This document is enhanced content for "Refundable State Tax Credits for Historic Rehabilitation" by Harry K. Schwartz and Renee Kuhlman in the Winter 2014 Forum Journal ('Extra Credit' Rehabs). To learn more about Preservation Leadership Forum and how you can become a member visit: http://www.preservationnation.org/forum

1. Winter 2014 Forum Journal: “Refundable State Tax Credits for Historic Rehabilitation”
Enhanced Content: State Tax Credit Programs
States Aggregate
Annual cap
Per Project Cap Home- % Credit
owner
IA
$45,000,000 None
Yes
KY
$5,000,000
$400,000 for
commercial;
$60,000 for
homeowners.
LA
$10,000,000
for
homeowners;
no cap for
commercial.
$5,000,000 per- Yes
taxpayer for
commercial;
$25,000 for
homeowners.
Yes
Refund Features
Selection method for states with
aggregate caps
10% of credits for small projects; 30%
for projects located in cultural and
entertainment districts; 20% for
disaster recovery projects; 20% for
projects that create more than 500
permanent new jobs, and 10% for
statewide projects.
20% commercial; Refundable subject If dollar value of credits approved
exceed $5 million aggregate cap, all
30% homeowners to reduction.
credits awarded are reduced ratably
to lower aggregate amount of credits
granted to $5 million.
25%
Fully refundable
with interest.
25% for
Commercial
First-come, first-served.
commercial; 50% transferable but not
for "vacant and refundable;
blighted" homes homeowners fully
over 50 years old. refundable in five
equal annual
installments.

2. ME
None
$5,000,000 per Yes
project
25%; 30% for
affordable
housing.
Fully refundable, if n/a
taxpayer claims the
federal credit, or
does not claim the
federal credit, but
incurs QREs of
$50,000 to
$250,000.
MD
Commercial
subject to
annual
appropriation;
homeowners
uncapped.
$3,000,000 for Yes
commercial;
$50,000 for
owner-occupied
20% with
Fully refundable.
additional 5% for
high performance
commercial
buildings.
Competitive award process for
commercial; owner-occupied
residences uncapped.
MN
None
None
Yes
Fully refundable Fully refundable.
if federal credit
allowed. Grant of
90% of credit if
federal credit is
not allowed.
n/a
MS
$60,000,000 None
Yes
25%; if credit
Refund paid in two None provided
exceeds
equal annual
$250,000, 75% of installments.
amount of credit
not used to offset tax may be
claimed as refund
in lieu of 10-year
carry forward at
100%.

3. $5,000,000 for Yes
commercial.
Credits earned
2010-2013 over
$2,000,000
deferred for
payout to 20132015. $50,000
for owneroccupied
residences.
NY
None
OH
$60,000,000 $5,000,000
Yes
20%, subject to Commercial credits n/a
geographical
fully refundable
targeting. Credit starting 2015.
allowed only
Credits already
where project is issued carry
in census tract at forward. If
or below state
homeowner’s
median family
income exceeds
income.
$60,000
Commercial
refundability not
credit available available.
only if federal
credit is obtained.
25%
Fully refundable but Competitive award process. Applicant
refundable
must provide evidence that the credit
amount limited to is a major factor in the applicant’s
$3 million perdecision to rehab. State conducts
cost-benefit analysis to determine net
project per-year.
revenue gain in state and local taxes
once the building is used.