Incentives for Preserving Historic Properties
Preservation-focused tax incentive programs exist at the federal, state, and local levels. In general, they counter private and public land-use policies favoring demolition and new construction, while providing financial benefits to building owners who might otherwise feel burdened by preservation projects.
Federal Rehabilitation Tax Credit
The historic rehabilitation tax credit is the nation's largest federal incentive promoting urban and rural revitalization through private investment in reusing historic buildings. The credit allows the owner of a certified historic structure to receive a federal income tax credit equal to 20% of the amount spent on qualified rehabilitation costs. There is also a 10% credit for older, non-historic buildings. Since it was enacted in 1976, the credit has been widely used as an effective tool for transforming vacant and underutilized buildings into safe, decent, and – in many cases – affordable places to live and do business.
State Rehabilitation Tax Credits
More than half the states in the country have enacted laws that afford tax relief to owners of historic buildings – many of which are modeled after the federal rehabilitation tax credit. These incentives may be available for both income and non-income producing properties. Some of the various state tax laws include income tax deductions, a credit or abatement for rehabilitation, a special assessment for property tax, sales tax relief, tax levies, and property tax exemption.
Submitted by florduc at: November 20, 2009
Businesses making investments in tangible personal property, used exclusively in an enterprise zone for at least one year, may claim an ITC credit against their Colorado income taxes equal to 3% of the investment amount. Only equipment purchases qualify for the investment tax credit. Investments in land or structures, or expanding inventory do not qualify. The ITC credit, can be taken in any year not to exceed 100% of the taxpayer’s state income tax liability up to $5,000 and 50% of the state tax liability above $5,000. The value of investments must be reduced before the 3% ITC rate is applied if the depreciable life of the asset falls into certain categories. Unused tax credits can be carried backward up to 3 years or forward up to 12 years. Submited Paul Descargar Libros Gratis
Submitted by Robyn C. at: November 11, 2009
The best bet for all of these comments is to enlist an architect with historic preservation experience. They can guide you through the tax credit process, which follows the Secretary of Interior Standards for Rehabilitation, in addition to coordinating with the construction process. Check your local AIA (American Institute of Architects) for recommendations. - Project Architect in Preservation Services at KANN Partners in Maryland (www.kannpartners.com)
Submitted by Debbie at: November 8, 2009
I want to make housing out of a historic building I own that is listed on the historic national registry now. Please send info.
Submitted by Richard at: October 17, 2009
my home was built in 1860 here in ma. curently used as an owner occpied two family what tax credits can i recive?
Submitted by Sandra at: October 15, 2009
I home is historic and was built in 1868 What is available for my property. bilt is Philadelphia,
Submitted by cheyenne at: October 12, 2009
tax relief - send information for tennessee
Submitted by nanalee at: October 12, 2009
Can I get a tax credit for my home built in l860. Needs work