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SugarHouse Casino

Philadelphia, PA: (Jun-13-07) The city of Philadelphia was in a legal dispute with SugarHouse Casino over property tax assessments under the city's 10-year tax abatement provision. In a settlement reached, SugarHouse Casino will pay Philadelphia more than $50 million in property tax over the next decade rather than claim the city's 10-year tax abatement. The deal the city and SugarHouse negotiated will provide the city between $5.6 and $7.4 million annually. The settlement is not the $10 million a year deal the city hoped to recoup in property tax from each of two new casinos, but SugarHouse had the legal right to pay no tax on new construction for 10 years under the abatement program.

The city's other licensed casino, Foxwoods, which is planned for South Philadelphia, is fighting the city over how much tax it should pay on its unimproved lot and has not yet committed to working out a deal on tax abatements. The city council has yet to decide what legislation are necessary for SugarHouse to begin construction, and one that would make building on the SugarHouse and Foxwoods sites legal. [PHILADELPHIA DAILY NEWS: CASINO TAX]

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Published on Jun-14-07


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