Seeking to help struggling Vineyard Haven businesses, selectmen voted unanimously on Monday to shift the town’s tax burden away from commercial property owners. But a sharp drop in taxes for businesses will mean a slight uptick for resident and non-resident homeowners alike.

The action, taken at a special meeting following a public hearing on the matter, was intended to give an encouraging economic signal to current Tisbury business owners and make the town more attractive for prospective new businesses.

“You need to help your businesses. They’ve carried the burden for 25 years,” said Tisbury board of assessors member Angela Cywinski in a presentation before selectmen. “They really do need relief and I’d like to see more businesses open on Main street.”

Year-round residents currently benefit from a 20 per cent residential tax exemption, meaning they are able to subtract 20 per cent of the town’s average residential value, or $156,940, from their property before paying taxes. That difference had been made up by a “shift” to businesses, who have been paying taxes on 130 per cent of their property values.

Using a different commercial percentage represents an additional $1.2 million added tax burden on businesses. The size of the burden has varied since Tisbury split its commercial and residential rate in 1990, the only town on the Vineyard to do so. But on Monday selectmen got rid of the shift altogether.

While residents will still benefit from the 20 per cent exemption, they will now be taxed at a slightly higher residential tax rate, from $7.72 per thousand to $8.01. For the town’s average-priced $784,700 property, taxes will jump $182.05 for residents and $227.56 for non-residents and drop $1,749.88 for commercial property owners. For a $2 million property, taxes will jump $534.49 for residents, $580.00 for non-residents and drop $4,460.00 for commercial property owners.

“We’re lucky, number one, that we have a residential tax exemption at all and, number two, we’re lucky with the rates we pay on the residential tax,” said board of selectmen chairman Geoghan Coogan. “If I had a $2 million property, my tax bill will go up 500 bucks a year. [But] if I have a $2 million property, I can afford 500 bucks a year. Period.”

Businesses have had to pay as much as 175 per cent, in 2006, but the town has voted to lower the rate several times in the past few years.