County Tax Review Could Hurt Local Nonprofit Bond Ratings
Credit ratings agency Moody's Investors Service says Allegheny County's review of tax-exempt property "is a credit negative" for non-profit organizations which could put more demands on their operations.
The report issued Thursday says that the county review of tax-exempt properties may have long-term financial consequences for non-profits since they will have to spend time and money to address questions about whether they deserve the exempt status.
New York-based Moody's says larger non-profits are likely to be in a better position to absorb extra costs, but smaller ones could face substantial impacts.
Allegheny County Manager William McKain says they're just enforcing a policy that was first approved in 2007, and that non-profits which show they qualify for that status will still receive the tax breaks.
Copyright 2012 The Associated Press.