Tax Credit Hearings Scheduled for Historical Home Preservation
(courtesy of the Preservation Alliance)
The Preservation Alliance of Minnesota and a coalition of supporting organizations are back at the State Capitol in 2007 to support the Historic Preservation Tax Credit proposal. We need your help to make it happen!
The Historic Preservation Tax Credit proposal would provide a 25% tax credit for qualified historic rehabilitation projects, providing significant economic development benefits statewide, in small towns and large cities alike. More than half of all states—29 in total—already have similar programs, and we need this incentive to stay competitive. Most of Minnesota’s neighbors, including North Dakota, Iowa, Missouri, Wisconsin, Indiana, and Michigan, have a state historic rehabilitation tax credit.
Specifically, the tax credit will:
- Allow an income tax credit of 25% of the amount spent to rehabilitate certified residential and commercial historic structures (locally designated as historic or on the National Register of Historic Places).
- Encourage private investment in historic properties, generate additional jobs and stimulate economic development within existing communities.
- Be used as an effective tool for community revitalization in urban and rural areas.
- Provide incentives to create affordable housing and market-rate housing that stabilizes neighborhoods in areas that are difficult to redevelop.
- Accelerate private investments into “Main Street” businesses and building rehabilitations, bring vacant properties back onto local tax rolls, and bolster heritage tourism efforts.
- Pair with the 20% federal rehabilitation tax credit to make smaller or more challenging rehabilitation projects more financially feasible.
The Historic Preservation Tax Credit has been introduced in the both the Senate and the House as Senate File (SF) 385 and House File (HF) 1240. Please click on the following link to access the Senate bill language for SF385 and House bill language for HF1240 Please click here for a A two-page fact sheet about the bill.
