To create a residential Tax Incremental District (TID), email the required documents to tif@wisconsin.gov. The Wisconsin Department of Revenue (DOR) uses this information to establish the district's base value and verify the municipality followed state law.
Requirements/Limits – Residential TIDs
- Municipal creation resolution must be adopted on or after October 1, 2026
- Maximum life is 20 years from the creation resolution date with a possible three-year standard extension
- Creation resolution must state:
- Residential TID's name for identification, ex: "Residential Tax Incremental District Number One, city/village/town of ___"
- Project plan complies with the requirements listed in the table below
- All project costs are related to the construction or improvement of infrastructure necessary for residential development within the district. This includes financing, professional service costs, administrative costs, and organizational costs related to the infrastructure projects.
- All project costs will be paid directly from the TID fund or financed by a developer
- Municipality cannot use bonds, loans or transfers from other funds to finance development
- 3% limit met – new residential TID's equalized value plus the value increment of all existing residential TIDs does not exceed 3% of the municipality's total equalized value
- Requirements (or reference the ordinances with requirements) for:
- Maximum amount of development-related fees the municipality may charge
- Architectural and construction requirements
- Project plan must show:
- Project costs are for allowed expenditures
- Residential development consists
entirely of owner-occupied single-family or two-family residences
- Each residence meets these requirements
| Description | Single-Family | Two-Family |
|---|
| Lot size | 7,500 square feet or less | 12,500 square feet or less |
| Lot width | 70 feet or less | 80 feet or less |
| Side setback | 10 feet or less | 10 feet or less |
| Square footage | Single story – 1,500 square feet or less
Two story – 2,000 square feet or less |
- Towns with a sanitary district or operating a sewer district can create a residential TID. There is no minimum town population or value.
- After the first 10 years of a residential TID's life, any amendment that increases costs requires unanimous Joint Review Board approval
- Cannot donate funds to another TID or receive funds from a donor TID
Due dates/process
- Follow the
TID Checklist
- Adopt the municipal resolution by
September 30 of the creation year
- Notify tif@wisconsin.gov within
60 days after adopting the creation resolution
- Email required documents to tif@wisconsin.gov by
October 31 of the creation year:
- Pay the one-time DOR fee in
My Tax Account by
October 31 of the creation year
- DOR emails a certification letter by March of the year after the creation year
- Add the TID number to the tax/assessment roll property after receiving the certification letter
| Forms |
|---|
|
PE-605 | TID Creation – Legal Requirements |
| Base Value Workbook | Use this Excel workbook to list the TID property, January 1 assessment values, and taxing jurisdictions affected by the TID. For best results, open the workbook, save it to your computer and then complete the forms. |
Contact Us
MS 6-97
Wisconsin Department of Revenue
Office of Technical and Assessment Services
PO Box 8971
Madison, WI 53708-8971
Phone: (608) 266-7750
Email: tif@wisconsin.gov