New Markets Tax Credit Eligibility Data Released

The new markets tax credit program has helped to finance thousands of worthwhile projects in so-called "low-income communities" over the last eleven years.  For the first time in a decade, which communities qualify as a "low-income" has changed because the income and poverty data upon which it is based was revised. 

A list of the communities that are considered "low-income" may surprise you.  We have found that several areas that did not qualify under the old data, qualify now.  

A full description of how new markets tax credit financing works is far beyond the scope of this alert.  Suffice it to say that tax credits are awarded to investors who make investments that benefit businesses and nonprofits located in low-income communities.