Question: May the town grant real estate tax exemptions or tax reductions to selected properties for purposes it deems useful?

 In

Answer:

No. In Article 9 section 9 of the State constitution we find that “the legislature shall never, in any manner, suspend or surrender the power of taxation”. This has been widely interpreted by the courts as meaning that only the legislature can add or remove rules for real estate taxation. Having said this, the State does provide a few vehicles for reducing one’s taxes, for example the Tree Growth program or the Farm and Open Space program. Also, the town could purchase the property in question and thus make it exempt from taxation (this does have the effect of raising everyone else’s taxes by removing the property from the tax roll.)

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