Friday, December 3, 2004

bigger, better preservation tax credits on the way?

The National Trust for Historic Preservation reports that a new bill introduced in the U.S. House (H. R. 5378) could make federal tax credits for rehabilitation more friendly for small businesses.

This could be good news for entrepreneurs looking to get a foothold in some of Downtown Greensboro's historic buildings.

Here's what the National Trust says the bill would do:

  • Reduce the requirement that lowers tax benefits dollar-for-dollar according to the amount of credit taken when using the historic rehab credit.
  • Deepen the historic rehab credit in the most difficult to develop and disinvested areas.
  • Make the ten percent portion of the credit available for housing and changing the definition of "older building" from "built before 1936" to any property "fifty years old or older."
  • Enrich the historic rehab credit from 20 to 40 percent in projects that are $2 million or less to target those "main street" type developments in which rehab credit costs are currently too prohibitive.
  • Ease the rules governing non-profit deals so that more community-oriented projects move forward.
I can think of a few potential projects on Summit Avenue that might benefit, too (see previous post).

Read the National Trust's article.

Hat tip to Mike Cowhig for the info.

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