for by state law, the City Council adopts tax exemption schedules for "qualified real estate" as follows:

2022-2027 Residential Tax abatement schedule 1
2022-2027 Residential Tax abatement schedule 2
2022-2027 Commercial schedule
D) Valuation Increase

To qualify for the tax exemption program as set out in this plan and the city's enabling ordinance, an owner of the legal or equitable title in the real property must install improvements (as defined by chapter 404 of the Code of Iowa) increasing the value of the property by a certain percentage, which percentage is dependent on assessment classification as provided in Iowa Code section 404.3(8). The percentage increase in value is set out by classification below:
       1 - Nonresidential
            Real property having an assessment classification of nonresidential must have improvements increasing the value of the property by at least 10%.
       2 - Residential
             Real property having an assessment classification of residential must have improvements increasing the value of the property by at least 15%.

E) Applications

Prior application for eligibility for property tax exemption under this plan and the City's enabling ordinance shall be made by submitting a plan for revitalization including rehabilitation, addition and new construction, for approval by the City Council and the Story County Assessor, pursuant to Chapters 404.4 and 404.5, of the Code of Iowa. 
The City Council may or may not approve applications for the tax exemption in the Council's reasonable discretion. For example, the Council may reasonably decline to approve an application if the city has in place development agreements touching on the issue or if the city has provided other financial assistance pr public improvements that benefit the property. In addition, the City Council may decline to consider applications that are incomplete, for which no occupancy permit has been issued, false or misleading information related to the exemption, or fail to fulfill the goals of this plan.