Tennessee Developers Targeted By Tax

7 November 2000 - 6:00am

Land-holding companies are carrying a dispropotionately larger share of Tennessee's tax load.

"In addition to facing larger state franchise and excise tax payments these days, some developers in Tennessee are beginning to see the value of their property portfolios drop. The chief problem: An office building, shopping mall or apartment complex is priced according to its operating income, so higher taxes translate to increased costs, driving down a property's value -- and developer's profit -- when it comes time to sell."

Source: Wall St. Journal, November 7, 2000
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