Tax Increment Finance Districts
Tax Increment Finance Districts (TIFS) redirect general community sales and property taxes to projects directed by a TIF, including infrastructure and private investment. After the date of a TIF’s creation, increases in local taxes cease to flow to the community as a whole and are directed to the TIF. Businesses within a TIF gain an advantage over businesses outside the TIF. Sold as no-cost economic development, there is no evidence TIFs increase overall economic activity in a state. Instead, TIFs scavenge jobs from other communities and other areas within a community.