The City of Missouri City is committed to the promotion of high quality development in all parts of the city. On a case-by-case basis, the city will give consideration to providing tax abatement on the increment in value added to a particular property by a specific development proposal, which meets the economic goals and objections of the city. The tax abatement will always be performance based and in the form of a reimbursement of a portion of taxes based on performance.
Tax increment financing is a tool that local governments can use to publicly finance needed structural improvements and enhanced infrastructure within a defined area. These improvements usually are undertaken to promote the visibility of existing businesses and to attract new commercial enterprises to the area. The statutes governing tax increment financing are located in Chapter 311 of the Texas Tax Code.
The cost of improvements to the area is repaid by the contribution of future tax revenues by each taxing unit that levies taxes against the property. Specifically, each taxing unit can choose to dedicate all, a portion of, or none of the tax revenue that is attributable to the increase in property values due to to being within the reinvestment zone.
The additional tax revenue that is received from the affected properties is referred to as the tax increment. Each taxing unit determines what percentage of its tax increment, if any, it will commit to repayment of the cost of financing the public improvements.
Tax increment financing may be initiated only by a city. If property is located outside the city limits (within the city's extraterritorial jurisdiction or beyond), it is not eligible for tax increment financing. Once a city has initiated tax increment financing, counties, school districts, and special districts are allowed to consider participating in the tax increment financing agreement.
The City of Missouri City has three Tax Increment Reinvestment Zones (TIRZ). Learn about the zones on this detailed TIRZ Map.
The City of Missouri City, Fort Bend Independent School District and all utility districts offer a freeport tax exemption on goods in transit (or "freeport goods") from ad valorem taxation. Freeport goods are inventories acquired or brought into the state by businesses and held for no more than 175 days before being shipped out of state.
Any business or industry that assembles, manufactures, processes, stores, maintains, fabricates or distributes their products in Texas and ships them out of state within a 175-day cycle are eligible. The Freeport Exemption will apply to the percentage of raw materials, goods-in-process and finished products that meet this requirement.
There are a variety of job training programs offered at both the local and state level.
The State of Texas offers a variety of incentives to qualifying companies. View a summary of state incentives and programs offered to local businesses to increase productivity and/or encourage growth.