{"id":353995,"date":"2025-03-19T10:38:05","date_gmt":"2025-03-19T15:38:05","guid":{"rendered":"https:\/\/ability-fl-prod.internetbrands.com\/ability-law\/tax\/legal-help-resources\/what-is-tax-increment-financing.html"},"modified":"2025-03-19T14:23:55","modified_gmt":"2025-03-19T19:23:55","slug":"what-is-tax-increment-financing","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/tax\/legal-help-resources\/what-is-tax-increment-financing.html","title":{"rendered":"What Is Tax Increment Financing?"},"content":{"rendered":"\n
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What Is Tax Increment Financing?<\/h1>\n
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\n By Balrina Ahluwalia, Esq.<\/a> | Legally reviewed by Laura Temme, Esq.<\/a>\n | Last updated\n
\n \n <\/i>\n Legally Reviewed\n <\/summary>\n\n
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This article has been written and reviewed for legal accuracy, clarity, and style by FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with our editorial standards<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n\n

\n \n <\/i>\n Fact-Checked\n <\/summary>\n\n
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The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n

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Key Takeaways<\/h2>\n

Tax Increment Financing (TIF) is a tool that allows local governments to use projected tax revenues to finance current improvements. Municipalities use this public financing means to stimulate economic development and improve specific areas that need revitalization. <\/p>\n\n <\/div>\n <\/div>\n<\/div>\n

By using an expected increase in property taxes, TIF financing allows cities and towns to fund community development<\/a> and other projects without raising everyone\u2019s taxes.<\/p>\r\n

TIF can be quite effective for:<\/p>\r\n