Town Reduces Dollar Tree's Potential Tax Break

While Dollar Tree, Inc. initially sought a tax abatement of about 70 percent over a five-year period, a decrease in the company's proposed investment in a distribution center to be built on International Drive limits the company's qualifications for a tax break per town regulations. 

What was originally pitched as a $57 million facility has been decreased by roughly $13 million, Town Manager Peter Souza said Monday night during a Finance Committee meeting.

In accordance with town tax abatement policy, the amount of money Dollar Tree will spend still qualifies it to be considered for a tax break, but it falls within a bracket that qualifies the company for a tax break over four years at an average of 60 percent.

According to Souza, the abatement schedule declines on an annual basis, starting out at 75 perfcent in the first year, and then dropping down to 60 in the second, 55 in the third and 50 in the fourth and final year.

Dollar Tree representative Brandon Pires said it's "a fair bracket" for Dollar Tree to be in.

Dollar Tree is scheduled to come before the Town Planning and Zoning Commission Tuesday night. They will present their tax plan.